22 Aug Tax the Rich or Get Rich?
Should they tax the rich more or does it make more sense — for you — to become a millionaire? That’s my question for you today.
Since 1992, the I.R.S. has compiled data from the returns of the 400 Americans reporting the largest income. In 1992, the top 400 had aggregate taxable income of $16.9 billion and paid federal taxes of 29.2 percent on that sum. In 2008, the aggregate income of the highest 400 had soared to $90.9 billion — a staggering $227.4 million on average — but the rate paid had fallen to 21.5 percent.
22% of those reported no earned income, just capital gains. He went on to say 236,883 Americans made over $1 million in 2009 and 8,274 over $10 million. Yet it’s the poor and middle class that pay the highest percentage in taxes. Buffett admits he only has to pay 17.4% of his taxable income to the IRS, and his isn’t the lowest tax rate for those in the highest income ranges.
However, those that work in his office pay, on average, 36%!
He closed by saying, “My friends and I have been coddled long enough by a billionaire-friendly Congress.”
In other words, tax the rich. Whether you think “tax the rich” is the way it should or shouldn’t be, that’s not my point.
What is my point and what does all this have to do with you?
I want you to look at this a different way, at least for now. If you want to pay less taxes and keep more of your money, you need to make over a million dollars per year.
I know. It sounds like I’m saying let them eat cake, but that’s not at all what I mean.
As an entrepreneur, it’s not difficult to grow your small business enough to bring in $1 million per year. That kind of money today isn’t anything like it used to be. It’s very achievable. Just look at Buffett’s figures in the excerpt above. 400 Americans grew their incomes from $16.9 billion to $90.9 billion in just ten years.
And 236,883 Americans made over $1 million dollars. So can you! I’m in the business to help you do just that. It’s up to you to make the decision to build a million dollar business.
If your mindset tells you that you couldn’t possibly build a million dollar business, that’s the first thing you have to tackle. My upcoming book, Yes! Energy (The Equation To Do Less, Make More), does exactly what the name implies. It will help you attract abundance in all areas of your life — and your mindset has more to do with it than you think.
The second step to building your million dollar business is to understand and employ entity structuring. Your business should be an LLC or Corporation, it’s essential to frame your organization properly. There are a lot of tax breaks for the “rich” and business owners.
The third step is to build your team. Who would be the most valuable team member to hire first? Keep in mind your goal is to bring in more money.
So, who will be first on your team?