As an initial foundational issue, trusts for estate planning, such as Revocable Living Trusts, are not going to provide asset protection, but are typically designed for probate avoidance, incapacity planning, and distribution of assets after your passing.

That “50%” thing only matters for profit splits/distributions, not for whether the losses offset her W-2.So yes, if you qualify as a REP and you’re materially participating, you can use all of the depreciation losses against her W-2, not just half. 

Reporting & Distributions• Payout on the 15th.• Portal: P&L, statement, open tickets, receipts, cash forecast.• Optional: 15-min owner call/month.Options: 10th/15th/20th • must-have reports • owner call yes/noAgreement & Offboarding• 12 months with 90-day trial, then 30-day termination with no penalty.• Clean offboarding incl. data/docs.Options: 30/60/90-day notice • M2M after 6 months?

Ask how it derived an answer if you are dealing with things like taxes.

Rent distributions still pending as we approach the end of August.

The derogatory term, derived from "McDonald's," describes the generic, tasteless nature of these homes.

Quote from @Fernando Alonso: Hey Joe,Welcome to the wild world of Florida foreclosure auctions.You're asking a great and very common question, so let me try to clarify it as simply as possible.Under Florida law, the money paid over the judgment amount at auction is called a "surplus", and it follows a very specific distribution order:1) Junior lienholders to the foreclosed mortgage get first crack at the surplus.2) If anything remains, the previous owner (or their heirs) can claim it.3) If no one claims it after 1 year, the winning bidder (you) can try to recover it.4) After a few years, unclaimed funds eventually go to the Florida Department of Education.Now, here’s the key part for your case:The HOA lien is not a junior lien to the foreclosed mortgage unless it was formally recorded after the mortgage and named in the foreclosure complaint.

Portfolio = Income derived from financial instruments like dividends (including REITs), interest, royalties, and capital gains.Mostly income w/out loss potential, and favorable tax rates.Cap losses may offset cap gains w up to $3,000 loss.

First year distribution was ~$200k.  

By default, all profits you take out of the LLC are considered distributions, and those distributions are subject to self-employment tax.