Tax Savings
Structures, deductions, and the moves that legally keep more of what you earn.
The Roth IRA Is the Most Wasted Account in Real Estate
How real estate investors should actually use a self-directed Roth IRA, which assets belong in it, and the custodial Roth play for kids on payroll.
How to Avoid Depreciation Recapture When You Sell a Rental Property
You took the depreciation deductions for years. Now you're selling, and the IRS wants some of that money back. Here are the six real ways investors legally reduce or defer depreciation recapture, and the math behind each one.
Beyond the Basic 1031: Reverse Exchanges, DSTs, and the BRRRR-to-Exchange Playbook
The straightforward 1031 exchange isn't the only tool in the code. For investors who've already done a standard exchange, here's what a reverse exchange, a DST, and converting a flip into exchange-eligible property actually look like.
7 Year-End Tax Moves for Real Estate Investors
Pay your kids, lock in your REPS hours, order a cost seg study. Seven moves to make before December 31, laid out as a six-week checklist.
How a 1099 Contractor Can Track Hours to Qualify for REPS
As a 1099 contractor you have no timesheet, which makes the more-than-half REPS test tricky. Two ways to document your hours so real estate wins.
What Activities Count Toward the 750-Hour REPS Test (and What Doesn't)
The IRS list of qualifying real estate activities for the 750-hour Real Estate Professional Status test, plus the four things investors assume count but don't.
Do You Need REPS if You Invest in Short-Term Rentals?
You can qualify for REPS and own short-term rentals, but for pure STR investors it's often redundant. When you need one, the other, or both.
Does a Real Estate Q&A or Conference Count Toward Your REPS Hours?
An hour of Q&A or a day at a conference usually doesn't count toward the 750-hour REPS test. Why the investor capacity rule leaves it out, with the rare exception.
Can You Qualify for REPS as an Out-of-State Investor With a Property Manager?
Out-of-state ownership and a property manager make REPS harder, not impossible. The grouping election is what can pull your scattered hours over the line.
Can Spouse Hours Count Toward Real Estate Professional Status?
Spouse hours can't help you clear the 750-hour REPS test, but they can help satisfy material participation. Here's the line between the two tests.
How to Track Your REPS Hours So They Survive an IRS Audit
The IRS recordkeeping standard for the 750-hour REPS test, what counts as proof, and why a contemporaneous log beats a reconstructed one.
How We Pay $465/Month for Family Health Insurance
Health insurance keeps more people at jobs they hate than anything else. The ACA math real estate investors get wrong, and the fix that cut our premium.
How We Pay Our 11-Year-Old Tax Free (and Why She Has a Roth IRA)
Our daughter has been on payroll since age 5. The documentation, the wage logic, the W-2 vs 1099 answer, and the Roth IRA stack, explained by a mom who does it.
Cost Segregation Timing: The Rule Most Investors Miss
Bonus depreciation is set by the year you bought, not the year you do the study. How cost seg timing works and the checklist to run before paying for one.
The STR Loophole Explained: How Airbnb Hosts Use Real Estate Losses to Cut Taxes
Most rental losses are passive and can't touch your W-2 income. Short-term rentals can be different. Here's how the STR loophole works, and the one habit that makes or breaks it.
The 1031 Exchange: How to Sell, Defer the Taxes, and Scale Your Portfolio
I traded one single-family home cash flowing $580 a month into five units cash flowing nearly $2,000, and paid zero capital gains tax to do it. That's the power of a 1031 exchange.
The Tax Escape Room: Can You Spot These 8 Missed Tax Opportunities?
Meet Mike and Sarah: $250,000 in income, three rentals, an Airbnb, a business, two kids, and a big check to the IRS every April. See how many of these 8 tax planning opportunities you can spot before they did.
The Augusta Rule in Real Life: How I Used It for a Mastermind and Paid for a Family Trip
The Augusta Rule lets you rent your home for up to 14 days a year without reporting the income. Here's how I actually used it twice, one win and one I wouldn't repeat.
How to Pay Your Kids From Your Real Estate Business and Build Their Wealth Tax-Free
IRC §3121(b)(3)(A) lets you pay your kids tax-free from your real estate business. Here's exactly how the strategy works, with real numbers from my family.
Real Estate Professional Status (REPS): The Year-End Tax Moves That Save Investors the Most
I watched a physician couple earning $600,000 wipe out their entire tax bill, legally, with one spouse, some properties, and a few deliberate moves before December 31st. Here's the playbook.
Section 179 vs. Mileage Deduction: Which Vehicle Tax Strategy Saves More?
Should you write off your truck with Section 179 or take the standard mileage deduction? Here's how each method works, three real examples, and how to tell which one keeps more money in your pocket.
7 Tax Strategies Real Estate Investors Wish They Had Learned Years Earlier
A single tax strategy can be worth more than finding a slightly better deal. Here are seven tax moves I wish more investors understood earlier, from cost segregation to year-round recordkeeping.
The Short-Term Rental Tax Loophole: How a W-2 Earner Can Write Off Rental Losses Against Active Income
REPS is the famous real estate tax strategy, but it usually requires one spouse to leave their job. The short-term rental loophole gets you to the same place, offsetting active income with rental losses, while you keep the W-2. Here's how it actually works.