Rental income tax rate?

[Zachary Critchett]

How much of my rental income should I set aside for taxes? I'm almost finished reading The Book On Rental Property Investing and it still hasn't mentioned any guidelines about how much tax to set aside? Maybe I missed it... Any suggestions?

[Andy D.]

@Bryan O. and @Jeff B. have said it pretty much all. But of course the devil's in the details especially with "all your other expenses" as @Natalie Kolodij wrote. Because here some people might be very mistaken in, for instance, believing that their entire mortgage payment is a "cost". Now while this is only relevant for those with a mortgage (compared to those who bought all cash), I guess that'll be the majority of investors here. I thought I mention that since the questions from OP imply that he might not be too familiar with the whole "tax thing". :-)

Therefore: make sure you have a (good!) CPA who tells you what to do, especially for a) the first year, b) the year in which you bought something (e.g. because of different depreciation figures) and c) when you sell something. Oh, and CPA fees are a deductible cost in this situation. ;-)