Mr NQDC
@MrNQDC
Helping execs and business owners slash taxes, turn income into wealth and avoid Wall Street traps •• Posts are not advice
High-income employees and execs can supercharge tax deferral with a Non-Qualified Deferred Compensation plan. But how does it stack up against a 401(k)? Compare the pair! #TaxTwitter
Can’t beat the tips @ankurnagpal has shared to build your kid a giant Roth IRA by 18 using a Trump account PLUS the new tax bill expands 529 rules → more ways to use the funds, or → roll into a Roth Tax-free growth now Tax-free income later Generational wealth unlocked
The new tax bill created Trump accounts for all children under the age of 18 If you are a high earner, here's how you can arbitrage these accounts to make your kids tax-free multimillionaires:
Think your Airbnb is passive income? Not if you’re doing it right Short term rentals can unlock major tax write-offs…even against W-2 or active K-1 income But only if you meet strict rules: → stays ≤7 days → no personal use → material participation + all requirements of…
Talked to a guy who had won the game yesterday Retired, good nest egg in 401k and brokerage Then he told me his plan to avoid taxes on the 401k withdrawals Plans to buy STRs every year and use bonus depreciation to offset the tax - he’s 67 This is the definition of letting…
This is a master class in stock comp strategy ....every RSU-heavy exec should read it @tkopelman and the AllStreet team call out the real world missteps they see all the time And how to fix them Just two of many gems: → You're not actually blocked from selling during…
Most executives are paid like this: • 10% cash • 40-50% bonuses • 40-50% RSUs/PSUs Most end up at a large monthly deficit even with a large yearly surplus If you’re an executive, you need to carefully plan around this Here’s exactly how to do that:
This is Exhibit A in how @NxtGenPlanning is a must-follow… He gives a daily deep dive on key things to know if you want to get ahead in your personal finance Love these ways to improve your credit score One more: → pay off your credit card in full every week or month
My goal in posting on Twitter is to answer the most common personal finance questions I get asked. When I saw this chart, I knew I had to do a quick thread on credit scores:
Already doing a Backdoor Roth? Don’t stop there Ask your employer if they allow the Mega Backdoor Roth It lets you stash up to $70K/year into a tax-free-forever pot inside your 401(k) A cheat code hiding in plain sight And ask HR about a Non Qualified Deferred Compensation…
Roth IRA Misconceptions: 1. “I can’t contribute because my income is too high” Not true… You can contribute via backdoor strategy regardless of income (as long as you aware of pro-rata rule) 2. “My balance is locked up until 59.5” Not true… Roth IRA *contributions* can…
The biggest mistake high earners make? Getting tax advice that’s too focused on this year Roger’s right: terminal wealth matters most Want to win at tax planning? → Shrink your lifetime tax bill Not just your April bill More for you & your heirs Less for the IRS
Perspective is critical in tax. Terminal Value of Wealth is a foundation of tax strategy because it grounds you in reality. One day you will earn the last dollar you will spend. Where does the rest end up?
Those of us who work with successful execs & entrepreneurs can confirm: The hedonic treadmill is real Charlie Munger said it best: We’ve moved from survival to comparison From hunger to envy “Envy is the only one of the seven deadly sins that gives you no fun at all”
So much truth in this I work with so many extremely wealthy folks who don’t feel it All because the next net worth goal is always in their head And they’ll always feel this way if the goal continues to move
You crush it in the boardroom…but are you quietly losing a fortune with this 1 big money mistake? Too many execs check the wrong box at enrollment …then take their non-qualified deferred comp (NQDC) as a lump sum at retirement A $1M payout all in one year = $1M of taxable…
Another underrated tax move? Guess which tax perk for business owners & high-earning execs just survived the new tax bill untouched? Section 409A lets you defer unlimited salary & bonus into future years …when you expect a lower tax bracket, like sabbatical or early…
If you are a business owner and have never heard of the Pass Through Entity Tax (PTET) then listen up - S Corps - Partnerships Are all pass through entities that can do this That means the profits flow through to you, the owners tax return This can lead to a lot of federal…
If you’re earning (or gunning for) $1M–$10M business income, this episode of The Long Game may be the most valuable hour of tax planning you’ll get all year @TKopelman & @TheTaxNomad didn’t just talk strategy …they gave away the kind of tax alpha most pros keep behind a paywall…
The 401(k) isn’t just better than an IRA or SEP …it’s a whole different weapon It’s not even close…and here’s why: → The Mega Backdoor Roth is a cheat code - - You can stash up to $70K/year into your 401(k) for tax free growth - - $140K/ year if you’re a business owner and…
60% of Americans contribute to a 401 (k) for retirement. But few understand the implications of retirement withdrawals. Here is what to know:
What if I told you one of the most common money mistakes high earners make… is also made by financial advisers who should know better? It’s this: → Choosing Roth 401(k) while in the highest tax bracket of their life High earners, say it with me: ✅ Pre-tax 401(k) now 🔄…
Want to know the #1 thing that separates real financial planning from just picking investments? Tax planning… and it’s the beating heart of great estate planning too …and both are at the heart of real financial planning Learning how to avoid the landmines is exactly why…
So... you inherited some money How is it taxed? This is a question that comes up a bunch Here's the answer... it depends The type of account or investment you receive makes a difference: 1. Taxable account You get a step up in cost basis Let's say your grandma bought $10k…