All Forum Posts by: Jeff Nash

I’m local and in the BP tax professional directory.

I assume you are eligible for it and I would go with the solo 401k as @Dmitriy Fomichenko stated.  Much better for tax, investing, and liquidity purposes (can borrow).  

Cash value life insurance can serve a purpose but it is not an apples to apples comparison and if you are going to have to make a choice based on your fact pattern you would go with the retirement plan.  There is a good chance the financial advisor you are using would not be able to benefit if you opted for the solo K or SDIRA if you invest in alts or real estate.  

If your ever want information for a particular state you just need to navigate the applicable state’s taxing authority -https://dor.mo.gov/taxation/.   

@Greg Scott gave good advice.  

@Jake S. what is the expected net sales proceeds?

Check this out - https://www.biggerpockets.com/...

I believe there are one or 2 people on here that might be local to you. 

@Stanley J Black can help you and more details are needed to make an assessment.  

@Dominick Johnson I want to make sure I understand what you mean by financial advising as that can be a vague and broad term. Does your tax strategist hold various designations which might include being a CPA/CFP/EA/PFS Series 65, 7/63? Does the scope of your engagement include tax preparation, tax planning, investment advisory services, accounting services, preparing a financial plan and monitoring it periodically, etc? That amount you said you were charged is not rounded off so I am curious. When it comes to the services I outlined they are usually assessed in different ways such as a rate per hour, fixed fee per month/quarter based on time estimated collaborating with the client, financial resources that need to be managed and allocated (% of AUM/AUA), and overall complexity of the clients situation. Based on the example you provided which was really just specific to tax (and maybe bookkeeping) it seems like you got a low return without knowing the details. The compliance work (tax preparation and bookkeeping) obviously just has to be done and is a certain cost whereas strategizing/consulting/advising (whatever you want to call it) is an investment on your part and should produce some type of ROI or multiple of return on savings. We personally have segregated these services by different operating entities so that they are not commingled and it's more ala carte.

For tax purposes, you can handle the situation using a combination of 1031 and 121 as described.  @Whitney Nash can go into more depth and address the specifics of the 1031 rules.

@Bob S. i think you forgot “….and no feelings” - Gordon Gekko, Wall Street.  

This topic is relevant as I just had conversation with a CPA and his client yesterday with respect to setting up an LLC and making an S-election to save on self-employment taxes. This client was located in NJ and told by a consulting firm that he should employ this strategy. The issue is that NJ among other states require a natural person rather than an entity to be paid, unless the agent is a broker in which case there are also some stipulations and some additional costs of doing business. In any case it's an issue of assignment of income which is prohibited. I'm deviating a little from the original post but saw some the other commentary which is great and wanted to expand on it a bit.