Everand Logo

Welcome to Everand!

  • Discover millions of ebooks, audiobooks, and so much more with a free trial

    Only $11.99/month after trial. Cancel anytime.

    Tax Planning for Real Estate Agents
    Tax Planning for Real Estate Agents
    Tax Planning for Real Estate Agents
    Ebook53 pages34 minutes

    Tax Planning for Real Estate Agents

    By Alan Goldstein

    1.5/5

    ()

    Read preview

    About this ebook

    Knowing how the IRS treats Real Estate Agents is the first step in properly running your real estate career. This tax planning guide will cover the main tax areas that will help you to confidently run your real estate career without fearing the IRS.

    LanguageEnglish
    PublisherAlan Goldstein
    Release dateJan 29, 2014
    ISBN9780991506606
    Tax Planning for Real Estate Agents
    Author

    Alan Goldstein

    Enrolled Agent Alan Goldstein has decided to share his knowledge across several industries. He is the founder of Alan Goldstein & Associates and Emunah Nes Publishing. As an Enrolled Agent he represents companies and people who have tax problems. As a publisher, he publishes tax related books and conducts seminars on different topics related to taxes. Alan Goldstein, having earned an MBA in finance and licensed to represent tax payers before the IRS, feels strongly of finding a way to break down the complex tax rules and present them in an engaging way. His purpose is to encourage tax payers to properly resolve their tax problems before they escalate. His exposure to diverse cultures and his love for all good things has inspired him to build a business based on placing the client first, protecting the interests of clients, and always dealing in a fair manner.

    Read more from Alan Goldstein

    Related to Tax Planning for Real Estate Agents

    Related ebooks

    Taxation For You

    View More
    View More

    Related podcast episodes

    Related articles

    • Article

      Should You Do Your Own Taxes or Hire a Professional?

      Jan 30, 2020

      For some people, tax season poses little worry, and the process occurs painlessly. Simply populate the requisite fields on your 1040 with info from your W-2, claim the standard deduction, sign on the dotted line and e-file. After that, the check is

      4 min read

    • Article

      A Tax Guide for Investors

      Mar 7, 2019

      For most people, tax time is about as much fun as taking a bath with an electric eel, and taxes on your investments can be particularly confusing and irksome. Nevertheless, if you make wise use of capital losses and gains, you may find that you owe l

      7 min read

    • Article

      Give the Money, Keep the Tax Break with Donor-Advised Funds

      Jul 10, 2019

      I doubt many people would say that getting a deduction on their income taxes is their main motivation for charitable giving. It's more likely they've been inspired to support a cause they believe in or an organization they respect -- a children's ho

      3 min read

    • Article

      The Ins and Outs of Buying Long-Term Care Insurance

      Mar 9, 2018

      I often suggest long-term care insurance to my clients, and I almost always hear this objection: "It's too expensive." Yes, long-term care insurance is not cheap, but medical insurance and Medicare typically do not cover that particular type of care

      2 min read

    • Article

      Choosing The Right Property Manager

      Aug 1, 2019

      The guiding legislation around residential property management is primarily the Residential Tenancies Act 1986. But that’s not the only legislation landlords need to be aware of when it comes to renting out their properties. The likes of the Human Ri

      3 min read

    • Article

      5 Quick and Dirty Questions to Pick a Financial Adviser

      Apr 3, 2022

      Registered adviser, fiduciary, independent adviser, investment adviser representative, RIA, licensed, designated, unbiased, what does it all mean?  As an investor seeking an adviser, it can certainly be confounding.  Various types of licenses, design

      3 min read

    • Article

      Back to School: What You Need to Know about College 529 Savings Plans

      Aug 21, 2018

      It's that time of year again: To the collective relief of parents nationwide, the school year is about to begin. And with that, now is as good a time as any to review 529 education savings plans. After all, the 529 plan remains extremely popular, wit

      6 min read

    • Article

      35 Ways To Earn Up To 11% On Your Money

      May 10, 2018

      Since the Great Recession, many investors' portfolios have been a tale of feast and famine. Stocks have racked up hefty gains, while the lowest interest rates in a generation have meant paltry returns on bonds, cash accounts and other fixed-income in

      14 min read

    • Article

      Alternate Strategies for Stretch IRA

      Mar 3, 2020

      Over the years, we lauded the stretch IRA as one of our favorite tax-saving moves, to help mitigate the tax bill when nonspouse heirs inherit retirement accounts and build wealth for another generation. But all good things come to an end--starting th

      10 min read

    • Article

      The Costs of Caregiving Go Far Beyond the Obvious

      May 3, 2019

      Being a caregiver for a loved one is probably one of the most difficult tasks a person can undertake. Having professional caregivers helps minimize some of the physical strain but does not alleviate the mental, emotional and financial stress. Obvio

      2 min read

    • Article

      Tracking Inventory

      Aug 30, 2019

      Tracking Inventory
      2 min read

    • Article

      5 Things Your Kids Should Know Before They Inherit Your Money

      Jan 29, 2018

      Many parents fail to get their financial affairs in order, neglecting to take care of such things as wills, living wills and powers of attorney. But even those who think they've covered all of their estate-planning bases often leave one of the most i

      4 min read

    • Article

      The One Simple Move Keeping Americans From Getting Bigger Tax Refunds This Year

      Feb 14, 2019

      Take a vacation? Pay off bills? Buy a new car? If you're thinking of ways to spend this year's tax refund before filing your return ... wait! Trying to predict how much you'll get back (or pay in) this year is extremely difficult. Plus, even if your

      3 min read

    • Article

      10 Tax Breaks for the Middle Class

      Feb 19, 2019

      If you believe that tax breaks are reserved for hedge fund managers and companies with offshore subsidiaries, you're probably paying too much to the IRS. Lawmakers have enacted dozens of tax incentives targeted at middle-class families. Taking full a

      8 min read

    • Article

      Your Home Insurance Might Not Cover All You Think It Does

      Jul 8, 2021

      Today’s story has the potential of saving you thousands of dollars, plus the cost of a hair transplant to replace all that you would have otherwise pulled out. Property owners expect to be taken care by their homeowners or business insurance when a m

      2 min read

    • Article

      Qualified Opportunity Zone Investing 101

      Nov 18, 2021

      In Congress, political discourse took a temporary break from feuding when both sides supported creating significant tax incentives for Qualified Opportunity Zone (QOZ) investing — as part of the 2017 Tax Cut and Jobs Act. The Act was co-authored by S

      6 min read

    • Article

      20 IRS Audit Red Flags

      Nov 14, 2019

      20 IRS Audit Red Flags
      11 min read

    • Article

      Pay Now or Pay Later: Reducing Taxes Should Be a Retirement Priority

      Oct 1, 2019

      Do you have a plan to help reduce income taxes in retirement? That's become one of my top questions for the pre-retirees who attend my financial planning classes or come to my office for help. If they have to think about it, it means they likely do

      3 min read

    • Article

      What Type of Annuity Is Best For Me?

      Jun 28, 2019

      When you think about retirement, what's your biggest fear? If you're worried about running out of money, you're not alone. Survey after survey has found that building enough income to last through a long retirement is one of the top concerns for bab

      6 min read

    • Article

      Tax-Free Investment Strategies

      Sep 23, 2019

      "There's one for you, 19 for me, cuz I'm the tax man" was from the first tax protest song as performed by the Beatles. You see, Britain imposed the 95% tax bracket on the Fab Four, leaving them with 1 pound for every 19 pounds paid in taxes. In the

      4 min read

    • Article

      The New Hard Money

      Dec 12, 2018

      The New Hard Money
      3 min read

    • Article

      PODCAST: The Ins and Outs of IRAs with Ed Slott, CPA

      Aug 23, 2021

      Apple Podcasts | Google Podcasts | Spotify | Overcast | RSS David Muhlbaum: Individual retirement accounts. Lots of people have one, but are they getting the most from them? We talked to a master of strategy, Ed Slott, about the ins and outs of IRAs.

      22 min read

    • Article

      26 Things Home Buyers Will Hate About Your House

      Jul 29, 2021

      Despite the pandemic, home sales are outrunning their pre-pandemic pace. The sale of existing homes rose 1.4% in June to a seasonally adjusted annual rate of 5.9 million. Demand for existing homes pushed sales up by nearly 22.9% from the year before.

      1 min read

    • Article

      Property Rules

      Dec 12, 2018

      Property Rules
      2 min read

    • Article

      How Community Property Trusts Can Benefit Married Couples

      Sep 18, 2022

      Location, location, location is not just vital in real estate. Where you live also can have critical tax implications for your taxes, especially for married couples. There are two very different kinds of property ownership law for married couples in

      4 min read

    • Article

      To Gift or Not to Gift

      Sep 10, 2019

      In estate planning, giving away assets during your lifetime has traditionally been used to help lower estate taxes when you die. However, the federal estate tax exemption amount (the amount under which federal estate taxes do not apply) is currently

      4 min read

    • Article

      2021 Estate Planning Checkup: Is Your Estate Plan Up to Date?

      Jul 28, 2021

      Even though it’s critical for your assets, family and legacy, estate planning tends to fall to the bottom of people’s to-do lists. What new parent wants to draft a will while finalizing a nursery paint color? Who wants to talk extensively about life

      3 min read

    Related categories

    Reviews for Tax Planning for Real Estate Agents

    1.5/5

    2 ratings0 reviews

    What did you think?

    Tap to rate

    Review must be at least 10 words

      Book preview

      Tax Planning for Real Estate Agents - Alan Goldstein

      Real Estate Agent

      The real estate industry is getting stronger by the day. Construction is up, sales are up, financing is up, everything is up. The best part of it all is that your income is up. Now that your income is going up, have you prepared for the tax consequences of your increase in income? Don't expect your accountant to guide you as they generally just do as you say and file what you provide. Have you considered that maybe the documents you provide your accountant are not correct? Maybe you're not entitled to that certain deduction.

      This guide is not intended to cover all the expenses that you're entitled to as there are many general business deductions that you're entitled to. The purpose of this book is to focus on the areas that I receive the most questions about and these are areas that many people do not properly deduct.

      In this chapter I'll cover how the Internal Revenue Service (IRS) treats Real Estate Agents. You'll learn terms like statutory non employee, self employed, and self employment taxes. Don't worry as you can always review the information. Let's begin...

      IRS Status

      According to the IRS, if you're a license Real Estate Agent, and you meet the requirements below, then you're treated as self employed and subject to self employment taxes. This term is known as statutory non employee.

      • Substantially all payments are due to sales.

      • Income is based on output (sales) not hours.

      • Agent has signed contract that they are independent, not an employee, and are responsible for their own taxes.

      If you meet these requirements then generally speaking, you're self employed for the purpose of federal taxes as a statutory non employee engaged in the business of real estate.

      Self Employed

      Now that you meet the statutory non employee IRS requirements comes the fun part of being subject to self employment taxes. We'll keep things simple by assuming that you do not qualify for Clergy exemption, etc.

      Here's how self employment tax is calculated:

      2013 Self Employed tax rate is a total of 15.3%. That percentage consists of 12.4% for Social Security and 2.9% for Medicare.

      Enjoying the preview?
      Page 1 of 1