ASK LORAL: Trusts, Taxes, and Short-Term Rentals

John, welcome to Real Money Talks, real strategies from the money makers and the world changers that you can use to make millions, keep those millions, multiply your wealth and build your team. Here's your host, author of five New York Times best sellers, money expert on Dr Phil CNN, CNBC, the street TV, Fox News and the view. Laurel langmeier,

welcome all of you. And again, you're ask Laurel, where, if you here's what I'm gonna say. You need to be reading the books, and instead of making assumptions about how you're interpreting them, you want to start getting assurance. So you start asking questions. Is this what you meant by this? I don't know how many people misconstrue our debt conversations, equity conversations, not understanding debt and equity collapsing insurance with Ira questions and entity questions like it's crazy, some of the like assumptions, and they're completely wrong. And I know by the way questions are asked. So here's your question. You have two kids and a w2 income in low six figures. So is that a w2 or 2w? Two together? You want to build a cash machine around short term rentals. What would be the sequence of getting started to work with your team? First you jump into the big table, and you would start doing, like, all of my real estate, education, how I became a millionaire, I've been in the jersey market. So we'd assess, do you really want to buy in that market? Do you want to meet other people from the big table in our community? Maybe, like, right now, I'm investing mostly in the Midwest, Kansas, Missouri. I do own some in Ohio, Oklahoma, Texas. So we'd assess, where do you want to be? Where's the best place for short term rentals? It's not to say Jersey isn't the jersey shores, for sure. So you got to find your market, and then we got to put a team around you. So first we have to assess, where are you on your you know? Where are you in the market? What's your experience? Then we move into, like, real niche coaching, into real estate, raising capital, if you need capital, or what kind of funding Do you have, and how do you get that moving? And when I own, you know, any sort of real estate businesses I own, construction, distribution, hauling, staging, house cleaning, so I owned it all, so I kept all the cash flow. So I'm known for, like, being the cash flow queen in real estate. So and then once you decide on where you're going to go, we're going to move you to the corporate compliance team. Overall, you'll you'll probably take a walk through our tax team, because everyone that we know, most people, if by 99% of our clients there, you guys are overpay in taxes. So we just want to assess your tax strategy, and then so now you guys are live high and Burnett do so you said you have a w2 is it one w2 or is it 2w twos? We can't hear you use

they have one right now. He's a software engineer,

okay? And then your stay home, mom, you can shake your head?

Yeah, she's a data analyst, but she's out of work right now,

okay, but that's all right, because you could be the one picking up and really getting busy in your jersey market. So do you have any capital to put to work to begin investing? You have any initial like IRAs, Cash Money Market

stock? They have about six figures tucked away in an IRA, and another six and a 401, K, and they've got three kids to really start putting this generational wealth together. Perfect.

So you guys, I mean, you have a good foundation base, we just have to get you structured in the right, you know, setup. And then after you get moving and making some cash machine and making some money, then we'll get make sure that you have a trust, you have life insurance, you have all the other things that you need. So then we actually build the whole legacy plan. But for now, I think for you guys, I mean, it's get you to and Nick and just all you use strategists. We have some really good, good new real estate coaches who just raised their hand and said, you know, we're multi millionaires. We want to come because all of our coaches have gone through the big table, and lived it, breathed it, and know how to coach it well. And so the person we're going to give you, you might want to go to her market. So it's Kelly in Texas. Kelly owns about, yeah, she just took my clients. We're going to give her a bunch of real estate folks, and she'll get you real fast. You know, Ohio is not that far away, and I can tell you, we have so many clients in Ohio that just the cash flow over there. It's different. It's more sustainable, especially if you put it next to universities. But if you go to the shores, like where you guys are, you're going to get more it's just going to be a bigger dollar turn to turn it, because the real estate is so much more expensive.

Actually, Airbnbs, sorry, yes, I was going to say we're not that close to the shore. We like right in up up North Jersey, Newark. Yeah,

it's not bad. I mean, then I go around hospitals. I mean, again, we just got to do more of a market assessment of what is your market really have. So you guys could start looking now. I mean, what are, what are. Airbnb or short term rental rates going for, do the HOAs, or certain, you know boroughs I know, in New Jersey, where we avoid it at all costs, because the landlord laws are really borough centric, which is like our county Nick It's just the New Jersey is their name differently, so your market first and then move, and then, obviously, do everything else we talk about in corporate life, and get in what's great when you have kids with real estate, it's easy to get them working for the company. It's so easy. Yeah, those little tax deductions. It doesn't have any tax deductions yet. We're not encouraging anyone, including my son's getting married this weekend. I said, no little tax deductions for five years.

Prepare. Get ready for them.

Oh yeah for sure, by the way. Does that help give you a little bit of a sequence of how we're going to get you going. First, we got to assess what market you want, what do you have for finances and credit, and then we put a plan around you, and then we get going. So

technically, I would say the the very next step is to jump in the big table so we can have access to those resources.

Yeah, and then, because you would access every team member, thank you so

much for your time, and thanks for answering on the question. Thank

you. Talk soon, and then let's go to Camilla. Hi,

hello. How are you? Camilla, I'm great. I'm in a car, so if it gets loud, I apologize.

All right, so you are in Florida working with Laura. Your question is, I have heard that Delaware and Wyoming are the best states to set up trust. That is not true. I was completely not. I don't even that's a totally a wrong assumption. So Delaware are good for IPO kind of companies. Wyoming's the new kid on the block. Nevada is still the oldest kid on the block for the greatest law, and that's in company structure has nothing to do with trust. Trusts have to be held in the, in the in the state that you live in. You would have a Florida trust. You can't even, I mean, the goal of a trust Carmela is to avoid probate. It has nothing to do with corporate structure. So you're collapsing corporate structure, strategy with trust strategy, them, I shouldn't say, have nothing to do with each other, but you're not. It's not even, not even the not even the right conversation. Sorry, I'm

actually in West Virginia. I don't live in Florida. I live in West Virginia.

Okay, then you would have your trust in West Virginia with our lawyers who we would help you set it up properly. Then the companies are held where the companies need to be held. For example, a lot of our people are in Nevada. Say, the couple before decides to buy in Ohio and Kansas. Then again, wherever your property is is where you put the corporate structure. You just don't throw while. I mean, there are companies that I think they're completely unethical, who just throw you into Delaware because that's what they know how to do, or they'll throw you into Wyoming because that's what they know how to do, but they don't actually assess you from a tax and a legal standpoint. So your trust has to be where you reside, or upon your death, you have to go through probate on your residential state. So your trust are completely about where you live to avoid probate. And the benefit of a trust is to avoid probate so you can have so you don't live through. I mean, probate can be as low. I think West Virginia is one of the lower, but still 30% so say, at the end of your, you know, run, you're worth 100 200 500 a million bucks, if, without a trust, you're going to probate court. And anybody can contest it. Anybody can say, hey, you know what, Carmela and I, long time ago, did this business, and I think that I'm owed $100,000 because she didn't do blah, blah, blah, blah, you could stay in probate court forever. I have clients that have met us, and they're they came to try to help us get out of probate court or just assess to cut it and run. I mean, they're in probate court. Our longest client is a probate court for 30 for actually be 38 years now, as of today, and still not out in which means assets are frozen. Nobody's moving, nobody's making any money. So it keeps you out of probate court, number one, and it has 100% if your son, right the way we're gonna do it, 100% of your assets move to your beneficiaries, which, whether that's your kids or charities, whatever you wanna give the companies are completely a different that's a tax strategy. Trust is a probate strategy. Make sense? Okay, and do you have any of this stuff set up yet?

I do not. I've been investing. I've been investigating trust, but honestly, I don't know how. And our accountant has said we don't need one. There's no benefit for us to have one. So no,

because they don't get any benefit to have. I mean, a lot of CPAs think insurance is going to get you through. Insurance has nothing to do with whether you go to probate court. They're completely wrong. And I take them on all day if you wanted to bring them to me. And what I need you to notice, like, what do you do? What did you go to school to do?

I actually sell insurance. So I. Have my property and casualty license, and I'm a life insurance agent, so that's primarily what I do, perfect

and Is Your Life Insurance Company inside your own LLC in West Virginia,

it is not I work for a large company.

Well, I know, but still, your CPA probably wouldn't do it. He sounds super conservative and wrong opinion. What the big table is? It's everything. It's looking at your taxes, your corporate structure, why you need a trust, and you don't have to do everything at once, but you need to start understanding how all of these are part of one big conversation for you and your family to build a legacy and build, you know, you know, complete generational wealth. So what do you and so we would either grow your real estate or grow your insurance business. You could go into real estate. I mean, now you got to start looking to where you're going to invest your money. So you're going to invest for other depreciation. I have a guy that's just like, doing way too much in the stock market, and has capital gains tax. When you invest differently, like the way we're going to teach you, you'll have depreciation schedules, you'll have interest income schedules. It's a different way to live, and that's why what we do is so uniquely different than others. And to that point, my question, though, and this for all you strategists, so you use this conversation is, you know, I use a surgeon as an example, if you had to have heart surgery and they've gone to school for probably eight to 12 years, well, a proper tax strategist has a four year degree, a two year or one year master's degree, and it takes them at least two years to become a CPA. So if you're talking six to eight years, same with lawyers that are done, right? So the fact that you've been investigating, you're not an expert in any of these, so you didn't hire and you're not doing your own surgery, you're not doing your own taxes, and you're not doing your own trust, and you're not doing this stuff all by yourself, because that's where people get in trouble, is you research enough online to make think you're making the right decision. You really don't have an expert team looking at all of it. So that's really where the this, the problem we solve, is a comprehensive look at your whole world and then has setting you for the success in the future. That makes sense. When are you and Laura having a little chat again?

We have tomorrow, tomorrow morning. All right, you know,

if you have any questions, and love to help you, young lady,

thank you so much. I have my own business too. I do event planning on the side, and and I was reading or listening to one of your videos this morning, and saw that you're a big fan of like Mary Kay Cosmetics, and I've been with that company for 24 years, so I'm excited to learn

good, yep, and we can help all of those I love. Event Planning companies are seven eight figure businesses done right if you want to grow that big. So, all right, talk to Laura in any of the questions. She can work through me and get them back to you. Okay, thank you.

Thanks for listening to The Real Money Talks podcast. Your host has been Laurel langmeier, author of five New York Times best sellers, money, expert on Dr Phil CNN, CNBC, the street TV, Fox News and the view. Want to learn more about off Wall Street investing, tax strategies and multi million dollar business strategies. Visit, live out loud.com/podcast, for past episodes, show notes and resources for some special wealth building gifts only for laurels podcast listeners. Visit, live out loud.com/podcast, gifts. Do you have a burning question for Laurel. Visit ask laurel.com to submit your question, and it may just be covered on a podcast episode. So stay tuned and be sure to subscribe to get new episodes every week. You.