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Financial Planning / Tax Strategies
|Subject: Re: Tax Deferral Ideas||Date: 8/29/2003 12:01 PM|
|Author: HunterFamily||Number: 66707 of 122846|
I can see how the extra hassles of the tax breaks may not be worth the time involved.
A buddy of mine has been trying to convince me to buy rental properties; commercial and residential apartments. He actually quit his job three years ago, and now cash flows $200,000+ a year from these properties. I wouldn't mind doing it, but my wife can't stand having any debt, even when it cash flows profitably ... just the idea of having large outstanding notes payable like that would drive her insane.
Like you said, nothing wrong with putting money away in stocks and watching it grow .... debatable, (although my buddy doesn't feel so) and arguably a better return than real estate, and without the headaches.
I liked your comments on the "rental property". Funny the lengths will some go for a tax break or profitability. I worked on an audit once when they were borderline profitable .... the CFO actually wanted us to include $20K of promotional material as a prepaid expense, to turn his loss into income. We didn't do it of course, just sad what some will do ...
Thanks for your comments.
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