All Forum Posts by: Anthony Tran

Thank you all for all the valuable inputs.  Overwhelmingly, the best route is to hire my daughter under my managing company.  This is more straight forward route.  Anthony

Hi Ali,

Thank you for your inputs.  I definitely need to hire a CPA to find the best situation for me.

I want to have a solo 401K down the road with my LLC. Issuing a W2 to my daughter will not help.

A 1099 or a sublease strategies will trigger self employment tax on her, but her income is way below the standard deduction, it should not be too much.  Again the devil is in the details, thus the CPA.

Anthony

Hello all,

I have a property management company (LLC). I want my daughter to learn real estate. What is the best way to pay her?

An employee and give her a W2? Hire her as a contractor and give her a 1099? or lease her some properties and have her sublease out?

In the same token, should I keep her in my tax filing? or have her file independently?  She is in her first year of college.

Thank you,  Anthony

@Ryan Normand

Of many contractors I talked to over the phone, they said that they don't perform this kind of service.  Then I asked them if this can be done, they stated yes.  They don't do it because the money is not there.

@Sergey A. Petrov and all,

Thank you all for your advices.  I need to start to make more phone calls.

And for the tenants...I will issue them a 60 day notice if they do not perform.  I am using the City inspector as my back up.

Yes this property is in the class D neighborhood.  I get what I paid for.

Great investing everyone!

@Sergey A. Petrov,

I did not expect this thread to turn this way.  My intent was to get some Sacramento contractors reply to me that they can perform this conversion.  Going through Home Depot and Angie List did not help.  I wish I get more success with BP.

@David M.

No.  I want your opinions/advices.  Any bits help.

I see all replies are from out of state.  This is why I want some opinions from CA folks as well.  I want to make sure I act in a legal way.

@JD Martin

City inspector has come and saw the trash situation.  There is a write up on it.  The tenant has better do the cleaning.  Otherwise, I would use that excuse to let them go.

On the rats front, the tenant has put a lot of works to prevent them from coming in.

@David M.

I see you are from NJ.  Maybe some other CA BP can answer my question.  Can I issue my tenant a 60 days to quit because of rats situation?  I have talked to the neighbors, they confirmed to me that there are a lot of rats in the neighborhood.

Hi Chris,

We are working on getting rid of the rats.  The problem is the tenants have a lot of trash around the house.  I have paid multi times the dumpster on their behalf.  They managed to get more (trash).  As long as they keep them coming, no pest control can help.

My best solution is to give them a 60 days notice to leave the property.  I gain more because I charged them $600 below market price.  

I know I should look at the best interest for my business.  I know if I evict them they will never find a place to stay.   They have been with me for about 10 years already.  You think I should get rid of them?

Anthony