Wealth Hack: Every Black Person NEEDS to Know This Money Strategy Now!

so we all want to be financially successful but no matter where you are in your financial Journey you are going to need a strategy if you don't dictate how little tax you pay then you can never really generate wealth or get rid of debt completely yeah yeah now before we hop into Today's Show be sure to like comment and subscribe now let's hop into the video hey Katrina what are the two things so we are getting towards the end of the taxis right pretty much everyone who already has already filed and gotten money back they did that in January absolutely yes um it's us who are business owners who waited to the last minute to file because we typically pay so right now with this getting towards the end of tax season going into the rest of this year what are a couple of things that that people from your chair um in a tax place what are people doing right now in the tax season so yeah you're absolutely right Anthony this is the time that business owners start to trickle in right so the other day we had an actual deadline for S corporations and Partnerships March 15th yeah the next deadline is April 18th this year for C corporations and for individuals right so what a lot of people are doing is either waiting this this is the extension era right like put me on extension I'm still not ready right and so we try to get people in this is the people that usually the individuals that you know know they're not getting a refund back are getting in a very little refund back so this is about the time that they start to come in and then of course business owners um what I'm finding a lot is small business owners negate the financial piece of the business right to us all right um so they don't do the bookkeeping so a lot of times when this time happens it's the the scram and try to gather things or try to get information in the right place or I'm sending my my son of my account all my receipts we don't take receipts right we may review receipts but we're not actually going to put in we're not putting receipts together yeah you talking you know so um so this is the time where the rubber really meets the road for a lot of people and this is when you know that whether you've been planning or not yep you know so this is where a lot of people find that they've um messed up a little bit you know there's one thing I saw on your uh on your podcast before where you talked about Building Wealth and getting rid of debt yeah you but the thing that a lot of people think is if you're never doing any tax planning you can never do either one of those things because all income is taxed right yes and so if you don't dictate how little tax you pay then you can never really generate wealth build wealth or get rid of debt completely yeah yeah yeah I was doing a study not really studying because I'm not an expert like you but I'm always researching and just looking up different stats and facts and I found this fact uh and correct me if I'm wrong because it could be a wrongful you know but I found that nearly 70 percent of small business owners do not do books absolutely and I was like 70 do not have QuickBooks or some type of bookkeeping in place yeah and I when I first started you know my CPA is uh Shania and um man when I first started my business I was like hey sis like I'm only making like you know quarter million dollars um and she's like that's a lot of money what's up your books right the books which mean books yeah I got a bank account she said no no no how are you keeping track of every dollar that you're spending and I was like I gotta do that she's like yes Anthony you budget your personal stuff how come you're not keeping books over here and so I promise you um retain her services I went to I'm applying for I'm saying this for the first time on my own shows but I am uh buying um some land I love it on a river and when I went to get approved for the land because the only debt that I'm cool with y'all know this is is really real estate absolutely and when I went to get approved um and even for I'm I'm buying land Katrina and I'm also getting us a new building to shoot the show out of and just growing and each one of those people the the landlord of the building that I'm renting and the bank who's asking um who who's going to be financing my land um they ask hey can you send us over your taxes and your p l yeah and a lot of people a lot of business owners know about the word p l but they don't know that it starts with your books yeah and when I sent them over my taxes and my p l and how detailed it was due to my CPA purposes you know and this is what you help people out with like they were like approved approved easy to the T because yo your p l is detailed yes we see everything contractors W-2 employees your income spending over here flights hotels we see your profit right clearly why do you think in your chair small business owners have a problem and they do not do bookkeeping yeah I think a lot of people fall into business right you know we operate we ain't gonna just let that slide don't you know what I'm saying how do you just fall into business I think people operate from their gifts right they operate from their gifts it's a natural thing and you and then you start to make money at it right now and then so there's like oh I gotta track this if you if you've got a creative mind then Financial stuff may not be your Forte right and so you're operating in your gifts and making money you're like oh I got to report this at the end of the year I'll just report it and I'll let somebody else deal with it right yes um and I'm like if this is your gift you're doing it a disservice yeah if you're not really affording it the opportunity to grow because if you're not managing your money if you're not managing it you can't really do anything outside of that right um and I think a lot of people I always say from a business a business is a four-leg a table right okay talk to it you've got your operations hold on wait I'm writing this down so you got operation you've got your operations you've got your marketing okay marketing you've got your Finance okay fine and then you've got your management piece right you got to manage all these things okay so from a lot of times the people don't they love the marketing piece they may love the management piece they may love the operations piece but the finance piece is a piece that most people don't want to deal with they want the money the income they want the income but the tracking piece is a different part and nobody wants to deal with taxes until it's tax time yep but putting your hand in the sand is really doing that it's still happening the world it's been in you know so I think the biggest thing is a lot of people do fall into business and all of a sudden because I talk to them right yeah yeah and they're like well you know I was starting to keep I I keep all my receipts I got my bank statements it's like but what good is that you know you can't get funding because the first thing they're going to ask for is a profit and loss a balance sheet um I'm like at the least do an Excel spreadsheet or a Google spreadsheet no just track your month no no no no yo real quick you guys are you looking to change your career here in the year 2023 if so look no further than Bethel School of Technology the only Christian online tech boot camp in the world according to a recent report black people make up just about four percent of the U.S technology Workforce but you see at Bethel Tech who I've partnered with for this year they believe that all people including us black people should have access to the lucrative and fulfilling opportunities in the tech industry now with their nine month program you'll gain the essential skills you need to start a successful career in in technology and let's not forget the earning potential you see according to indeed the average salary of a software developer in the U.S is around a hundred and three thousand dollars say what you know you can choose from programs like the cyber security and UI ux design and launch your Tech Career or even a tech business ignited with passion and purpose so listen we're going to skip the debt and we're going to invest into yourself for just nine months that can change the next nine years of your life all you got to do is join Bethel Tech today to achieve your career aspirations visit anthonyoneale.com Bethel or click the link in today's show notes today so you can register and start a new journey of your life now you know what let's get back to the show because this is a good one today let's keep it a buck you know what I'm saying because we can expect to run a seven-figure business we can't get to operating like we're making fifty thousand dollars you're right we can't ask God to touch something and make it excellent if we're giving subpar you're right yeah and and and and and so you know I rock with you you know what I'm saying but no Excel you're right no and I get enough I haven't Excel thing because I trap like I track on a daily basis because our income fluctuates so we get paid we get money every day yeah right and so I do have an Excel of this so I can keep track of it quickly yes but inside of my Quickbooks oh no it's thorough it needs to be it's through and I pay a lot of money for my QuickBook accounts it needs to be and then what I find a lot of times is people will have a business that Springs from their current business like that all of a sudden another ancillary product starts to pop right yep and then they just keep it grouped together yeah and I'm like that's another business right it's another business and you I see that a lot and I'm like oh yeah so everything in this even with people that do have a QuickBooks I they have it all in one I'm like everything's operating and and I'm like okay my favorite line and my cousin coined this I think I don't know make it make sense yeah you know because and I tell clients literally literally I tell clients that all the time because they're like can I do can I write this off okay explain to me how it makes sense yeah yeah because I you can write personal things off but I need to make you we need to figure out what's the business need for it right exactly exactly we just got to make sure that we quantify this because we always operate from the perspective that we're going to be auditing that's so good don't don't hide your head thinking I I'm not I don't want to be audited think from a perspective of if I modded it I got my paperwork absolutely I got my ducks in a row yes and not from a fear factor of I'm not going to do that because I'm not going to be audited I always tell clients that the biggest thing is is you got to validate what you're saying if we can validate it then I'm with it right yeah yeah yeah yeah what was the need for you to make this purchase right I'm thinking about going into another field of business okay well did you set up a new LLC yep yep yep you know we're not just going to operate it under this business right and the big and another thing that I find a lot of times is I'll get clients who put the cart before the horse right okay tools what you mean by that I had a client that I was talking to a few weeks ago and he came in for tax planning right he was like he's he's making multi-millions in his business and he's ready to build out a tax plan because he doesn't want to pay a lot of taxes but as I'm talking to him and I'm like you know send me over a copies of your last two years tax returns less you know he's like oh that's the thing I don't have my last two years tax returns and I was like what when was the last time you filed how you made Seven figures making seven figures and you ain't file taxes in seven years so you know what that means he he doesn't he doesn't value his own business because like how do you make that much money and you don't want to pay what you owe I'm not saying overpay but I mean if you're making seven figures that means you're not stewarding your money well you just blowing the money you're not yeah I'm gonna say this people get upset with me you ain't pay tax until you ain't running no business yeah you're not running a business yeah what you're doing is making money and spending money but you're not running a business accident you're not running business you are literally an employee you're self-employed that's a good way you're not running a business that's a good way to put it yeah your self employing yourself yeah bad grammar you're employing yourself [Laughter] trust me I don't like paying my taxes yeah I do not like it but when I when my CPA tells me hey you gotta pay taxes quarterly I'm like this sucks and but I'm like here's the thing too though which I think what I want to talk to you about because you're helping people you're even helping uh my right hand man CJ nurse um who also has his own business as well and you're you're his EA and helping them get stuff situated as well on his side of things but it's like I told this to all my friends Yes Y'all listen you guys it sucks paying taxes but it's like at the same time the fact that I can pay taxes that that's where I get excited yeah yeah what I'm paying out in taxes at one point in time was my salary that's a beautiful thing you know what I'm saying yeah so when I couldn't check the IRS I hate it but I also like it the fact that I can get the IRS a six-figure check it's a blessing I'm like well look at God look at God because that was my salary one time absolutely and I'm like we can't ask God to bless a mess can't ask God well give me 10 million if we can't even Steward the 1 million that we're making absolutely and people think well I'm making this money yeah great just pay your taxes yeah and and I want to go back because I like I like practical things outside I know QuickBooks is what I use are there any other programs that may be uh for bookkeeping that is cost effective for like new people who are maybe only making let me ask you this question and then let's give them some other resources right when should you start tracking and doing bookkeeping like is it like past ten thousand five thousand when you start the business no matter what when should you start yeah uh for I think the minute you start the business come on now you know because in all honesty you can start doing it yourself from the very beginning and just get familiar because you're gonna have to do this all the time right so from the very beginning and then uh after you start making enough money where you don't need to have your hands in every pot yeah hire somebody to manage it for you that's good that no that's really good before I connected with mine I went on where did I go it was a it was a it was an upwork or something like that and the lady was like and I was a little nervous because she was cheap you're like 200 a month oh yeah and I was like wow some of y'all maybe say Anthony that's a lot of money but for bookkeeping I'm that's a lot manager money yeah to to categorize everything upload everything you can get everything right for my my filing time I was like compared to what everyone else was charging me and quoting me I was like from that to 200 yeah my mama always said you don't go with the highest and you don't go here so because the lowest You're Gonna Get Low work yeah the highest you don't get too much work yeah that middle you're gonna get it right you don't get it right and I was like 200. that's it yeah and I was like Wow but I mean There Are Places to where you can hire someone yes uh to do it and and do you recommend okay this answer this question what's a good number it's like when they're making and maybe I'm off but I think right around on your side business we teach build a personal brand here or start a business or whatever it is I think when you start making above you know what I'm saying what's that what's the number about fifty thousand dollars yeah fifty thousand grocery spot yeah you need to hire somebody absolutely absolutely even probably before that a lot of times I think and I'm I'm a victim of this too right we shy away from hiring people because we're like it's gonna cost me money but we don't realize the ROI on that right it's gonna make me money because it frees me up yeah I just bought time yeah you know so a lot of times we hold ourselves back yeah because we're scared to make that investment into another individual we got to move forward you know sometimes I'm like figure it out later just get to going right you know and a lot of times we I see people all the time that have hindered their business because they've held off on hiring people they've held off on getting their books looked at yeah they've missed fun I have so many people that call because they're trying to get financed and realize that oh I needed profit and loss statement come on and it's like can you get this to me in two weeks it's like come on in September you want me to do too hey you know what I'll give it to you but I'm [Laughter] the price is ridiculous because time and it's time is money right it sure is oh my goodness listen y'all listen to me clear me clearly some a lot of you all have side businesses and you do not have your books in order you don't have the financing stuff in order and I I know trust me y'all I do money and I don't get excited about going to do my books um literally uh me and my firm we are literally going down and we're even going deeper in our books because I want to know every every four legs how much money am I spending in those forms absolutely absolutely and so that way I can make pivots and changes in my company because how can you grow a company if you don't know where you're spending your money at you don't even really know how much you're making exactly when I ask you that's the first question I ask what was your name what was your rep what did you bring in last year what was your Revenue but but they give you gross they don't even know sometimes sometimes people don't even know they're like uh I think I made about oh no yeah I know every single day how much money I've made gross and what's net but I want to know okay what what leg of my company is producing the most absolutely where am I spending more money at and where do I need to Pivot if I'm spending more money over there is it worth my Roi absolutely and if it's not okay I need to make some changes absolutely you know we just made some staff changes here because it was like we were effective but we weren't as effective right and when I saw the money I was like wait I could be more effective over here to free us all up to give us all back some time bring in some more help so we can even be more impactful absolutely but I couldn't have seen that if I would not have sat down with with the firm I'm like okay great this is wow I didn't see that yeah and it's like one of my friends says something you can't ah Darius Daniel says this all the time I forgot I'ma paraphrase it he was like but he was like you can't oh that's what it is you can't adjust something if you don't assess it yes and it's like if you're not always assessing your company and assessing your books and assessing your finances you can't make the proper adjustments to to move forward yes there's a yeah that's a and that's in line with this famous saying you can't measure you can't manage what you don't measure yeah yes yes yes and that's the truth that that he said that I came up with the age you can't adjust he says you can't measure I mean you can't manage but you don't measure and it's true that is so true it's the truth it's the truth I see battle I see we I have this conversation just about with every client and it's it's crazy because a lot of times people will say I don't why am I paying taxes much why am I because they don't see they're not managing they don't know like you made this amount of money and they're here's the kicker though a lot of times where I think um it really comes into play is you're missing deductions come on they don't even know that you're missing deductions because a lot of people are calling England like mixing with the person business right and then the second thing is just not keeping just not just not keeping track and then not working with advisors that can tell you what's taxable versus what's not and we talked about this a little bit too like the people that are getting the social media highlights about a tax strategy but not the not the details of how to implement it foreign yeah because I I'm I'm on YouTube I'm on social media and I get that like I I do so I don't want to knock people who are who are on YouTube or social media giving advice yeah I I hate it when people call me an influencer because I'm not an influencer I'm a thought leader like I I live what I teach I'm living right if I'm not living it I I don't do taxes you do taxes that's why you're at the table yeah and I'm asking you the question yes but I'm not going to sit here and give all this thorough tax advice and I'm not a tax expert and I get tired of getting on tick tock I get tired again on Instagram yeah write this off go buy this right here and write this off because if you write this off put this up in the LLC the LLC with the trust the trust will cover all that you can write off 100 yeah and I'm like there's so much more that you need to be teaching yeah because what you just said will get people audited get some people locked up and get some people in the financial trouble right yeah what is one thing you've seen on social media one thing that you've seen on social media as an EA and we're gonna break down because people are saying you keep calling her EA we're gonna break down what is an EA or what is one thing um that you see on social media uh that you're like hey okay this is partially correct but there's a lot more to that yeah uh hiring your kids hiring your kids yeah uh oh you better make somebody upset yeah I'd be saying that all the time yeah I mean it's it and the fact of the matter is is the Highlight is real right you can hire your kids and it's a tax deduction yeah it's the the how-to right they're missing that part okay how do we do that properly properly hire your kids you have to well now we got to look at the ages right okay let me give you uh is there an age you can do it yeah so there's a way to do it by age right so like so let's say 10 years old 10 years old right so what job are we going to give a 10 year old right because they got to have a job they got to have a real job description they got to have a real job description correct so what what is your 10 year old going to do so we need to have them a job just the same way you will hire a outside employee okay it's the same category that you have to hire your kids under okay so you need to have a job description okay what are the hours that they're working what's their schedule Gotta Have hours in schedule yeah you need to at least track the time right because if you have an employee you're tracking their time right okay what's their pay rate right pay rate we can't just say give them twelve thousand five hundred dollars and how how do we but wait a minute they said just give them 12 500 put inside the you know the little investment account yeah you know what I'm saying you straight and then the father can write it off and they good it works but you got to do these like the middle part stuff missing them it's missing the meat and the sandwich right and if I'm not mistaken to the pay rate has to match their job description an hour it needs to make sense let's make it make sense right and then so they need to have a job description you need to decide so if they're if they're seven years old to 10 years old right you're paying them you got they have their job it needs to be a job that they could technically really do right okay okay and so you're not going to have them this is my driver and they don't have a driver's license right right right right right right so a lot of people are saying hey I'm using my kid as a model of the modeling of maybe the clothing items absolutely absolutely yeah absolutely and you need to have an agreement that says that my child's modeling rate is this okay and this is what they're gonna have and their need to have you need to have the money go from your business bank account like you're paying an employee okay to the child's bank account you can be the custodian on that account but the the when I see hire your kids and just pay them twelve thousand five hundred dollars I'm like oh there's so much more to it to validate this right you can't just hand the kids the money directly it can't be the allowance and you write it off in your business that there's a process it's the same way you would hire an employee you would hire your your kids right and it is a tax strategy the other one I see all the time is uh live rent free and they're really talking about the Augusta rule where you get 14 days uh where you don't have to where you if you take 14 days or less you don't have to pay you don't have to report that income right right but there's a process with that as well everything the IRS is a process for everything right right so it needs to be um fair fair market value for the rent right okay 14 days or less you need to look for the other areas what the going rate is for other venues in your area so you can validate how you came up with your fair market value right I think everything put everything in the folder right right what's the when you do have so say for example if you're renting your place out to your business those those we'll say one day a month right right what's what was the meeting purpose who attended what was the topics you need to keep notes meeting minutes to validate if you get ordered you need to say here so Katrina I'm going to host a uh Mastermind at my personal absolutely it's going to be for a weekend three days yep here in my here are my things so for me to legally and ethically do it correctly you're saying that I need to look at what is the going rate in my subdivision or in just I can discount just in that just in the area so you can call like local hotels that have rental spaces in there for for venues you can see what those rates are okay you know find something that's comparable right and the rates that are going to be right right so you find something that's comparable and you say that their daily rate is a thousand dollars a day so I'm gonna I'm gonna charge myself a thousand dollars a day okay okay and then let's say if it's a thousand dollars a day going around here um that's three thousand dollars you're saying legally and ethically you can write off three thousand but some people are saying this is how you write off twelve thousand uh just by charging yourself uh what's that four thousand dollars a day yeah yeah when the IRS didn't come in and audit and be like okay wait cool you charge Yourself four thousand but we did some research that's not even exactly right around your area yeah where did you come up with this number right yeah because that's just the rental so a lot of people think well well that's the rental but what about the food well that's a different that's a different that's a different category right yep so the rent boom and then you could do that once a year or twice a year you can do 14 days a year 14 days 14 days fourth long as it's 14 days and under that's the Augusta rule where it's you don't have to claim that you can take the deduction from the business right but you don't have to even if it's not a business right if you did the Augusta rule because where it really started from was Augusta Georgia for the Masters right so people were renting their homes out for it to accommodate people to come to the Masters every year and they were like wait a minute we shouldn't be paying tax on this income we're doing a service so they fought it in court and won well it doesn't what whatever wins for the IRS Court it applies to everybody who's receiving you know in the U.S income right okay and so that applies to all of us we all get to do that strategy however it has to be done an appropriate it has to be done right let me ask you this question a good question so some people work out of their home okay so let's say if they're working out of their home they're writing off a percentage of the square home office of their home right and then does the Augusta rule can a Guster rule go on top of that it can but I always caution people about that right okay because you're double dipping right come on so I'm always like we got to lay these out we got to lay this is where the planning comes in place right yes because then we have to lay out what are we saying are we contradicting ourselves here are we shooting ourselves in the foot so we have to lay it out now if we're only saying that we're using the home just a small percentage right then yeah we can we can go on top of that okay but we really have to be cautious to say we need to make sure we're validating our claim right right here's the here's when we use our office this is when we use the other area of the home we didn't use our office for that we use this we use this other space yeah and we use that 14 days or less right yeah so it just we have to really think through things it can't happen after the after the fact we really need to think about it when we're planning things out talking good and that's why I say a lot of times the tax filing time is that's just a check box for the IRS that's compliance right right planning happens all year when you're making the money what am I going to do with this and it doesn't just happen for business owners it happens for people that are employees too right yes because there's two ways to that we're taxed if you're a W-2 employee and you're working for someone you you make your money they pay the taxes then you get What's Left Right whereas a business owner you make your money you pay what you need to pay and then you get taxed on what's left so same same outcome but where we have the control at is up top right we can from a business owner's perspective we control what the deductions are so we need to implement strategies on maximizing those deductions right you talking but as a W-2 employee as an employee most of your savings are gonna come from pre-tax exactly so you got to get it before the IRS gets it gets to them before it even gets to you right yes so you need to make sure you're maximizing your 401k your health savings account your Flex Pay any any options that you have for pre-text clean them out yes yes because you're not seeing the money anyway no it's already gone through the meal facts and start a business facts because that's where your real strategy is going to come in at come on you bake a cake all of a sudden you're a baker right then you realize you make so much money banking you don't need this to do this anymore amen and then but from this perspective on as a business owner oh God you can clean up but you have to do it the right way and it's not like you're just trying to say I'm taking deduction up on top of deduction there are you're if you're buying assets for your business if you're actually doing things in your business you're supposed to get this stuff off anyway come on come on I think one of the things I remember I'll never forget I got my first on my own I got my first large check they mailed me the first one it's 35 000 and in my head my flesh said well that's thirty five thousand dollars yes you're going to deposit thirty five thousand dollars and then the business side of me said but I know thirty five thousand dollars that's about twenty thousand dollars yes I'm already in my head yeah so I opened up another account and so now I move money automatically anytime when it's deposit into our account a certain percent of it is moved into it profit first yes because I'm like I just want to make sure that I'm I'm wise and I'm smart uh with with my money and I think to to give people just wish I want to give them a an escape but I am the money guy so I'm a little bit more anal with money yes right but I think our business owners I have a lot of friends I have a lot of peers and they just tell me man yeah man I haven't filed in a few years yeah um I have a good uh real good friend um and Cali and he told me that him and his wife hasn't filed in almost three years and they're in the hair industry and I'm like bro listen the IRS is slow but they don't forgive yeah and they gonna hit you right when you don't expect it yeah and if you ain't pay taxes in three years and you don't pay this year or next year you looking at six figures you're gonna have to cut and that's six figures plus fees yeah you can't afford that yeah and then now you're gonna be in real trouble yeah and I think that's why people need to connect with you yeah and and even when they do oh like that there's a solution for that too right so we do representation and resolution for them to either get an offer and compromise or installment agreements we do work with people in that area too um and speak on their behalf but I do say um I've dealt with that a lot and where where people have called my bank account is frozen and it's like the Panic sets in right or they've got an IRS letter certified and all of a sudden it's like I'm like it's real yeah because there's an IRS they let you know are we on the way or they've got or somebody's trying to sell their house and they got to lien on them they can't sell it so it's it's really real right yeah and a lot of times even when people are trying to file bankruptcy you know I I have a partnership with the bankruptcy attorney when they he sends them over when they have to because they have to have their last two years tax returns so he's like these people need their tax returns done they need their tax return stuff and so it's it's a requirement yeah are these black people white people everybody okay everybody I feel good everybody oh no this this happens it happens yeah because no I just I just get I can't I just met I get so I don't know the word like I just get nervous man it's really people that have earned it's it it's really income earners too like high income earners because they do get attacked you do get taxed so much right yeah and so a lot of times they like I'm just not going to deal with it this year and then you know how that cycle starts and then you're not dealing with the next year and then you're not dealing with the next year these are doctors attorneys every everything you know and but once that cycle starts it's like I don't even want to pull the Band-Aid off no you don't until they get a freeze on their account or lean left a lean letter or a certified letter then it becomes very real or until and then when I'm sensing two now is that especially in a small business world is I didn't file taxes and they don't understand not filing taxes actually costing you more money because when you go to buy a home yeah you can still finance a home without filing taxes yeah you're going to go a bank statement loan route which is expensive and that's going to be Market Value Plus like two percent yeah that's expensive right it really is eight nine percent absolutely on your money yeah and I'm like rather than you just filing taxes and they're getting a conventional loan now you're at market rate plus two percent and you're still going to eventually have to file the taxes there's no work around it like because you're you if you're ever going to want to get back on the right track yeah you're going to have to file taxes and watch this and if you want to stay on the right track after you fix yourself you're going to have to start managing your books right absolutely so it's like why not start the process now with the company like yours was a great leeway into um you um I've been calling you with EA and I don't think a lot of people know where the EA is yes we know what a financial advisor is we know what a CPA is and we even we know what a you know a bookkeeper is but what is an EA and what's the difference between right the EA and the CPA absolutely no I'm glad you asked this question all right where's the camera so an EA stands for enrolled agent right so an enroll agent is the highest licensor licensing that the IRS authorizes right wow so federally licensed we have to similar to a CPA we take four tests okay well no we take three three our three tests but they're all tax law okay very intensive tasks the CPAs take four tests one test is tax okay the other are accounting right okay um so an EA specializes in tax tax law taxation representation right for taxes um CPAs are state license EAS are federally licensed right wow um but we all do the same but most of us do the same thing sometimes I'll have people call me and say I'm looking for a CPA but all CPAs don't necessarily do taxes right so I'm just do accounting most most do but some don't do uh taxes right whereas an enroll agent specializes in taxes you specialize in Texas and a CPA specializes in accounting accounting wow and a part of a county a part of accounting taxes absolutely that is absolutely good absolutely yeah so enroll agents if you're thinking tax tax law taxation tax representation enroll eight that's what that's all of our testing right all of your tests and then we have to do so many hours a year to keep our licensing active and all of those things so I'm in classes twice a month wow because the Law changes like I was saying earlier I'm like a law probably changed today right so you twice a month every quarter I'm at a conference because this is not something an industry where you can rest on your laurels yeah yeah well like I said it I got it I'm set it and forget it no no no the IRS requires that we can keep hours every year that we have to have so many in ethics we have so many in tax law we have so many in retirement savings because taxes cover everything right um and so yeah enroll agents specialize in taxes all things taxes uh this is why y'all need to be watching what y'all be watching on Tick Tock because they're not in school two times a month they're not going to conferences but they're doing is Googling stuff and some of the stuff on Google is false or it's not made it may not be false it's outdated and those strategies have changed and those laws have changed like that one law just changed people talking about how you can write off a six thousand pound car 100 that Law changes eighty percent eighty percent and I'm like and I'm still seeing people on Tick Tock here's how to write off your car over six thousand pounds I'm like bro you're lying you cannot legally and ethically do that right now then I see someone who says well there's always a way around something and there probably is but that's why you're gonna get with the EA or CPA and figure out okay can I do this romantically yeah and if you can cool great but you just can't go off of let me go buy this because a tit talker said it yeah you you better ask questions you better you better retain someone and and get in there and talk about retaining someone why is it important to retain someone like yourself an EA um because some people may say that's expensive you know and let's be honest it ain't cheap absolutely but is it without you it's it can be expensive absolutely and and I tell and I say this all the time jokingly but true facts factually too it's cheaper to see us during tax time to file taxes and and have advisory service just to get advice from us than it is to not file for years and then have to get representation because then we're attorneys in that in that and acting as attorneys representing power of attorney yeah and so then it gets expensive right yeah and so and when I have people like I'm not gonna file this year I'm like I'm not going to file this year I'm not gonna file this year three years I'm like you I'll be seeing them I'll be seeing them again but they got to come I'll see you again but I'll see you under duress right right you know and I I don't want to see that for people I really want people to because you can't Prosper right right you know I know we all have the same goal we want to we want to create generational wealth we want to make sure our families are better than we came into right and so and my biggest thing is financial literacy like I'm I work with kids I want to make sure that we yeah know what these numbers mean they tell a story yeah and a lot of times I see people you know I see why businesses fail it's not because it wasn't the business wasn't successful yes you didn't manage it that's it that that's it they're not managing their business and their time well and if we go deeper because my spiritual beliefs you're not managing your gifts and your skills and your talents that God is giving you well you're prostituting them when you play with it it doesn't it doesn't work out in the end absolutely absolutely and I see a lot of people playing boss or playing business but they ain't a boss and I'm like you're making money but we gotta wait okay that's what we got to do come on now this is what we got to do dude are you ready and they're well how much is it I don't think everyone says man I want to be a boss I want to be an entrepreneur no the heck you don't you just want to make a lot of money yeah there's a lot of stress and there's a lot that goes into place of running a successful business yes you know I got five people five families that depend on me and my decision every single day yeah three of them are here today yes and if I don't run the business well financially then it's going to impact them absolutely and as a business owner I got to make decisions with the money that the team may not even like yeah but I see the numbers absolutely and I'm responsible for the numbers and you can't make those decisions if you don't see your numbers no and I've seen people go out there and hire all these contractors when they don't even know they don't have the money to make that higher yeah and I'm like bro what are you doing oh we did like 20 grand last month that was last month what is your numbers projecting for the end of this year you only made 20 grand one month the month before that you made five and don't under and I think a lot of times even though I'm glad you said that I think because the seasonality of a business every business has a season right we have our Peaks and we have our valleys right every business and you have to know what that looks like if you're because it happens every year right we look year over year to see what businesses are doing yeah and we see where the Peaks are we see where the dips are you plan accordingly to that yes yes like we're not gonna of course most you think about even department stores they hire people in season holiday right oh now from October to December you gotta go and then January 1 God bless it this is our peak season where we're making money and we know we're not going to make that much after the fact so we can't afford to maintain these amount of people the hotel industry when they're higher summertime when they're about to have people exactly man that's so good so you talking good right now see this is why you gotta get with a an EA a CPA someone who can sit down with you and say all right look what is your strategy and game plan and here's the truth if you really want to be a business owner I think the most important thing is the foundation the foundation is your finances how are you stewarding your finances well what is your strategy because if your finances are in place if you know exactly what you have coming in if you have a strategy and a plan with the EA or CPA then that dictates your operations it dictates how you're going to Market to take the management and the people that you hire on your team but I think it's backwards everyone's go spends all this money on ad spend and be like yo let me go drop 10 grand on spending ads well maybe you should have dropped three yeah because it's like it's it that's the better plan absolutely for the future yeah absolutely and that is something that I've really been big on myself because our company has done very very well um and even last year I was I did my books all last year great books right um but this year I want to go deeper and okay look how do I make better decisions with the money how to make better decisions with the people I'm hiring right how do I hire them within the budget that we can afford um how do we spend money on ads how do we spend money on certain things um and then also as well what am I projecting so that way I can I can make better decisions for the company down the road right and I just man I just get around people so yeah I get around people who don't have a plan and so if people are ready to get on the plan with someone like yourself um what does that look like is it expensive um how can they reach out to you because I told you all like like I don't want y'all doing Excel I think it's great if you just started off because I mean do something because if you come to them from the very beginning if you come to someone like um EA and be like hey I have my Excel but I'm starting to make a lot of money I need some help um I think that's that's great but at the same time it's almost like we can't ask God to bless us with the Bentley we don't know how to take care of the Honda Accord oh say that we we can't ask God to bless us with the million dollar home when we can't take care of the quarter million I mean a quarter million and it's like where we're wanting to go as a business where we are wanting to go um as a corporation you got to put things into place and respectfully you're not running a business if it's just you and you're spending all your money you are literally self-employed the business is when you're running a business you have a strategy you have some team members and you you said something a trinity that was so good that people are scared to hire people before I hired my boy CJ on to to be my right hand man um you know we pay CJ's over six figures and I remember calling my brother-in-law because I was scared I'm about to pay someone six figures bro yeah and it was like bro you better do it he said you should have done that a while ago yeah I was like bro I'm scared he was like why are you scared he said do you know how much Freedom that's going to bring you to where now you can go out there and focus on this then we did that and we hired like three other people and I was like bro this is crazy but these team members and other contractors um have literally taken loads off of me that has allowed me to be more productive in my gift that now brings in more money right right and I'm like okay yeah now I'm trying to figure out what my well my CPA how can I hire more people yeah because I need more help like have more freedom yeah and and do you help come up with that plan yeah we we look at a lot of things for business owners right one of the things I look at all the time is you know what how can we scale this yeah yeah you know it's always like okay here's this channel of money coming in but how does this scale yeah and so a lot of times what I'll ask is what are the services that you're offering and then what's the one that's what's bringing in the most money love it you know because we do all we all wear multiple hats right yes and sometimes we're wasting time on stuff come on you know I want some place of money on something right and so but we don't know that until we look into it right and so I say a lot of times like what are the services you're offering what's what's bringing in the most money where is your time being spent at and one of the scenarios that I run a lot of times is if you made no more money with what you have in your account how long could you sustain the business if you didn't make another dollar today what's here how long and we know that these are the standard bills that are monthly happening yeah how long could you sustain yeah and we at least want to see about 6 six months right yeah sometimes we got like 1.5 you know some sometimes a zero like you got to make this money because it every everything's going right back out so then we know we gotta either and I'm not a fan of cutting costs and and just just to cut costs right right because sometimes you just need to you got to grow you got to open up the door I like that you know but I'm also saying here's your top five spin areas yeah yeah and I work with a lot of Real Estate Investors right a lot in the short-term rental space and that sort of thing and usually the biggest fee for those people is cleaning fees right so we know that that's going to be but I'm I'm an entrepreneur right so I think with an entrepreneur's hat when I'm talking to clients and I'm like okay so does it make sense for you to build your own cleaning business oh now you're writing off and your fee is going to be much cheaper because you only got to pay the and then you can control oh my God what happens because you got people not showing up because it's their business right you got me thinking you see what I'm saying you got me thinking if we keep spending money in the area does it make sense to create it does it make sense 1200 a month to clean my house that's what I'm saying 300 a week does it make sense to for this if it does this if this is where I'm spending my money how how can I make this how can I make this smarter and that's where that's where talking to somebody else does because I'm thinking from a different perspective and I talk to business owners all the time so I see what's happening I have a guy making a million dollars selling tickets three million dollars selling tickets but and I'm like how'd you fall in this he's young and he's like oh I just start buying a few and then I flip them and then I you know so there's so much and I there's no shortage of money there's a shortage of ideas and putting the right resources in place to make things happen there's no shortage of money when I hear we're in recession I'm like yeah technically but there's still money out there oh yeah oh yeah I'm about to I'm about to get in the cleaning but for any service that you're spending a lot of money on does it make sense I had a guy years back he was spending money on uh the delivery service for their business there so I'm like does it make sense for Katrina my dad wants to build a um a double garage outside to store his lawn stuff and put his car he calls me and says hey it's gonna run me about 50 Grand I said really he said something just two days ago to me and it you you gave me an idea he said man I'm about to get the Contractor License myself because he was like and I'll just hire the people because he was like the problem that he's running into is that people don't have the contractor license but they're they're they're they're good handy they can build it but they don't have the license to build it right now I'm about to call my dad and say that that is a smart move and here's why get your contractor's license due to LLC you become a contractor in the county now that before if he would have paid them 49 000 right you can't write that off yeah now you pay him 49 000 properly legally and ethically get with the EA you can write some of that stuff off now yeah because now you own that business absolutely let's go everybody in the show I'm gonna call my dad um y'all listen y'all um we are going to put Katrina's information her business in today's show notes she is uh a jewel um a queen in this space she's already working with one of my team members I'm trying to get her with my other team member as well and here's why because I hear a lot of business owners saying I'm gonna do my taxes because they're trying to save money respect let me say this I think that's the dumbest thing you can do as a business owner you need to have an expert who knows way more than you who can get in there and save you money so I would rather pay a professional fifteen hundred dollars if they can save me 10 15 000 and I promise you you don't know everything when it comes to taxes I don't know everything when it comes to taxes and if you're trying to save a dollar spend a dollar so you can save 10 times that dollar and so we're going to put all her information her company information in the show notes uh today uh please reach out to them even if it's not the file taxes get the plan you know she specializes in taxes this is her thing from the IRS and I've met with her and her team and I I truly do love them been talking to them now for about two months um just to vet them out just to make sure they cool because you know I've only exposed y'all to my CPA because I love her but I want to give you all options because I know my CPA she's really expensive now she ain't cheap right now uh but her prices are definitely um I think perfect for where she's at and I think some of y'all could benefit from her Services uh compared to my CPA so um I want to bring on the EA someone who specializes solely in taxes to help you all get that plan this year so go check them out all the information been in today's show notes I'm about to get up off this show so I can call my it because we're going to two businesses two businesses that we get into the cleaning business and we're getting into the contracting business and I'm about to build my house so I may become a contractor myself got that going it uh so I can have that right off yo we'll see y'all next show peace out y'all [Music]

Channel: The Table With AO

Views: 105,808

Keywords: anthony oneal, anthony oneal debt free degree, anthony oneal student loans, money, budget, how to save money, personal finance, debt free, how to budget, how to make money, how to get out of debt, african American, black, culture, millennial, student, EYL, save on taxes, tax code, certified public accountant, pay less taxes legally, tax write offs, enrolled agent exam prep, enrolled agent course, enrolled agent jobs, tax preparer, tax preparation business, anthony oneal podcast

Id: somDBzrglG8

Length: 53min 34sec (3214 seconds)

Published: Wed Apr 26 2023