As long as it's available, yes. But I would use a different name just to make them easier to manage. Don't want documents or information swapped, you know? Just a suggestion.
And... would it be advisable to have any checking accts/banking accts that transfer $$$ to be based in Delaware ...for added charging protection against the LLC etc😲?
Two important addditions. A Trust with the same beneficiary and Trustee is a merged trust. You can make yourself the beneficiary and you can also be one of the beneficiaries and have a second beneficiary with 1 percent interest in the trust. That way it's not a merged trust. the other addition - you mention that the trust structure doesn't provide asset protection. It should be a separate entitty and thus not attachable.
general question - If I 4 brokerage accounts , can I move each brokerage into a single PPT or do I have move each brokerage into it's own PPT, which will then move into an LLC.
One important question though. How are short term capital gains are taxed ? Would they be taxed at Corporate tax rate of 20% or personal short term gains rate ? Thanks
What if I have some stocks in operational business LLC and would like to move them to separate LLC? Can I ask a broker to do this directly and then write it in books as distribution/contribution?
Most places allow you to journal over positions. Best for the trading llc to be a subsidiary and document the transfer as an IRS section 351 contribution, do your research on the rules
Thank you for the information. Do you have video about the tax implications of having my Brokrage account inside the LLC i.e how thw income will be taxed ?
Thank you for the informative content. Will I be personally taxed on the gain when transferring my existing personal Schwab account to the LLC account?
If someone who has a CS or Fidelity personal account wants to open the business and they offer to connect the accounts so you can still view the personal and business all together, is this advisable? Or create the LLC brokerage without login capabilities?
I opened and LLC for Day Trading and have a structure set up. I was going to open a business "organization account" with Charles Schwab but to do so they want and minimum 250k to open. I wanted to start a biz day trading account with 50k? Is there another brokerage that I can do this on? Like Robinhood, Merrill or which ones do this? Or am I do this wrong? Thank you for your thoughts. Brandon
@ClintCoons Doesn't that mean your video is incorrect/incomplete? You specifically say request an application for a Limited Liability account, no mention of $250k min or hiding it using a trust.
@@chrisj979 It really depends on your purpose. If you don’t need real-time feed data because you already have a personal account where you can access this information, and/or you’re primarily focused on asset protection, then setting up an LLC is a great option. An LLC can provide the liability protection you need while keeping things straightforward. For those of you who are curious about trusts and more advanced trading strategies, I’ll be creating a video soon discussing trust structures and level 5 trading, particularly for traders working with accounts under $250k. Stay tuned for that! Thanks so much for watching, responding, and sharing your thoughts-I truly appreciate the comments and engagement. Let’s keep the conversation going!
What do you mean by level 5 trading? Do you mean Day trading? Also, curious why referred to personal account when putting the trading account into a trust and then that into LLC, how does the 250K limit come in? All a bit confusing for my little brain…please lay out the complexity here in your next video in layman terms. I have setup a trust for all my assets at this point.
@@gl.72637 Level 5 is the highest level of trading authorization, allowing you to execute any type of option trades you want, including advanced strategies like naked options and multi-leg spreads. This level provides maximum flexibility and control for experienced traders. To bypass the need for a personal property trust as a blocker entity before the LLC to gain access to real-time trade data, an account size of $250k is required or you will need to pay for the feed.
I opened an LLC to day trade but not able to find a bank to link it to my LLC. Most banks don’t support day trading as a business. Do you have any recommendations for banks that will give you a business bank account for your day trading LLC ? Also, do you have any recommendations for pro trading accounts? I tried to open an account with Charles Schwab but they have a minimum of $250 K
Hey. So I am a day trader with llc taxed as s corp. business account in fidelity. I was able to check Amex business checking account since I have Amex card. The only other bank that I was able to open an account in was Bluevine. But I reworded a bit in terms of what I do. Business will be investing in real estate stocks bonds and other similar investment products. Worked 😀
In this scenario we will set up a trust to hold the trading account and place the trust in a LLC. This is a workaround for the exchange fee on business accounts under 250k.
quick comment, you mentioned if you form the LLC with a spouse, it would be a partnership.....spouses are still considered as one for tax purposes, so no partnership return form 1065 is filed you still file under schedule C in your 1040 as a disregarded entity
Spouses can elect partnership tax treatment for their entity. If spouses hold an interest in an LLC the default tax election is partnership. If the spouses reside in a community property state the spouses may elect out of the default partnership status and instead choose disregarded.
Do you know if It is possible/ beneficial/ necessary to roll over positions from an individual to an LLC account with an offshore broker like CMEG for asset protection and/or s-Corp election? Currently trading here to bypass PDT.
Hi Clint, do i have to set up an WY LLC for the asset protection or any state LLC will offering the same protection? How is the cost to keep the WY llc in good standing each year? Thanks
Wyoming offers superior asset protection from outside creditors I.e., your personal creditors. To keep the LLC in good standing we offer this service to our clients. If you would like a FREE 30-minute consultation, you can request one here - aba.link/clintss or you can send me an email at ccoons@andersonadvisors.com, and I will have someone contact you.
If I reside in CA arent we reuqire to also have an llc in CA sonce thays where we are trading from? Thats what Chase bank told me. Also how do you avoid the broker professional fees when you're tradong as an entity. I was yold yhey automatically categorize your account as a professional and your data fees all triple?? Os there a way around that?
You do not need a CA LLC for trading. To avoid the fees you must set up the account under a personal property trust and have that owned by your trading LLC or keep a personal account for the real time feeds.
Yes If you would like a FREE 30-minute consultation, you can request one here - aba.link/clintss or you can send me an email at ccoons@andersonadvisors.com, and I will have someone contact you.
If you are from a different state aren't you supposed to pay your own state some tax because of your LLC in Wyoming? If yes, wouldn't everyone figure out you have an LLC in Wyoming that they can go after?
Question: Thank you so much for the Video - very informative. One question: 1) How to deduct expenses from trading such as computers, education, etc? The LLC will have carry those expenses? The trading income minus the expenses will flow to my 1040? is that so? 2) Are there any Transfer Taxes or other taxes of some sort when you roll your personal trading account to the PPT? ( what if its just cash in your Trading account - as a day trader you dont hold any stock position over night) Thanks
WAYYYY TOO much work for wanting real time data… Simply sign up with another broker that has free data… You can transfer your positions too without selling anything..
Would you like to learn more about day trading inside an LLC? Schedule a free consultation here: aba.link/5dw
Thanks Clint
Thank you this was very informative. Been looking for something like this.
Informative, thanks!
Very good thank you!
Really awesome information. Thank you
Glad it was helpful
Does it have to be a LLC? Could it be a S Corp?
Hi, if my LLC is already registered with my state, can I still create Wyoming LLC with same name from my state?
As long as it's available, yes. But I would use a different name just to make them easier to manage. Don't want documents or information swapped, you know? Just a suggestion.
We move into LLC both individual accounts and IRA accounts? or just Individual ones? Thanks.
To get the best answer tailored to your specific circumstances, I recommend scheduling a free consultation with my team. Visit: aba.link/5dw
Good stuff, thanks
You bet
And... would it be advisable to have any checking accts/banking accts that transfer $$$ to
be based in Delaware ...for added charging protection against the LLC etc😲?
Do i need to create an operating agreement for brokerage account?
Yes you do
Under this structure can the LLC charge a management fee for overseeing the PPT? Also, can the LLC also engage in other asset management activities?
Correct
Two important addditions. A Trust with the same beneficiary and Trustee is a merged trust. You can make yourself the beneficiary and you can also be one of the beneficiaries and have a second beneficiary with 1 percent interest in the trust. That way it's not a merged trust. the other addition - you mention that the trust structure doesn't provide asset protection. It should be a separate entitty and thus not attachable.
general question - If I 4 brokerage accounts , can I move each brokerage into a single PPT or do I have move each brokerage into it's own PPT, which will then move into an LLC.
Hello Clint, could you please make a video on creating trading business as well? Thanks
I'll definitely consider it for future content
th-cam.com/video/nCAcdYJ9efU/w-d-xo.html He already made this one, I think.
Did you do the video for a trading business? I don’t see it
curious what does the taxes for such a setup will look like?
One important question though. How are short term capital gains are taxed ? Would they be taxed at Corporate tax rate of 20% or personal short term gains rate ? Thanks
STCG only apply to individuals not C-Corporations. The tax rate is your personal income tax rate.
What if I have some stocks in operational business LLC and would like to move them to separate LLC? Can I ask a broker to do this directly and then write it in books as distribution/contribution?
Most places allow you to journal over positions. Best for the trading llc to be a subsidiary and document the transfer as an IRS section 351 contribution, do your research on the rules
@jehuhand8176 has the gist of how to do what you asked
I believe you can Request the Physical Stock Certificates you hold shares in, then bring them to the new Brokerage house.
You don't have to do that .
Probate still avoided with beneficiary interest being in a LLC?
You need to place your LLC in a living trust to avoid probate.
Thank you for the information.
Do you have video about the tax implications of having my Brokrage account inside the LLC i.e how thw income will be taxed ?
Nothing will change.
Thank you for the informative content. Will I be personally taxed on the gain when transferring my existing personal Schwab account to the LLC account?
I would recommend setting up a free consultation to talk about some strategies and how they apply to your unique situation. Sign up here: aba.link/5dw
Did you ever figure out the answer to this? Wondering the same thing
@ not yet
If someone who has a CS or Fidelity personal account wants to open the business and they offer to connect the accounts so you can still view the personal and business all together, is this advisable? Or create the LLC brokerage without login capabilities?
I opened and LLC for Day Trading and have a structure set up. I was going to open a business "organization account" with Charles Schwab but to do so they want and minimum 250k to open. I wanted to start a biz day trading account with 50k? Is there another brokerage that I can do this on? Like Robinhood, Merrill or which ones do this? Or am I do this wrong? Thank you for your thoughts. Brandon
We will typically set up a trust to hold the account and place the trust into the LLC. The trust is not subject to the 250k requirement.
@ClintCoons Doesn't that mean your video is incorrect/incomplete? You specifically say request an application for a Limited Liability account, no mention of $250k min or hiding it using a trust.
@@chrisj979 It really depends on your purpose. If you don’t need real-time feed data because you already have a personal account where you can access this information, and/or you’re primarily focused on asset protection, then setting up an LLC is a great option. An LLC can provide the liability protection you need while keeping things straightforward. For those of you who are curious about trusts and more advanced trading strategies, I’ll be creating a video soon discussing trust structures and level 5 trading, particularly for traders working with accounts under $250k. Stay tuned for that! Thanks so much for watching, responding, and sharing your thoughts-I truly appreciate the comments and engagement. Let’s keep the conversation going!
What do you mean by level 5 trading? Do you mean Day trading? Also, curious why referred to personal account when putting the trading account into a trust and then that into LLC, how does the 250K limit come in? All a bit confusing for my little brain…please lay out the complexity here in your next video in layman terms. I have setup a trust for all my assets at this point.
@@gl.72637 Level 5 is the highest level of trading authorization, allowing you to execute any type of option trades you want, including advanced strategies like naked options and multi-leg spreads. This level provides maximum flexibility and control for experienced traders. To bypass the need for a personal property trust as a blocker entity before the LLC to gain access to real-time trade data, an account size of $250k is required or you will need to pay for the feed.
Is it the same when you are a non resident alien with a wy llc?
Generally no. Typically only an LLC will be used for holding US equities.
Will this structure work for precious metals as well?
Yes
I opened an LLC to day trade but not able to find a bank to link it to my LLC. Most banks don’t support day trading as a business. Do you have any recommendations for banks that will give you a business bank account for your day trading LLC ?
Also, do you have any recommendations for pro trading accounts? I tried to open an account with Charles Schwab but they have a minimum of $250 K
Hey. So I am a day trader with llc taxed as s corp. business account in fidelity. I was able to check Amex business checking account since I have Amex card. The only other bank that I was able to open an account in was Bluevine. But I reworded a bit in terms of what I do. Business will be investing in real estate stocks bonds and other similar investment products. Worked 😀
In this scenario we will set up a trust to hold the trading account and place the trust in a LLC. This is a workaround for the exchange fee on business accounts under 250k.
Interactive Broker has a Very Small requirement to open a business account.
Hi I have a Trading LLC but my NAICS code are not correct. For option tradings, which one is it? Thank you.
The codes do not have any impact on your business.
quick comment, you mentioned if you form the LLC with a spouse, it would be a partnership.....spouses are still considered as one for tax purposes, so no partnership return form 1065 is filed you still file under schedule C in your 1040 as a disregarded entity
Spouses can elect partnership tax treatment for their entity. If spouses hold an interest in an LLC the default tax election is partnership. If the spouses reside in a community property state the spouses may elect out of the default partnership status and instead choose disregarded.
Do you know if It is possible/ beneficial/ necessary to roll over positions from an individual to an LLC account with an offshore broker like CMEG for asset protection and/or s-Corp election? Currently trading here to bypass PDT.
I know you can in with most brokers if the LLC and personal account are with the same institution. Not sure about the offshore account.
how abut if you have multiple brokerage accounts like fidelity robinhood vanguard etc
You can use the same LLC.
So if we setup in WY, would we have to register as a foreign entity in the state we reside in??
I would recommend setting up a free consultation to talk about some strategies and how they apply to your unique situation. Sign up here: aba.link/5dw
Do you have any videos on non revocable charity trust to save on trading taxes?
I do not
@@ClintCoons do you recommend them?
Hi Clint, do i have to set up an WY LLC for the asset protection or any state LLC will offering the same protection? How is the cost to keep the WY llc in good standing each year?
Thanks
Wyoming offers superior asset protection from outside creditors I.e., your personal creditors. To keep the LLC in good standing we offer this service to our clients. If you would like a FREE 30-minute consultation, you can request one here
- aba.link/clintss or you can send me an email at ccoons@andersonadvisors.com, and I will have someone contact you.
If I reside in CA arent we reuqire to also have an llc in CA sonce thays where we are trading from? Thats what Chase bank told me.
Also how do you avoid the broker professional fees when you're tradong as an entity. I was yold yhey automatically categorize your account as a professional and your data fees all triple?? Os there a way around that?
You do not need a CA LLC for trading. To avoid the fees you must set up the account under a personal property trust and have that owned by your trading LLC or keep a personal account for the real time feeds.
I currently have a margin account at Etrade . Can an LLC have a margin account?
Yes
🔥🔥🔥
Can beginners as first day of day trading sign up for LLC?
Yes If you would like a FREE 30-minute consultation, you can request one here
- aba.link/clintss or you can send me an email at ccoons@andersonadvisors.com, and I will have someone contact you.
If a foreigner outside USA and have an LLC in USA then can he open an LLC account in Charles Schwab?
Yes
@ thanks for your reply.
Can I as foreigner owned trade LLC ?
Yes you can set up an LLC.
What LLC is best for tax savings, S?
I recommend registering for a complimentary consultation with my team. We'll tailor our advice to your specific needs. Sign up here: aba.link/5dw
Does this strategy also work for full time crypto traders? Thanks in Advance!!
yes
If you are from a different state aren't you supposed to pay your own state some tax because of your LLC in Wyoming? If yes, wouldn't everyone figure out you have an LLC in Wyoming that they can go after?
No because your tax returns are not public.
Question: Thank you so much for the Video - very informative. One question:
1) How to deduct expenses from trading such as computers, education, etc? The LLC will have carry those expenses? The trading income minus the expenses will flow to my 1040? is that so?
2) Are there any Transfer Taxes or other taxes of some sort when you roll your personal trading account to the PPT? ( what if its just cash in your Trading account - as a day trader you dont hold any stock position over night)
Thanks
The LLC pays a management fee and income split with the corporation. The corporation is the entity where you take the expense.
WAYYYY TOO much work for wanting real time data… Simply sign up with another broker that has free data… You can transfer your positions too without selling anything..
What meant by free data
By example:???
@@mackjewell8990 did you watch the video?
@@AIRfree I gave you the answer…. Go do some research… Stop being spoon fed
Set up a TradingView acct for ur data and market analysis.
you lost me.