How to Save Money On Business Taxes

Authentic Business Adventures Podcast

Larry Pendleton - Larry Pendleton CPA On the Getting the Right People: ""I gotta be able to kind of find the right people to trust instead of finding someone that I halfway trust and I gotta oversee every every step of the way." Just about every successful business owner has learned, often the hard and expensive way, that taxes can be a heavy burden to carry. Once your business starts bringing in some money, after going through all of the sweat and challenges, you learn that the government wants a very large piece. But how do savvy business owners navigate the tax code? They do it with skilled CPA's that do more than just enter numbers and spit out results. They do it with careful tax strategy to help you and your business make smart moves before it is tax time. Larry Pendleton is a CPA that went from hustling numbers like most accountants to really bringing tax strategy to his clients. Larry shares his transformative journey from having a limited mindset to becoming an astute real estate investor, thanks to the guidance of a trusted partner. We explore Larry’s first profitable residential investment, the challenges of dealing with contractors, and his strategic pivot from property flipping to new construction for better stability and lower risk. Larry sheds light on the intricacies of cost segregation, a powerful tax strategy popularized by the 2017 tax reforms, and discusses the depreciation rules that real estate investors navigate. We also delve into the concept of self-directed retirement accounts, a game-changing financial tool that allows for diverse investment options beyond traditional stocks and bonds. Listen as Larry gives details and strategies for both business taxes as well as real estate investing. Enjoy! Visit Larry at: LarryPendletonCPA.com Podcast Overview: 00:00 Former athlete advising on tax strategies and coaching. 05:15 Accountant becomes year-round adviser and coach. 13:09 Struggling with project, need trustworthy professionals. 15:57 Adapting real estate investments to market changes. 22:45 Rolling over retirement accounts, choosing short-term investments. 29:44 Lack of promotion of self-directing investments. 31:30 Investors look for credibility, security in deals. 38:05 Explore budgeting, technology, and planning for accounting. 45:27 Clients aspire to be investors, achieving freedom. 49:50 Public accounting firms specialize in different areas. 55:52 Depreciation benefits and potential government changes summarized. 57:41 Understanding tax savings and depreciation in investments. 01:04:03 Quick cost assessment for new construction. Podcast Transcription: Larry Pendleton [00:00:00]: Then you wanna know, okay, how much you how much is needed? How is secured? Like, who are you? Like like, what's your credibility and and and and what's my returns are going to be. But it's the security aspect of where like, are you sure, like like like if everything goes wrong, like am I at least gonna be like make my money back where, like, with with stocks and bonds, like, you can really lose everything. You can lose everything in real estate as well, but that's more so just not doing the proper due diligence, not, not really knowing what you're doing. James Kademan [00:00:33]: You have found Authentic Business Adventures, a business program that brings you the struggle stories and triumphant successes of business owners across the land. Downloadable audio episodes can be found in the podcast link found at drawincustomers.com. We are locally underwritten by the Bank of Sun Prairie as well as calls on call extraordinary answering service and the Bold Business Book. Today, we're welcoming slash preparing to learn from Larry Pendleton, CPA and tax investment coach. So, Larry, how is it going today? Larry Pendleton [00:01:04]: It's going great, James. Thanks for having me. How are you doing? James Kademan [00:01:07]: I'm doing well.