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Updated 3 days ago on . Most recent reply

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1
Posts
1
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Interested in learn ing more about REI and hear this is the place for just that.

Scott Cunningham
Posted

Good morning all, thanks for offering this amazing resource. 
I am Scott, a recently retired Firefighter here in the SF Bay Area looking to invest as I continue to work a W2 job and am in the latter steps of starting a small business, mobile bartending services here in Ca. 

I am weighing differences of REI vs Business Ownership and really trying to weigh the pros and cons to both.

Tax advantages are important to us as we a higher level W2 earners and the taxes crush us annually. 

We have a child at University and are looking at options of "employable" tax advantages with him as well, i.e. paying him as an employee of the business and using that write off rather than just paying his rent from the account every month with no advantage. 

Thanks again for having me, Im looking forward to learning more about the community and the opportunities within 

Scott

Most Popular Reply

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127
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74
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Wilson Lau
  • Real Estate Agent
  • San Jose, CA
74
Votes |
127
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Wilson Lau
  • Real Estate Agent
  • San Jose, CA
Replied

Personally, I started off as a business owner, which allows me to become a real estate investor later on. I would say both are great vehicles if you employ them correctly according to your needs and situation.

Like @Nicholas L. mentioned, real estate is a long term game, and in many cases, they are performed "passively" under IRS definition unless you are doing flips and self-managing STRs. This is not financial advice, but business ownership on the other hand can have write-offs that have direct impact on your active income. Again, both have their risks and, rather than saying which one is better, I would ask which one fits better to your needs/ goals/ lifestyle.

  • Wilson Lau
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