Happy Sunday!

Here are 3 ideas, 2 quotes, and 1 question to consider this week!

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3 Ideas From Me

1. “There are 3 relatively unknown ways to AVOID, DEFER, and/or LIMIT capital gains taxes:

— Deferred Sales Trust (DST): A DST is a tax strategy that involves selling an asset to a trust managed by a third party, spreading out the proceeds (and therefore the capital gains taxes) over time, potentially providing a tax advantage.

— Qualified Opportunity Funds (QOF): QOFs are investment vehicles that, when invested in, can defer, reduce, or potentially eliminate capital gains tax on the sale of any asset, provided the funds are invested in economically distressed communities known as Opportunity Zones.

— Charitable Remainder Trust (CRT): A CRT is an irrevocable trust that provides income to the donor for a specified period and then leaves the remainder to a charity, reducing immediate capital gains tax and providing a charitable deduction.

All three have their pros and cons. All three have considerable nuances. Yet, all three can help you avoid large lump sum capital gains tax payments.”

2. “Compound interest is the 8th wonder of the world. He who understands it earns it; he who doesn't pays it.”

3. “Saving isn't about avoiding today's pleasures, it's about securing tomorrow's freedom.“

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2 Quotes From Others

1. Renowned investor John Templeton shares some investing wisdom:

"The four most dangerous words in investing are: 'this time it's different.’”

2. Another legendary investor Warren Buffett provides a thought on results:

"When you combine ignorance and leverage, you get some pretty interesting results.

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1 Question To Consider

"How are my emotions and societal pressures influencing my financial strategy?"

Bu understanding this influence, you can help prevent reactive decision-making, promote better financial discipline, and ultimately lead to healthier, more sustainable wealth accumulation.

Until next week,

- Keran Smith