In this episode, Jeff discusses:

• The fear of making mistakes
• The fear of not earning enough revenue 
• Taking chances 

Key Takeaways:

• Fear of making a mistake keeps many people from doing anything because they are scared of making a single error. All of us make mistakes along the way, and most of the most valuable lessons in life come from them. 
• It is the fear of not earning enough revenue that takes over people, but with the right financial advisor and the right tax professional, we can put an end to those fears.
• 90% of businesses don't last five years, and fear is what makes it so difficult for them to succeed. So take risks - sometimes they'll be painful, but you'll learn some new things. You will never know until you try.

“The funny thing about fear is a lot of times, it will make us do something that we really don't want to, or it's going to keep us from doing things that we should." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• What is a Solo 401K?
• 401K vs. SEP IRA
• Tax strategies

Key Takeaways:

• Solo 401(k)s are retirement accounts for business owners or self-employed individuals with no full-time employees.
• SEP IRAs and solo 401(k)s both offer similar ways to save money each year, but their contribution rates, employee viability, and Roth options differ significantly.
• In your 22% tax bracket, saving $12,500 today would save you $2,750; however, you would rather not save that $2,750 and convert that $12,500 to your Roth, where it will grow tax-free and come out tax-free.

“For us to decide if you should have a SIMPLE or SEP or do the solo 401 K strategy, we really need to review your numbers, we need to review your goal and we need to see if you're willing to max out your plan." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• What is a SEP?
• How to figure out your net income
• Traditional IRA vs. Roth IRA

Key Takeaways:

• A simplified employee pension (SEP) is an individual retirement account (IRA)  that can be established by employers or self-employed individuals. This is easier to set up than solo 401Ks and allows for much higher employer contributions.
• Knowing your net income is always a part of tax planning purposes. To calculate your net income, subtract all the income you make from the business from all the expenses you incur.
• Both Traditional IRA and Roth IRA offer many investment options for retirement, and you should consider them both as you plan for your future. The key difference lies in whether it makes more financial sense to take advantage of tax benefits today or to benefit from tax-free withdrawals in the future.

“Since we know that saving the extra $1,200 on your taxes today is great, you're also just going to spend or waste that money so why even get to save? Instead, I would rather see you invest $5,000 into a Roth, forget about the $1,200 savings this year, and let it grow so you can take it out tax-free in the future." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• What is a SIMPLE IRA and how it works
• Employee matching contributions for 2022
• The pros and cons of SIMPLE IRA
• How to set up a SIMPLE IRA

Key Takeaways:

• SIMPLE IRAs (Savings Incentive Match PLan for Employees) may be the best retirement plan option for businesses with modest revenue as it allows employees and employers to make tax-deferred contributions to their retirement accounts.
• In 2022, you can contribute $14,000 or 100% of your self-employed income or corporate salary, and if you are taxed and set up as an S corporation, your employer will match your contribution by the lesser of 3% of your self-employed income or the amount of your elective deferral contribution.
• It’s important that you ask your tax professional and financial advisor first about the pros and cons of various types of pension plans, including SIMPLE IRAs, before adding one to your employee benefits package.
• Almost all major brokerage firms will set up your SIMPLE IRA for you with little or no fee, but you need to set it up by October 1 in order to make contributions in that year.

“SIMPLE IRAs are simple, so this is a simple way to put more money in your pocket and reduce your tax liability." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• Investing in the 401(k)
• Taking money out of your 401(k) should be your last resort
• Making a few changes in your lifestyle

Key Takeaways:

• Employer-sponsored retirement savings plans, such as the 401(k), offer significant tax benefits as well as help you plan for your retirement.
• When you invest in a retirement plan, you are supposed to let the money grow until you reach retirement age; so if you withdraw the money from it, you will not only be paying taxes, but you will also be paying a 10% penalty if you're under 59 and a half.
• A little change to your lifestyle can yield a $1,000 investment, and keeping a record of everything you spend on a daily, weekly, and monthly basis would amaze you as to how much money you could have.

“With the small sacrifices and a good retirement plan, you will be enjoying the good life and they will still be working after age 65." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• Tax filing and procrastination
• Why do people avoid filing taxes?
• How to get back into the IRS' good graces

Key Takeaways:

• A tax extension does not extend the time to pay the bill, so ignoring them or procrastinating will only lead to more fines, more penalties, and more stress.
• Various reasons exist why people fail to file their income taxes, but whatever your reason is, the IRS wants you to be compliant and pay the taxes that are owed to them. There’s so much to lose if you don’t file your taxes.
• Maintain compliance and stay up to date - the longer it takes, the harder it will be for you to locate the documents you'll need to complete these income tax returns, and the longer you wait, the more expensive it will be to get you back on track.

“Nothing good is going to come from not getting caught up on your tax." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• Morning routine and productivity
• The importance of having a system
• Start your schedule and set it up for success
• The advantages of an automated system

Key Takeaways:

• Treat every day as if it was a Monday. Get up early at least 4 in the morning so you can accomplish a lot to stay on top of your busy schedule.
• A system allows you to hire people to do tasks inside it. The most successful businesses have a system to keep them on track and deliver a similar experience to all of their clients.
• In order to have a successful business, you need to start your schedule, put it in motion and then simply repeat it. The more automated systems are there to help, the easier things are.
• Automating a few things you do over and over will save you a lot of time in the long run.

“Staying motivated is hard for lots of people, but it's gonna get easier if you remove a lot of the noise from your business and you focus on what you really enjoy doing." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• Keeping personal and business records separate
• Business structures and their implications
• Sole proprietorship vs s corporation

Key Takeaways:

• Using a separate business account makes tracking business expenses much easier for tax purposes.
• Consider your options carefully. You need to pick an appropriate business structure that offers you the right balance of legal protections and benefits.
• An S corporation requires significantly more paperwork and regulation, but it may provide tax benefits and liability protections that are more advantageous than a sole proprietorship.

“I think a lot of times we fail to do things in life out of fear, and I believe the scare of payroll is what keeps most people in the sole proprietor industry." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• As an agent, you can’t give tax advice.
• The myths surrounding taxes
• Capital gains and capital loss
• Rental pieces of advice

Key Takeaways:

• When it comes to capital gains, don't take advice from agents on social media. 99 % of the time, they don't have all the facts.
• There is no truth in the claim that you do not have to pay taxes if you use the money you get from the sale of your home to buy another home. Once the sale has been completed, the sale becomes a taxable event, so what you do after that does not affect whether you owe taxes.
• Capital gains and capital losses are treated separately based on short-term and long-term capital loss rules. 
• Always take depreciation on rentals.

“To give advice on capital gains or capital losses – it is so important to have all the information, know your taxpayer and understand the tax codes." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/

In this episode, Jeff discusses:

• An overview of the IRS's $87 billion fund
• Dealing with an IRS audit
• Improved enforcement measures are a big part of the IRS's $87 billion fund
• Get out of your comfort zone.

Key Takeaways:

• The $87 billion IRS infusion means more audits, and if you earn over 400k, you'll have a higher chance of being audited in the next 5-10 years. It does not mean, however, that you will not be audited if you make less than 400,000 because they still audit tax returns.
• Audit compliance is simply adhering to the rules. You can do it if you can, but if you cannot, hire a professional to make sure you're staying compliant and helping you plan for your future.
• It takes years to become a revenue officer or a revenue agent for IRS audits to become fully proficient in their systems and those types of things, so the IRS is ramping up hiring and training now, and many of these new hires will fill jobs left vacant by employees who are expected to leave the agency within the next decade.
• Getting out of your comfort zone will require you to change how you do most of your business. Because if you enjoy what you do for a living, staying out of the IRS's crosshairs is where you want to be, and now is the time to act or face serious consequences.

“The IRS wants each of you to be compliant. So if we work with them, they're usually helpful to help you get out of a bad situation so that we can put more money back in your pocket." —  Jeff Hockett

Connect with Jeff:

Website: https://www.hocketttax.com/

Email: [email protected] 

Twitter: https://twitter.com/taxgamecoach

Facebook:  https://www.facebook.com/hocketttaxandpayroll

YouTube: https://www.youtube.com/channel/UCO30L8kMHVodK8eutw1alQg/videos?view=0 

LinkedIn: www.linkedin.com/in/hocketttax

Instagram:  https://www.instagram.com/hocketttax/