Mark Kohler breaks down how the wealthy minimize taxes through Roth accounts, Health Savings Accounts, and real estate strategies. HSAs offer triple tax benefits: deductible contributions, tax-free growth, and tax-free withdrawals for medical expenses. Real estate investors can defer taxes through depreciation and 1031 exchanges, then pass properties to heirs with a stepped-up basis that erases estate taxes.
Chapters
This is where the zero tax blueprint goes on steroids. This could be as simple as a 401k or an IRA. I'm going to take a tax deduction up front and I can invest that money tax deferred. I won't pay taxes, I make money, but when I pull it out, I will pay taxes. Well, even better than that is this Roth strategy. With the Roth strategy, you put money in, you've already paid taxes on it, but you'll never pay taxes on that again. So if I pay taxes on $1,000 to put it in there and it grows tax free investing however I want to and it goes to $10,000, let's say I don't pay tax on that $10,000 and I'd rather pay tax on $1,000 than on that $10,000 later. There's all sorts of strategies that have this type of angle. You have the Roth 401K. Whether it's a Solo 401K you created or even part of your company plan, you can start building Roth money even faster. Inside that 401k, being able to put away more, the health savings account, the triple tax benefit. You get a write off to put the money in. It grows tax free and it comes out tax free for any medical expense, age immediately if you want. They're like a Roth account for healthcare and you get a write off to put the money in. You get the best of all three worlds. And then there's real estate. Real estate is exciting too because you can be building tax deferred wealth where you don't pay tax until you sell the property and then maybe even use a 1031 exchange and roll it into another property and when you die, your whole family gets it and don't have to pay tax on it at all. And then along the way you can create tax free cash flow by using depreciation.
