Tax-Exempt Investments
Did you know there is a reason the “rich get richer”? Successful entrepreneurs make financial plans and learn to invest wisely. By mastering the skill of investing these entrepreneurs get the most gain between returns and tax savings, which can then be reinvested for exponential returns. Believe it or not, every successful business strategy begins with a financial plan. At Rosillo & Associates, your financial success is our number one goal. Our comprehensive system will determine your short-term and long-term goals and create an ongoing process that will allow you to achieve and maintain those goals.
Save Money by Reinvesting Your Taxes
Smart investment decisions are based on good budgetary disciplines, cash available for investment and adequate investment return and appreciation partnered with tax savings. Tax deferred investments offer the ability to reinvest non-taxed gains until a later date and time. Meanwhile, tax deferred appreciation on non-taxed gains helps your money to grow exponentially.
Tax-Exempt Municipal Bonds
Municipal bonds are debt obligations issued by governmental entities, which use the money to build public projects such as schools, hospitals, and highways. When you purchase a municipal bond you are lending money to the government entity, in return, you receive periodic interest payments and the returned principal on the established maturity date. The interest income you receive may not be taxed by either the state or federal government, depending on the type of bond. When compared to other risks and interest rates, it is a very good benchmark.
Tax-Exempt 1031 Like-Kind Exchanges
There are many Tax-Exempt 1031 Like-Kind Exchanges, as commonly known in real estate, you can avoid paying taxes on business investment gains when you use all the proceeds to purchase your next investment property. This Like-Kind Exchange is great for building wealth because saved tax dollars are reinvested into the next investment.
Investing Tips:
- Determine your budget, goals and your ability to take on risk.
- Compare and benchmark your investment opportunities. (Hint: the higher the investment risk, the higher the return).
- Compare the risk and return for each investment to determine which investment is best for your investment risk tolerance.
- Select investments that save on taxes and meet financial goals.
- Prepare a budget based on your current income.
- Setup your financial goals.
- Create a comprehensive plan to achieve your goals
Reinvesting tax savings is a huge opportunity for savvy investors to build wealth. Give us a call so we can get your tax and financial strategy started today.