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You Are A Sole Proprietor: How About A Solo 401(k)

I am seeing more and more people quit the corporate America lifestyle and venture into becoming their own business owner.  This shape of a business owner can be a freelancer, consultant, or someone who actually starts up a ‘brick and mortar’ operation.    Many of these folks will ask questions about whether they should incorporate their business, which I have discussed in other articles.    Once they become profitable, they often ask which kind of retirement plan would suit them the best.   For someone who is a sole business owner, the Solo 401(k) has been around for about a decade and provides a great alternative to helping maximize your retirement contributions.   Here’s a little history on the Solo 401(k) and how it can be a smart money move for your business. The Solo 401k came about in 2002 after Congress passed Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA). EGTRRA added some small paragraphs to the tax code that put forward the solo 401(k) as the preferred retirement vehicle for…

Public School Is Not A Free Ride

By: Genna Jenkin The Your Smart Money Moves Mom Request a FREE consultation: www.oxygenfinancial.net Barely a week into our back to school routine and I’m already aware of some very disconcerting patterns forming.  The kids’ interest in helping get their lunches together is waning, bedtimes are not being adhered to and I’ve badgered them all about their homework more times than I’d like to count.  However, the most troublesome of all, is that every evening I find myself with my checkbook “paying” for my children’s public school education. Now don’t get me wrong, I understand that public education in this country can tend to get the proverbial short end of the stick, so I am well aware for the need to ask parents for some financial assistance.  It’s the changes I’ve seen since I enrolled my oldest in kindergarten (12 years ago) that concern me.  I’m sure that everyone with school age children can identify with the lengthy and detailed list of school supplies that every child is responsible to…

How To Get Rich with oXYGen Financial – 07/30/13

Taped 7/30/13 Listen every Tuesday morning at 8:00 a.m. on ROCK 100.5 | Atlanta’s Rock Station to “Your Smart Money Moves” with The Regular Guys and oXYGen Financial. Ted Jenkin, CFP® and Kile Lewis, CRPC® are the founders of oXYGen Financial, and our chief financial officers. All your money questions answered Breathe easier at http://oXYGenFinancial.net

Entrepreneur Series – Lesson 7 – Milking The Business

Before I opened up my own business, I spent over 10 years at a very high level of senior management for a Fortune 500 corporation. While I garnered a ton of personal and professional growth over the years, nothing can still really prepare you 100% for …

Should I Loan Money To A Friend?

All of us have had awkward money scenarios happen to us in our lives. There are the immediate face-to-face confrontations when a personal friend asks us for money while out on the town. Or what about the time that your college roommate asked you if they could borrow $5,000 or $10,000? Remember when your 2nd cousin said they would be starting a business and were wondering if you would invest $25,000 in the new venture? So, how do you handle a money situation that may make you lose sleep at night? Here are three smart money moves steps to diffuse the problem. Step 1: Empathize. Listen, and Show that you’ve heard by recapping what specifically the other person is wanting to do with the money. Make sure you initially understand it from their point of view. Indicate that you know that economic times are tough, and their individual circumstances are particularly difficult. In a certain sense you need to be able to step inside of their shoes to feel a…

Entrepreneur Series – Lesson 4 – Avoid Rookie Mistakes

I am not a professional athlete.  However, I would imagine that the rookie year on any of the professional sports circuits has to be daunting in nature.   Not only are you in front of some type of large crowd, it takes some time getting used  to all of the decisions you have to make to be the best of the best in what you do for a living.   Far too often, new entrepreneurs can make first year decisions which can put a major dent in the first year of your new entrepreneurial venture.  Even someone who has a lot of corporate experience cannot understand the firefight of being a business owner until you have to meet your first payroll.One great idea my business partner and I have put into place in our business is the 48 hour rule.   We’ve set criteria around what a ‘key’ decision is for our business and once we have made a decision on the direction we want to go we will revisit the decision in…

How To Get Rich with oXYGen Financial – 07/02/13

Taped 7/02/13 Listen every Tuesday morning at 8:00 a.m. on ROCK 100.5 | Atlanta’s Rock Station to “Your Smart Money Moves” with The Regular Guys and oXYGen Financial. Ted Jenkin, CFP® and Kile Lewis, CRPC® are the founders of oXYGen Financial, and our chief financial officers. All your money questions answered Breathe easier at http://oXYGenFinancial.net

Entrepreneur Series – Lesson 3 – Know Your Role As The Owner

As an entrepreneur starting a new business, you often have to wear the hat of cook, dishwasher, accountant, and general manager.   However, one of the biggest mistakes a young owner will make is not quickly clarify their role within the organization.   Far too often, new entrepreneurs will try to control every aspect of a new business which inevitably slows the growth of the organization.  In some cases, it can make hiring and training new people so difficult it can be destructive to the success of a company. One of things I recommend to new business owners is to draw a T chart with one axis being things you like to do and one access being tasks that you are good at.    What you should quickly try to figure out in the early stage of a new company is to list all of the items that you are good at and those tasks that you like to do.    After figuring out this critical piece of analysis, you should begin to try…

Can You Pay 0% Capital Gains Tax?

Most of us have heard through the major media outlets how tax law changes will adversely affect our overall income taxes here in 2013. It doesn’t take a rocket scientist to realize that when your expenses consistently exceed your revenue, cost cutting alone won’t improve your bottom line. This means that raising various types of taxes will definitely be one strategy to increase revenue in order to pay off the massive U.S. debt. The American Taxpayer Relief Act (ATRA) of 2012 was passed by Congress on January 1st, 2013 and was only a partial resolution to the fiscal cliff; just wait until fiscal cliff part II which will look more like ‘Hangover Part II’, Mike Tyson tattoo and all. While the ATRA did impose more taxes on the upper end of the scale and raised capital gains taxes on the very upper end of the income brackets, there is a unique opportunity for many Americans to look at their overall portfolio and potentially pay 0% in capital gains tax here…

National 529 Day

Today is National 529 Day.   Just another day on the calendar to get you thinking about how you will support your children’s college education.   I have noticed over the past several years that college education is one of the areas that people in their 40’s and early 50’s are WAY behind in when it comes to planned savings.   I’m also seeing much more discrepancies between spouses and partners alike about what is the best way to plan for this goal.  Should your kids go to an in-state school?  Should they go to the college of their choice?   Should you plan for an ivy league private school?   What happens if they just cross the border and go to a state school in a bordering state?   Imagine you get home from work one day and your child has the magical letter from that college or university that you both always dreamed they would attend?     Will you have a plan in place that makes sense for your child and your personal family finances…