About admin

This author has not yet filled in any details.
So far admin has created 92 blog entries.
20 05, 2016

The Shawshank Redemption, Clarified

This is one of my all-time favorite movies. You may remember the scene when the inmates were on the roof and the evil guard was bemoaning an inheritance because the taxes would just take it all away. Then Andy Dufresne asked him if he trusted his wife. That question almost cost Andy his life until [...]

13 05, 2016

Four Flavors of Tax

As if Basis Tax Law weren’t confusing enough, now I’m talking tax flavors? This chapter may seem basic, but many people still struggle with understanding the basic definitions of tax ramifications. The four flavors of tax: 1. A tax deduction is not a tax credit. This is the most common misconception I hear. For instance, [...]

29 04, 2016

I Want it Now!

In the movie Willy Wonka and the Chocolate Factory, one of the Golden Ticket winners touring the Chocolate Factory was Veruca Salt, heiress to the Salt nut fortune and a real brat. When Veruca doesn’t get what she wants immediately, she acts out until she finally wears down all opposition to her selfish demands. In [...]

22 04, 2016

Proceeds and Cash Flow and Gains, Oh My!

Congratulations! You just sold your rental home and you’re ready to move on to the next chapter. You found the perfect beach view condo in Maui for $350,000 that you should just be able to afford with the cash from your house. Hopefully. Do you know what you’ll have in your pocket when the deal [...]

15 04, 2016

When Giving Definitely Feels Good!

Giving away your tax liability doesn’t feel good, it feels great! Personally, I serve on several charitable boards for organizations that do phenomenal things in our community. I have found that being a CPA, or a “walking calculator,” is a skill that boards of directors need. As a shameless plug, two of my organizations are [...]

8 04, 2016

Have Your Cake and Eat It Too!

You hate paying taxes, but you like helping people, and you have the means to do so. What to do? Consider my conversation with the Pessimistic Pat. Me: “Pat, I have a win-win for you.” Pat: “Go on.” Me: “You have that piece of land that only produces a property tax bill for you to [...]

1 04, 2016

Who Gets the Cactus Plant?

I’m not imaginative enough to make the next one up. It really happened. An elderly mom had three children and all were very close. Indeed, the three sons lived with Mom into their sixties. Yes, the four of them lived together most of their lives, and that’s not even the strangest part of this story: [...]

25 03, 2016

Raoul, the Pool Boy

Catchy title, but the real topic is “Credit Shelter Trusts: How to Pass Assets to Your Family and Not to Somebody Else’s Family.” Here is the situation. You’ve worked your whole life and you have kids with your wife of many years. You are a pretty smart guy so you do your own simple will [...]

18 03, 2016

How to Ruin Your Grandkids with One Sentence

The most ruinous sentence? Leave them money that is all theirs when they turn 18. Let’s say Grandpa has a fairly sizable estate and knows how hard it is for young people starting out. In his will, he splits $1 million between his five young grandchildren. He doesn’t like paying attorneys and doesn’t want to [...]

11 03, 2016

Grandma, Please Don’t Give Me Your House!

Certain activities such as dentistry, tattooing and estate planning should usually be hired out to someone qualified and not performed at home. Few people know enough to do their own estate planning. One of my clients consulted with Grandma to gift her real estate during her lifetime in order to avoid probate. There are two [...]