I love this question that I received from JIanghua. She has this great profession where she can choose how many days to work - what great flexibility. And, she wants to be investing in real estate. The question is:

Q: I have a professional job which I can choose to work how many days a week, and I also invest in real estate. How and in what way can I set up entity (for each )to best take advantage of Tax benefit of both?

A: You would be best served by working with a Tax Strategist (CPA) to create a long-term tax strategy. You should begin by looking at the proper entity for your professional work (depends on whether you are an employee or independent contractor) and the look at the entity to use for your real estate (depends on the type of real estate you will be doing, e.g., fix and flips, buy and hold, wholesaling, lease options).

Please feel free to contact us at cs@provisionwealth.com if you would like a referral to a good tax strategist who specializes in real estate and professionals. Address your email to my assistant, Siggy.

Warmest regards,

Tom