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9 May 2024 | 1 reply
From the single-member LLC, i pay myself 100k last year to max out on the solo 401k contribution, while still having a W-2 as an engineer as my main job.my main job pays me 170k/year (Google)my single-member LLC rental pays me 100k/year (as S-corp structure)my question is regards to the payroll tax, i know I already max-ed out on the payroll tax on the employee side, any additional payroll side as employee will be refunded in my tax return, how about the employer side.
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10 May 2024 | 22 replies
Scenario 2 If I use plan to purchase property, I have access to quick cash for closing but then I can refinance and have passive income to make contributions w (or not).
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10 May 2024 | 7 replies
Here are the key points:Reasons to participate in the capital call:It may allow the property time to stabilize and potentially sell within 24 months at a better price, avoiding a significant loss of LP-invested equity if forced to sell now in an inopportune market1.The additional capital can cover costs like rate caps and allow renovations to resume, which could help increase revenue and better position the property1.The operating agreement likely outlines the terms of the capital call that LPs agreed to2.Reasons to be cautious about participating:Capital calls can indicate the investment is not as sound as originally thought and is potentially at risk2.There is uncertainty around whether the additional capital will be enough to turn things around, especially if interest rates remain high and the market stays challenging for longer than expected4.LPs need to carefully consider if they would invest in the deal now based on the current facts, rather than just trying to avoid a loss on their initial investment4.Other important points:LPs should review the operating agreement, seek professional advice from their attorney, and ask the general partners detailed questions about the capital call2.If an LP is unable to contribute to a mandatory capital call, they may be considered in default and only entitled to the return of their remaining capital account balance, with no further distributions5.In summary, whether an LP should participate in a capital call depends on their individual assessment of the risks versus potential upside after carefully reviewing the deal specifics and getting advice from professionals.
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10 May 2024 | 19 replies
Everyone is different in the level of risk they are willing to take and the life stage you're in can certainly contribute to that.
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9 May 2024 | 9 replies
Honestly we would be ok taking a small loss and coming out of pocket for the difference and just consider it like a monthly retirement account contribution.
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10 May 2024 | 116 replies
Leverage has no material immediate impact on net worth ceteris paribus, because Bob Safe has one $500,000 home contributing $500,000 to his net worth.
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7 May 2024 | 5 replies
My wife and I are each contributing to the purchase and we would both like to be on title.
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8 May 2024 | 4 replies
CPAs, while essential for tax optimization and financial oversight, may not always be viewed as indispensable in the initial planning phase.Communication Gaps: There may be communication gaps or misunderstandings about the roles and contributions of CPAs versus attorneys and GPs.
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14 May 2024 | 164 replies
If my rental income covers my operational expenses then I don’t contribute a single additional dollar.
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7 May 2024 | 4 replies
I have a lender in first position (75% LTV) the seller will be financing (20% LTV) and I am contributing 5% LTV + closing costs.