Kinetix Financial Planning

07/13/2022

What an honor to be named to the Investopedia top 100 financial advisor list.

The coolest part about this list is that it has nothing to do with “traditional” metrics of the financial advisory profession.

According to Investopedia, this list celebrates advisors who are making significant contributions to critical conversations about financial literacy, investing strategies, life-stage planning and wealth management. With more than 100,000 independent financial advisors in the U.S., the Investopedia 100 spotlights the country’s most engaged, influential, and educational advisors.

04/06/2022

The 2021 tax deadline is approaching fast!

Tax day is April 18.

Here are 5 things you can still do for your 2021 taxes before tax day!

01/29/2022

What is the Augusta Rule and how can it help your small business save tax? ⛳️

There is a little-known (and overlooked) rule where your business can rent your residence for 14 days or less.

A business tax deduction + tax-free income to you!

Have you heard of or used the Augusta Rule for your business?

11/24/2021

Want a checklist of financial things to do before the end of the year?

🔥Here is our ultimate end-of-the-year financial and tax planning checklist with 15 items for you to review!

This can be a busy time of year, so don't let your finances fall behind. Thanksgiving week is a great time to review this checklist and determine what applies to you.

11/14/2021

Are you a self employed solopreneur?

This tip may help increase your future savings and reduce tax!

If you have a (or open) solo 401k, you and your spouse can participate in the same plan. Your spouse must have some duties within the business.

A married couple can contribute $116k in 2021 as an employer and employee. If both are age 50+, add $13k.

In 2022, this limit is increasing to $61k per person or $122k if married filing joint. Plus $6,500 per person age 50+.

Have questions about your small business finances or solo 401k? Shoot us a message!

Follow for more solopreneur $ tips to improve your finances!

10/18/2021

We were featured in this NerdWallet article on borrowing against cryptocurrency to unlock cash.

"A crypto loan may make sense if someone holds a substantial amount of crypto and wants to liquidate it without having to sell and possibly pay taxes on it, says Gatzemeier."

With the rise of crypto, borrowing has become a hot topic. In this article, you will get a better understanding of the pros and cons of crypto loans.

📌 What is a crypto loan?
📌 Why borrow against crypto?
📌 Problems of crypto loans
📌 Alternatives to borrowing against crypto

Should you consider crypto loans? We cover the pros and cons and some financing alternatives.

09/07/2021

Here is a common question for employees who can contribute to an employee stock purchase plan (ESPP) but don't want to buy more stock...

If you already hold a large position in company stock, you may not want to purchase MORE stock through your ESPP.

Here are 3 ideas on using an ESPP without adding to a large stock position in your company.

07/30/2021

Restricted Stock Units 🆚 Restricted Stock Awards...

What in the world is the difference?!

While the names of these two forms of stock compensation are similar, there are key differences that you should be aware of.

Here is what you need to know about the differences between RSUs and RSAs: 👇

Restricted stock units and restricted stock awards are valuable types of equity compensation that carry important differences to be aware of.

07/26/2021

How to use the advanced child tax credit payments 👇

Starting on July 15, the IRS began paying half the total child tax credit in monthly payments. The other half will be claimed when you file 2021 taxes.

Although you can opt-out of the advanced payments, you may be able to maximize your money by receiving it upfront.

Here are a few ways to consider using the payments:

📌 Expenses that already exist. Use the credit to capture expenses that you already have. Don't create more expenses just because you are getting additional tax credits.

📌 Future education. Are you funding an education account or plan to? This additional money is an easy way to fund your child's future. Start compounding early!

📌 Incentivize savings. Do you give your child an allowance? Use credit payments to incentive your child to save more. If they save a portion of their allowance, use the credit to match their savings.

These are just a few ways to use child credit payments. If you don't have a plan for the money ahead of time, you'll likely spend it on expenses you wouldn't have had before the credit payments.

How are you using the advanced child credit payments?

07/22/2021

-FAQ- Does a business tax write-off mean the expense is free for my self-employment business?

No. A tax write-off does not mean the business expense is free. Necessary expenses generated by a business create a tax deduction (write-off).

To figure out the savings from a business tax deduction, here is the math:

Suppose you have a business expense of $2,000. This expense reduces the income your business is taxed on.

If you are in the 24% marginal tax bracket (no state tax), the tax savings from this write-off is $480 (24% x $2,000).

In other words, the true cost of this expense is $1,520 ($2,000-$480).

Another way to think about business expenses is that it's purchased with pre-tax money.

Hope that helps!

Do you have financial questions related to your self-employment business?

Comment below with your Q or send me a direct message!

07/21/2021

How do you manage cash flow as a solopreneur?

It's common for solopreneurs to receive revenue in one account, pay expenses and then pay themselves with what's left.

This is a quick way to feeling like you have an unprofitable and unorganized business.

•How do you address and pay taxes?
•Are you overspending on expenses?
•How do you create business profits?
•How much can you reasonably pay yourself?
•How does each dollar of revenue get allocated?
•How much can you spend on marketing and upgrades?

These are questions that a cash flow system will allow you to answer proactively.

In this latest blog post, we explain 3 steps you can follow to create a cash flow management system for your business.

Let's get your business running at peak performance. Click the link below in the comments to read the blog post! 👇