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Revision as of 23:33, 31 August 2026
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S is for SPLIT. Income splitting is a strategy that involves transferring a portion of greenbacks from someone who's in a high tax bracket to a person who is in the lower tax group. It may even be possible to lessen tax on the transferred income to zero if this person, doesn't possess other taxable income. Normally, the other person is either your spouse or common-law spouse, but it can also be your children. Whenever it is easy to transfer income to a person in a lower tax bracket, it must be done. If major difference between tax rates is 20% then your family will save $200 for every $1,000 transferred to your "lower rate" family member.
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In our software company there are two methods to build wealth and that is through intellectual property and maintenance deals. These two things used together will build an enterprise that could be sold for 2-4X earning potential. Now to foster that investment with leverage, Make the most of the "Infinite Banking Concept" to lend money into the business through "my own bank." The money enterprise pays me comes back as investment income as a result lower transfer pricing property taxes. The new revenue extra maintenance contracts bring foster new legal papers. The next step will be use "good debt" to leverage our coverage and acquire more maintenance contract revenue with our software basis.
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