What kind of tax structure would I want the holding company to be if the majority of businesses under it are triplex real estate properties registered as LLCs?
This was VERY helpful, thank you for the tutorial. But I want to make sure I'm catching what you're throwing. So, in essence, you're saying we should form a Revocable Trust at the very top level and this Trust will be the "Owner" of all personal assets (personal home, cars, etc). Then form an LLC taxed as an S-Corp as our Holding Company (this company will pay payroll, absorb all income and expenses for all entities underneath it, etc) and this Holding entity will be owned soley by the Trust. Then form all your business operating entries as LLC (disregarded entities / NO EIN) and the Holding Co will be the sole managing member of those operating entities. Finally, have your Holding Co. charge a "Management Fee" to all your business operating companies. Is that about right?
Two questions for you 1) Does it make sense to start building this matrix if at the time I only have my W-2 and a couple of business real estate properties? 2) Can I still use the depreciation of property value yearly for tax purposes to offset my passive income or do I first need to do the Bonus depreciation study cases to have that tracked?
You can still depreciate your properties based on the default schedules for commercial/residential real estate without doing a cost segregation study. However, the cost segregation study allows you to depreciate certain components on a quicker timeline than the default 27.5 or 39 years. Then the bonus depreciation allows 80% (for 2023; its phasing out each year) of those components to be deducted in Year 1.
What if someone sues you can’t a crediter come after your revocable trust sense it can always be modified?(meaning a judge can force you to dilute some of your assets to pay for damages)
I love your videos absolutely I’m so glad I seen this. I was trying to find out what I should open up first and now I learned. I made a mistake twice however, I did not get too deep into it. I opened up two LLCs, one of them being an S Corp. in New Jersey, now I know I need to start a trust then open up a holding company preferably in Wyoming or even Delaware then I presume I should close the old LLCs NS Corp., and then start again? Or should I basically sell them to my holding company and change ownership?
This is fantastic information. Question: how do I preserve anonymity when I need to work in one of the operating companies to facilitate the start of operations (I.e., one of the LLCs sells a product and I am the initial Sales/Marketing/Operations employee)?
I fall into some of this but have no real-estate other than personal. Can the holding company be in a different start, such as wyoming, if my LLC is registered elsewhere, then restructure?
Is it smart to have an llc per each real estate structure or just one llc and tie in all the properties to the one llc or do separate ones for commercial and separate one for residential what are your thoughts
@@edwardcollins_upleveled Hello and how are I’m very interested in this topic and what I wnt need to start and open a trust to be able to start the business I have in mind and the real state I plan to invest in
Very interesting and informative video. What about a foundation instead of a trust? Would that be a possible option? I am thinking of Panama private foundation. I am from Europe, not the USA.
I have a question that maybe someone could answer. If I have a trust which holds the investment, bank accounts and etc. Then I have the holding company under that followed by lets say several LLC's. Where is the money coming from to pay the bills? from the trust? example if I own a laundromat under and llc and a self storage place under another llc and rental properties under another. Do I need a bank account for each one? or does the trust pay all the bills? I hope that wasn't too confusing.
How can you use bonus depreciation on a rental property? It seems the limit is for the asset life on bonus depreciation is 20 years but a rental property depreciates at 27.5 years.
Thank you so much ! I just filed for a holding and a llc to do business Does the holding company have to file a operating agreement that says it owns the llc? Or does the llc just put everything in the name of the holding company that’s the part im confused on please help
@uplevelentrepreneur Hello and how are I’m very interested in this topic and what I wnt need to start and open a trust to be able to start the business I have in mind and the real state I plan to invest in
That depends how much risk you wanna take. If the LLC is sued, all the assets the LLC owns would be at risk. I’ve seen people put 1 property in each LLC. and I’ve seen people put like 2-3 depending on the dollar value of the properties.
I am 16
Years old and I love learning about this Tax and wealth game ❤😊
Tax benefits plus anonymity ❤
Thank you for sharing 🙏
This was amazing! Very informative. Thank you.
I’m new to all of this, trying to wrap my head around everything 😮💨
Thank for sharing
What kind of tax structure would I want the holding company to be if the majority of businesses under it are triplex real estate properties registered as LLCs?
This man is sharing all the cheat codes, thanks for the fantastic overview! No I just have to convince my wife to get onboard!
Mad respect for how much sportsmanship, love and respect was shown after the fight
What fight
Love your video about TAX & the 0% capital gains
DM me on IG sending the word "TH-cam", so we can guide you in learning better and deeper
Thanks for your videos. Please continue making more!
This was VERY helpful, thank you for the tutorial. But I want to make sure I'm catching what you're throwing. So, in essence, you're saying we should form a Revocable Trust at the very top level and this Trust will be the "Owner" of all personal assets (personal home, cars, etc). Then form an LLC taxed as an S-Corp as our Holding Company (this company will pay payroll, absorb all income and expenses for all entities underneath it, etc) and this Holding entity will be owned soley by the Trust. Then form all your business operating entries as LLC (disregarded entities / NO EIN) and the Holding Co will be the sole managing member of those operating entities. Finally, have your Holding Co. charge a "Management Fee" to all your business operating companies. Is that about right?
DM me on IG sending the word "TH-cam", so we can walk you through the process.
thanks for insight young sir !
Love this video
Two questions for you
1) Does it make sense to start building this matrix if at the time I only have my W-2 and a couple of business real estate properties?
2) Can I still use the depreciation of property value yearly for tax purposes to offset my passive income or do I first need to do the Bonus depreciation study cases to have that tracked?
You can still depreciate your properties based on the default schedules for commercial/residential real estate without doing a cost segregation study.
However, the cost segregation study allows you to depreciate certain components on a quicker timeline than the default 27.5 or 39 years. Then the bonus depreciation allows 80% (for 2023; its phasing out each year) of those components to be deducted in Year 1.
Thank you for sharing 😊
For individual LLC's - would you register them in WY, NV in addition to the Holding Company, Or in the state they are operating in?
14:00 this is where I am stuck, this is the most important part of investing and write offs. I will get there, but I am not there yet.
Excellent content!! Thank you Tax Guru/Sansei/Mentor for the financial life changing advise. Edward Verified!
You're welcome! DM me on IG sending the word "TH-cam", so we can guide you more effectively
I thoroughly appreciate your informational videos. Thank you!
DM me on IG sending the word "TH-cam", so we can guide you in learning better and deeply
This was great!
I would love you to do one of these for the UK!!!
Very good video ❤
What if someone sues you can’t a crediter come after your revocable trust sense it can always be modified?(meaning a judge can force you to dilute some of your assets to pay for damages)
Thank you so much
I love your videos absolutely I’m so glad I seen this. I was trying to find out what I should open up first and now I learned. I made a mistake twice however, I did not get too deep into it. I opened up two LLCs, one of them being an S Corp. in New Jersey, now I know I need to start a trust then open up a holding company preferably in Wyoming or even Delaware then I presume I should close the old LLCs NS Corp., and then start again? Or should I basically sell them to my holding company and change ownership?
This is fantastic information. Question: how do I preserve anonymity when I need to work in one of the operating companies to facilitate the start of operations (I.e., one of the LLCs sells a product and I am the initial Sales/Marketing/Operations employee)?
Algorithm algorithm algorithm algorithm algorithm ❤
How difficult is it to restructure everything?? We didn't do it this way 24 years ago when we started and now want to do it smarter...
DM me on IG sending the word "TH-cam", so we can walk you through the process.
I fall into some of this but have no real-estate other than personal. Can the holding company be in a different start, such as wyoming, if my LLC is registered elsewhere, then restructure?
@@edwardcollins_upleveled need more info. Help ?
Is it smart to have an llc per each real estate structure or just one llc and tie in all the properties to the one llc or do separate ones for commercial and separate one for residential what are your thoughts
Thank you for this video! I've always wanted to see a breakdown of this.
Also, when I make enough, I am hiring you!!
I’m happy that this content resonated with you. I wish you well in your Journey.
@@edwardcollins_upleveled Hello and how are I’m very interested in this topic and what I wnt need to start and open a trust to be able to start the business I have in mind and the real state I plan to invest in
Private express trust
Thank you for this, Edward. The link to join the community is not opening.
Should the holding company be member managed or manager managed? Taxed as an S Corp, C Corp, Sole Proprietor or Disregarded Entity?
Womdering if this works in Portugal!!!!
Accountable
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Do I need separate holding company’s to hold Passive and active income or can I use one holding company
Can bonus real estate depreciation be used to offset 1099-B or 1099-INT gains? Thank you for taking time to address my question.
Very interesting and informative video. What about a foundation instead of a trust? Would that be a possible option? I am thinking of Panama private foundation. I am from Europe, not the USA.
I have a question that maybe someone could answer. If I have a trust which holds the investment, bank accounts and etc. Then I have the holding company under that followed by lets say several LLC's. Where is the money coming from to pay the bills? from the trust? example if I own a laundromat under and llc and a self storage place under another llc and rental properties under another. Do I need a bank account for each one? or does the trust pay all the bills? I hope that wasn't too confusing.
Do you have any books for all that you’ve shared?
At what level of affluence/wealth should an individual consider establishing this matrix?
How do you cost-effectively insure (liability and comprehensive/collision) boats and automobiles titled in a trust?
How can you use bonus depreciation on a rental property? It seems the limit is for the asset life on bonus depreciation is 20 years but a rental property depreciates at 27.5 years.
Thank you so much ! I just filed for a holding and a llc to do business Does the holding company have to file a operating agreement that says it owns the llc? Or does the llc just put everything in the name of the holding company that’s the part im confused on please help
I just saw you on an instagram reel recommending just to file in the state youre in
That is my recommendation for the Operating Companies, for the Holding Company I like Wyoming a lot.
@uplevelentrepreneur Hello and how are I’m very interested in this topic and what I wnt need to start and open a trust to be able to start the business I have in mind and the real state I plan to invest in
what would be the recommended state for the revocable trust as assets protection tool?@@edwardcollins_upleveled
Is there anyone like this guy who specializes in doing thus in canada ?
Are the Uniroyals LD2 or RS2?
With rental properties, should you create a separate LLC for each individual property, or just use one LLC to own them all?
That depends how much risk you wanna take. If the LLC is sued, all the assets the LLC owns would be at risk. I’ve seen people put 1 property in each LLC. and I’ve seen people put like 2-3 depending on the dollar value of the properties.
Would like to ask how can someone with a W-2 (doctors/ lawyers etc.) claiming themselves as real estate professionals under IRS rules? 21:56
This is Edward Verified!
Can you refer me to someone in Wyoming to set up a trust and holding company?
How can I have a meeting with you or your team?
WHAT IS THE CORRECT WAY TO SETUP REGISTERED AGENTS
Matrix
Thanks Edward, this is great! Quick Question, if I am a w-2 employee as a construction project manager would that qualify me to be a REP?
DM me on IG sending the word "TH-cam", so we can walk you through the process.
Hey Edward do you have anyone in Texas (San Antonio) or anywhere else in Texas that can help structure my businesses and home
How to set it up for a farmer? They tax everything.
Do you recommend to setup the trust in the state you live in, and the holding company in a state that gives you anonymity?
by real estate professional he means having a real estate license?
No, 750 hours of real estate activity that allows you to be a real estate professional
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Lets get Flat tax for everyone 😊