The Entrepreneur DNA - How to Pay Nearly Zero in Taxes as a Personal Brand | Grant Newell | EP 79

Episode Date: July 14, 2025

Book a call with Grant’s team: https://abundantx.com. Fill out the contact form to see how Abundant X can help you! -- Are you making money but still getting slammed by the IRS? This episode is your crash course in keeping more of what you earn — legally. I sat down with Grant Newell, founder of Abundant X, to uncover how personal brands and entrepreneurs are writing off travel, luxury cars, meals, even their homes — and doing it all by the book. We get into the real structure behind personal brand tax planning, why leasing a car could be smarter than buying, how to turn your kid’s footprint into a business expense (yes, really), and what most accountants won’t tell you about entity structuring. Whether you’re running an event-driven business, building your content brand, or flipping homes — this episode is packed with tactical strategies to save you 5 to 6 figures on taxes. If you're not documenting, structuring, and planning properly, you're donating cash to Uncle Sam. Don’t let that happen. -- About Grant Newell Grant Newell is the founder of Abundant X, a strategic tax planning and accounting firm that helps personal brands, entrepreneurs, and multi-business owners keep more of what they earn. Known for finding legal, creative, and aggressive tax-saving strategies, Grant specializes in entity structuring, tax mitigation, and positioning personal brands to turn everyday expenses into legitimate business write-offs. Connect with Grant Instagram: @grantgnewell Website: https://abundantx.com LinkedIn: Grant G Newell TikTok: @grantgnewell -- -- About Justin: After investing in real estate for over 18 years and almost 3000 deals done, Justin has created a business that generates 7 figures in active income through wholesaling and fix and flipping as well as accumulating millions of dollars of rental properties including 5 apartment buildings, 50+ single family homes, and 1 storage facility Justins longevity in real estate is due to his ability to look around the corners, adapt to changing markets, perfecting Raising private capital, and focusing on lead generation which allows him to not just wholesale and fix & flip, but also accumulate wealth through long term holds. His success in real estate led him to start The Entrepreneur DNA podcast and The Science Of Flipping podcast and education company, and REI LIVE where he’s actively doing deals with members. He has coached and mentored thousands of aspiring and active investors over the last decade. Connect with Justin: Instagram: @thejustincolby YouTube: Justin Colby TikTok: @justincolbytsof LinkedIn: Justin Colby    

What is up the entrepreneur DNA family if you are a personal brand if you're a hard charging entrepreneur And you want to understand how to keep more of the money you're already making this episode is gonna be for you I have a good friend the founder of abundant X Tax planning and accounting firm my man Grant Newell is here. Thanks for having me. It's great to be in the sunny state That's right. That's right. So I'm a hard charging entrepreneur. I am a brand. I want to keep more of the money I'm making. I want to make sure I don't have to pay as much taxes as the common folk out

there that might have to talk to me about what's on the horizon. Trump's in office. There's some things that are getting shaken up. Talk to me about what's on the horizon for us. Yeah, so probably the one that will be most exciting to entrepreneurs like yourself is in that big long tax plan that he laid out, the beautiful tax plan, there is one... Which I read like a sentence of. Yeah, there's I mean hundreds and hundreds of pages in it.

Do you have to read the whole thing? No, I have, I have people on the team that I have sectioned it off. I get it. Okay. Yeah, there's too many. Um, and so I had each person tackle a section, but one exclusion was left out that a lot of people aren't talking about. And it is the entertainment deduction. Okay.

It's set to expire at the end of this year. And it was not in there to extend. Meaning if you go golfing with a client or potential investor or whatever. Currently, you can't write that off. Right. You got to pay for it on your own dime. Yeah. Now you can go and write that off.

If it gets excluded. So I'm being cautious about saying this on camera because... We don't know where it's gonna land. So you have to be able to, you know, make sure you protect your downside here. Right. But right now, I go and take you to golf. I can write that off.

Currently, you can't. I cannot. Right. Currently, you cannot write that off. But because it is excluded, it's not mentioned in there that, you know, non-deduction would come back. So you can write off, you know, if it's, you know, $500 for, uh, you know, a green. Okay.

Write that all off now. Wow. You know, what about dinners and that kind of stuff? That is no. Yeah, so that is that is currently a 50% right? It would go to a hundred percent Wow, so we're talking about a hundred percent tax write-off, correct? Yeah, so if I took you to golf I don't even get 50% tax write-off Cuz it's an entertainment now meals you'll get 50% Cuz I think I remember my accountant telling me this that was going away with someone's 10 tax write off? Cause it's an entertainment. Now meals you'll get 50%.

Cause I think I remember my accountant telling me this, that was going away with someone's bill. Yes. It used to be, I could go do that. Right, it used to be. And with the previous administration, it went down to 50%. And it's set to go to zero,

but it's not mentioned in there. So it would come back. And so that's one of those things that I tell people. I'm like, okay, it's not there yet, but we're getting there. And that's one of the ones, you know, like, you know, let's say you wanted to take somebody to the heat game here in Miami. You couldn't write that off previously, but now-

Are people misinformed? I believe a lot of people think that that's a tax write-off. Let's say this. Some people probably are taking that as a tax write-off. But if you were to get audited... They would say that is not a tax write-off. That would be an ad back. So with ad backs, you add back that expense, plus what the tax was, plus interest, not in the years it's been, so not a great idea. So, and again, just because I try to inquire through my accountant, but I gotta be honest,

talking to your accountant is not the easiest thing in the world. Relative. Because you guys are so overly knowledgeable that you go into a wormhole and I go, bro, I just needed a simple like yes or no question. Right. So when did that go away?

Because I remember when I, now I'm 44, I've been an entrepreneur literally since I graduated college. There was a time meals and entertainment and entertainment was a write-off, right? Golfing was absolutely a write-off. Who took that away? To be honest, I could not tell you who exactly. Cause it was within the last two different. Yeah. It's, it's been recent because you previously could write those things off, but now even like with the vehicle, you know, the vehicle went from a hundred

percent to 80% to 60% this year. Next year would be 40, 20, so on, all the way down to zero. But Trump's talking about bringing that back as well, 100% vehicle deduction, because car sales are down. To be honest, he's like, people aren't buying as many cars. As to where, hey, at the end of the year, I get a big tax write-off for buying a big SUV. 6,000 pounds.

Yeah. And so, so where's that out right now? If I go buy, which I did just go buy a big Range Rover that fits the, right. So what tax percentage am I at with that? So you can write off 60% of that. I'm kidding. Yeah. So you can't write off all of it like you previously could, but you can get 60%,

which is, you know, not terrible. It's got a terrible one. Yeah, that's where Trump is looking at. He's like, nobody's going to be buying these big vehicles because why, why buy them? Right? No, it's like, I'm not going to get the right them off.

So, you know, you're having to eat that entire expense and over 6,000 pounds is usually over six figures in expenses. Now let me ask you a common, and I don't know, I'll let you tell me if it's a misconception. I go round and round my account about this. You go get a car. Yep. Any car, I don't care, but make an expensive one.

Right. Can you write off, if you put it in the company's name? Yeah. Can you write off 100% of that payment? Is that 100%? If it's leased. If it's leased. That's the big key.

So if it is leased, you can write off the full expense of that lease. Every month. Every single month. You can write off the lease, the gas, the maintenance. All that can get written off if it's a lease. Why would anyone buy a car? Well, because you can't, obviously you're not going to get the accelerated depreciation on a lease. Right. But if you buy the car, like I said previously, when it was a hundred percent write-off, if you financed a hundred thousand dollar vehicle, you

could write off a hundred thousand dollars. And let's say you put zero dollars down. Yeah. You got zero dollars down. Well, there's a hundred thousand dollar write off, but you didn't have to pay any money for it. Right. So you now got a hundred thousand dollars tax free. Now it's not a hundred percent anymore.

Right. Now it's not a hundred percent anymore. So it's not as advantageous, which is why leases are up and car sales are down. as advantageous, which is why leases are up and car sales are down. So, you know, leases right now, I would say are the best, best option because you can lease a luxury vehicle for advertising, marketing, whatever. Yeah. Um, I tell people at least have, you know, a license plate cover

that has your business on it. Don't just say, oh, this is my business vehicle, but it's a Ferrari. And I'm like, okay, nobody knows that it's a business vehicle. So at least when the IRS shows up, say, well, here's the business right here. I tell people at least do that. I usually have my clients do license plate and license cover, something related to your business.

So you can say, yeah, it's recognizable. Yeah. My business. Um, so, and I hate to hound on this cause I go back and forth cause I want all the tax relief off my accountant. I buy this, let's just say it was back to a hundred percent. Let's say it moves back there. I buy this new Range Rover and it's $150,000.

My payments are two grand. Right. Out of that two grand that I pay, does the car have to be in the business name? No. But I can get a hundred percent tax write off of that two grand a month, so 24 grand a year? If it is a business vehicle. So if you take the hundred% deduction, you can't write that off those payments. Okay, because you've already taken the full payments. That's right off. Right. Now, so and then if you sell the car in year two, then technically just like real estate, they're gonna say, well, dude, you took a five year depreciation schedule, you threw it into one year, and now're selling it. Right. Then they basically want to call back. Yeah. Yeah. So that's the hard part about it is, uh, which is why I say leasing is absolutely fantastic because if your payment is two grand a month, you write off two grand a month and you never have to pay for that vehicle, you sell it or you return

it and get a new, you know, a new one. Some people like to do them every year. Yeah. All right. Return it, get a new one. Some people like to do them every year. All right, return it, get the new one. All right, that's the same payment. Never have to pay for it. So I say kind of pick one or the other if you're gonna take the accelerated depreciation. Like if you have a big tax bill,

obviously writing off two grand a month is not really gonna do much for you. So that's where's where I say okay buying the car is more advantageous. It all depends on where your situation's at. What is the whole thing about gas and insurance and mileage like? Yeah I say for entrepreneurs and people making over six figures, the mileage deduction is not gonna make sense. Right. The actual method, which is where you write off gas,

insurance, all that sort of stuff, is going to make more sense. Right, right, right. It's always, I always want more. And he's like, you can't get more than what you've got. So. Right. All right, so let's talk about kind of the science

of what you do, because I am a personal brand. This is actually why you're on my podcast is somewhere in your ecosystem. You found me. You're like, I'd love to be on this. You have an incredible tax and accounting firm, right? Abundant X. Let's talk about what you do for us. You know, what's your ideal client look like?

Why is it important to have a team like yours on staff? I obviously have told you about my bookkeeper. I have two bookkeepers, I have an accountant. Like I'm trying in every way to find the way around it. I wanna make all the money and keep it all. So talk to us about your clients, what you can help them with, that kind of stuff. Yeah, so really our ideal client is a personal brand

that has multiple businesses. So we say, we work with personal brands and serial entrepreneurs, people that, you know, wake up in the morning and you got a new idea that you're like, I want to try this out. And I say, rather than paying the IRS, you know, six figures and a tax bill, use that money to go make your idea a reality.

And so we help people realize their dream businesses that they're thinking of, typically through, you know, a lot of our clients will have a cash cow business that will fund these other side projects that sometimes turn into massive big deals and failures. Yeah. I mean, we've had both. Um, you know, we had one client exit for several million, million dollars on a side project that he had no idea. He was like, yeah, I just did this in my free time and we made it a business.

He made a big sale. And so, you know, we help people figure out, okay, how can I do this and not have to pay the IRS? Yeah. And that's that's it's exciting because you get to see the excitement on our clients faces when I'm like, yeah, okay, we can do that. I was excited when we first had our first phone call. You're getting me really excited.

So for example, I started a business 60 days ago. Yeah. Super excited about it, super passionate about it. I love it. It is about personal branding, content creation, and driving revenue through your personal brand. Yeah. I'd love to make an intro to the mastermind, right?

So some mastermind base. How would you advise me? And so this is for all you listening and watching. So you get real tactical knowledge, right? Uh, so how it went is I created the idea, put it together with gum and super glue and, uh, it immediately became profitable. Yeah. Out of the gate in the first 30 days.

Profitable. Um, what would you advise me? New business literally already have the entity up is driving. What would you advise me? New business, literally already have the entity up, is driving, what would you advise? Yeah, so with event driven businesses, those are a lot of fun because as I say, you get to travel to places that, maybe you would have traveled personally,

not been able to ride off because there was no business related expense to it. Right. But now you can. So like, uh, one of the things that we like to do with event businesses is we say, pick a place that you're like, I would go here if, you know, there was no other reason, but just to enjoy the beauty of the place and you know, you can scout it out for your event.

You don't even have to have the event there. You can go there and be like, ah, this might not be a great place for an event, but you go there, you write about, okay, this is the landscape. This would be where we would host the event. You write up a page or two synopsis on what you thought about the place

and if it would qualify for an event. And now whether you choose to go there for an event or not, you can write it off. How much of it can you write off? A hundred percent of it. You write just five. I just have a clinic from Basque from Turks and Caicos. Yeah. I have an event coming up this week.

I throw it together, a two pager. Yeah. This is what the hotel was like. This is what the conference rooms looked like. This was the cost of the rooms, maybe a little more pricey than probably what they get forward. This might not be the location. That whole trip is now a tax write-off because I run an event-based business. Yeah, because you're scouting it out for the event. Obviously. So it's like if you travel somewhere to look at a piece of property that you're looking to purchase, and obviously you have to pay to get there. And so that would be a write-off.

You go there, you look at the property. Maybe it's something you want to invest in. Maybe it's not. But that whole trip is a write-off. Same thing for an event. You're going, you're looking, is this a viable place for me to host an event? How much does the event place cost? How much does a room cost?

You know, could I, you know, a lot of people with events, they'll, you know, say, Hey, we'll give you a X, Y, Z room for price. You mark it up a little bit from what they do. And, you know, you write out that one or two page synopsis of it. Now that trips a write off, whether or not you go there or not. I mean, as long as it's a viable place, if it's like, you know, in the middle of the Sahara desert, you know, you, uh, the IRS might have a little hard time.

What my accountant has always advised me. He was like, listen, I work for you. You pay me. Right. You say jump. I say how high. Right. Now I'm going to tell you there's a always advised me. He's like, listen, I work for you. You pay me. Right. You say jump, I say how high. Right. Now I'm gonna tell you there's a ceiling above me. Yeah.

So here's where the ceiling is. Yep. But I'm gonna jump, right? So he's like, listen, at the end of the day, what it comes down to is you being audited. Right. And you are gonna either play with fire or not. Right.

And if you play with too much fire, then it starts to signal huge red flags. So he's like, there's always this gray area that you're going to be able to walk because I run multiple businesses, one being in real estate. So it gives me a lot of flexibility because of cost seg, travel, buying properties out of state, things of that nature. The others, the education space and the event-based businesses. So I do have a lot of those benefits. Right.

Would you encourage all of, I literally just created a business, I don't know, nothing, basically saying everyone should have a personal brand. Like Grant Newell has a personal brand. Right. Yes, your firm is Abundant X. Right.

But you have a personal brand. Everyone should for what, for nothing less than what we're talking about. Right. Create opportunity to make income and then keep it and have tax write-offs along the way. Yeah. Do you agree?

Do you think everyone to some extent, and I understand like, listen, you are probably one of the least sexiest type of business because people hate taxes, right? So people don't like talking about it, they want to deal with it just like me. I'm like, talking to my accountant today. But you still have a brand. You're still here promoting the brand.

Shouldn't everyone? Yeah. Well, I mean, I also do not like taxes, which is why I started an accounting firm, because I was like, I don't want to have to pay the taxes. Right. So how do I figure out how to do it? And that's what got me into it was I saw my tax bill, even when I was making, you know, 35 grand as a lifeguard,

I was like, why am I paying so much in taxes? I hardly make anything, you know? And so I was like, I got to figure out how to do this. So, but then I realized, okay, with personal brands and serial entrepreneurs, there's, I mean, basically, as I say, the world is your oyster. Yeah. And on Sean's podcast, I talked about

the Kardashians laid out the blueprint of personal brands. Yeah. Because every time they went to Louis Vuitton, they went down Rodeo Drive and shopped, everything of that was a write-off. Their house in Beverly Hills was a write-off. Every time they bought a car, it was a write-off because they had a personal brand.

And if they don't go shop on Rodeo Drive, how many people are gonna watch them? Probably not very many. And so that's the beauty of it don't go shop on Rodeo Drive, how many people are going to watch them? Right. Probably not very many. That's right. And so that's the beauty of it that I tell people is personal brands are the best thing for you because you basically are opening your entire living expenses to tax write-offs. Like for example, we had somebody that wanted to write off their personal home. They wanted to build a custom home, very expensive, not a, you know, not a small

expense, so they were like, how do we write this off? And most accountants would tell you, you can't write off your personal home. But our philosophy is I'm never going to tell you, no, I'm going to figure out how to get there. You know, it's like driving somewhere. If the road is closed, there's usually more than one way to get to your destination point. And so that's what I tell people is let's figure out how to do this. So in this case, they were an influencer and I said, okay, let's call, you know, four or

five custom home builders where you're going to build and say, hey, I would like to document the process of you building the home, therefore promoting your business. Would you do that in return for an affiliate code that you would pay me commissions on? And found a couple and kind of sorted through them and figured out the best one. So they documented the whole process, you know, like, hey, they're building the foundation, you know, all this stuff. People love it. You know, they love to see the whole process of people building homes and stuff. Right. So they followed the whole thing and all of that became an expense that we can now

write off because it is now ordinary and necessary, which is the IRS's two requirements. We have documented proof that we're showing it, promoting the affiliate code, and now we can write off that entire custom home because it was promoted and it is a way for them to get paid. So that's the two requirements is ordinary and necessary for them to get paid. So that's the two requirements is ordinary and necessary for you to get paid. So what do you have to do in order to get paid?

It's like a trainer. Promote or sell something. Right, so like nobody's gonna go be trained by somebody who doesn't work out at the gym. Right. So it's like, I can't sell a custom home, say, hey, buy this custom home if I don't build one. So you build one, you document the whole process, and now that home is a business expense on

your personal brand. Wow. So that is great. Yeah. Wow. There's just so many utilities for this. Yeah. First of all, let's make sure now you probably got everyone's interest.

Where can everyone go? Where do you want to put them? Whether it's your social media or website, where should everyone find you to talk to you about all this? Yeah. So you can find me on all the social medias at grant G Newell. You can also go directly to our website, AbundantX.com. And, you know, we, like I said, that's, that's our specialty is, and like you

said, personal brands, if they don't have a personal brand, you can't do that. You can't, you know, you can't do a lot. I mean, this is, this is an interesting subject. What is the first thing? What creates a personal brand in the IRS's eyes? Like what are the things that says, do I even have a personal brand? I don't know. I flip homes just where I come from.

I'm a home flipper, right? So in a general sense, what creates a personal brand for the IRS say you're a valid personal brand will treat you with the same tax laws as, you know, someone may be more notable. So everybody has a personal brand. Some are just more well positioned than others. Okay. So, you know, you think about it, like when you introduce yourself to somebody,

they're going to create, you know, a perception of you, which in my mind is a personal brand. If they see you on social media, they have that. You have a more well positioned personal brand than if you didn't have a presence. And so that's where I say everybody has a personal brand. Some are just more well known and valuable than others. And, uh, the way that we make it legitimate in the IRS is mind is we create an LLC under your name.

So like Justin Colby LLC, right? Okay. And so we create that, usually we'll have a holding company that will hold that. And so anything that is personal brand related, Justin Colby LLC goes into any affiliate commissions, anything like that. Like I was saying with the custom home build,

those affiliate commissions went to that person's personal brand LLC. And so now in order for them to get paid under that LLC, under that business and the IRS's eyes, they had to go do that. And so that asset got to be the personal home that they live in, got to be on that LLC. So it has an asset, if you needed to go get lending and that sort of stuff, it can all be under the business, which is really nice. Um, so that home's under so-and-so's LLC.

Yep. Yeah. And then you can go get lending as a company, not a personal one. Yep. Wow. Yeah. So it's, it's, it's a, it's a cool maneuver. Um, that like we said,

if you don't have a personal brand, you can't do those things. So for those people today, what do they need to do today? Is it just simply put out content to just get started? What are the maybe one, two, three, four, five pieces of advice for someone that's like, Justin, I've been watching you and listening to you forever. Okay, I need to get this going going or I'm not doing it right.

Like what are maybe the first, you know, checklists of things that you would tell someone to go get done today? Yeah. I think Gary V probably said it the best, just document what you're doing. Yeah. Because at that point, like the IRS, um, you know, your accountant said, you know, you go into murky waters or all this. I always tell my clients there's no murky waters.

If you have documentation to back it up, the IRS lays out in there, you know, all their IRS codes, they tell you what documentation you need to have in order to not be in those murky waters. That's right. So if you have all those documentations, there's no murky water. That's right. So if you have all those documentations, there's no murky water. It's black and white. They come in and they look at it. I've been through a couple of audits where they asked for XYZ paperwork. Okay, here you go. Okay, we're good. Yeah. You know, a lot of people talk about these long drawn out audits. That's usually if you don't have the documentation, things aren't organized. Isn't that our nature?

The entrepreneur, the visionary, they go and get started and put it together with scotch tape and gum. And you know, it's kind of our nature to not be, I mean, you gotta be on. That's where we come in. That's right. So that's where like, I always tell people, I'm like, we come in to give you time and money

because we're gonna save you money on taxes and we're gonna give you back your time. Yeah. So you don't have to worry about, you know, all this stuff. You can go wake up in the morning and say, Hey, I want to start this business. Okay. Here's what we need to do. And a lot of the time we'll prepare all the documents, work with attorneys, whatever,

and get the documents. We just say, Justin, fill out this part sign here. Done. Yeah. sign here, done. Yeah. Now it's done. And you're like, I'm not bogged down by all this extra stuff. No, it's straightforward. We handle all the back work, which is a lot of people

really like and enjoy, especially personal brands because they're like, they want to spend time with their family. They want to do their business and then be done with it. And that's really where. Now it's interesting. So I have a ton of LLCs. So how do you kind of work with all that?

Do you almost just charge by the LLC or by the tax return? Or how do you kind of go about that route? No, so we typically will charge based on like workload. So if you have an LLC that doesn't really do anything, there's no point in us charging, right? You know, to me, like, uh, I'm a very fair person. Uh, like I said, I'm an entrepreneur myself, so I'm like, how would I. Buy my accounting firm.

I sign on with my own accounting firm. And if the answer is no, then we don't, we don't do it. Yeah. Cause I have a lot of LLCs that are there for one reason or another, but they don't produce anything. Right. So all you have to do is just file, we'll just say it's going, but there's no real work, there's no income and expenses and P and Ls.

It's just there. Yeah. And so, I mean, if it's a long, like, uh, you know, like a trust or something like that, we'll typically do a one-time filing fee we don't charge ongoing yeah for that sort of stuff but you know I mean that's typically like I said if if I wouldn't buy for myself then I don't I don't do it is there a starter kit like here the for the for the person that you'd want as a client right here are some things that if you're gonna get a hold of grant, have some semblance of organization for us so we can help you versus just saying,

you know, jumping on a call with you, right? Like, is there a starter kit that they should put together, whether it's just the entity docs, whether it's the personal tax returns, whatever, so that you can maybe talk to someone more educatedly of what they're doing. Yeah, I mean, really, I say the biggest thing is have some sort of goal or vision that you're wanting to do. Don't start something if you don't have a purpose for it. Like you said, you know, you might have an LLC, but it's just for one single purpose, not super active, but at least has a purpose. So figure out does my business have a purpose and if it doesn't, we would dissolve it. But if it does, then we'll keep using it.

But you know, have a purpose and you know, gather your previous stuff so we can see what has done previously, which you know, a lot of people, if they come to us, it obviously hasn't been working previously. So we'll know, okay. Well, most of us don't do anything until it's like almost too late. I remember for vast amount of years, I just went out and said, okay, I'll deal with it later. Yeah.

Right. I'm just going to deal with this later. Yep. And it's a pain in the butt to do it that way because then you got to go back and deal with it. Right. But I want to help people understand like, this is really important for nothing else than keeping more money you're already making.

Right. If you don't actually do it, like tax planning is really important. I mean, even the one simple tip that you just even said to me that I'm like, I literally just went on vacation, I literally have an event. I went to that vacation, not for vacation,

it was a business trip. Right. Yeah. And a lot of it is, you know, especially I tell people, like, if you have like, let's say a spouse that's not working and you're not paying them anything, which to me is crazy. I don't understand why people don't do that, but you put your family on the business now, your whole family is traveling on a business trip for the event.

on the business, now your whole family is traveling on a business trip for the event. And now you can write off that whole thing. You know, your kids travel, all of this, you know, your wife, all of it can be written off with like, for example, I just had my son, he's just turned a little over a year. Yeah. And I said, okay, I wanna be able to pay my son,

but he's an infant, Like what can he do? Um, so I have a book that's about to come out called genetics of wealth. And, uh, I made his footprint from his birth as the logo on the back of the book. And I am paying my son a licensing for him since his foot on my book. So he doesn't, you know, I send his foot on my foot. Smart. So he doesn't, you know, I don't run into child labor laws and things like that, but now my son, I have a legitimate business expense,

so I get that as an expense, plus he gets paid tax-free anything under $15,000. I agree. So, you know, things like that to where you can layer in these things as entrepreneurs that if I'm just a W2 worker I don't get those. Oh There's just so many benefits. It's insane. So we talked about cars. We talked about Meals meals or 50% still. Yep. I take you to dinner. It's 50%

Basically what they're saying is if you and me go to dinner It's 50% tax cut off. Basically what they're saying is if you and me go to dinner, it's your business so you get 50% of it. You know, there's two of us so they split it in half and say, okay, you can write off your expense but you can't write off my expense. Now what if I took 10 people to dinner? Now that's different.

You still only get 50% of that meal expense but if let's say it's 10 of your employees and it's, you know, everybody needs to be there. It's a business meeting you're going over, you know, like let's say your upcoming event, you take all the people who are working at your event, uh, to dinner. And you're talking about, okay, we're going to do XYZ. People need to be there at this time. Here's what we're going to go over.

talking about, okay, we're going to do XYZ. People need to be there at this time. Here's what we're going to go over. That now can be a hundred percent written off because it is an employee meeting or a contractor, whichever one you're doing that all can be written off because mandatory for everybody to be there and it's for business purposes. What if it was for prospecting new clubs? So I'll use fake examples, but something. I take out 10 of my best prospects for new clients. Like, let's just say I'm interviewing accountants and tax planners.

Right, yeah. So I get 10 of you guys and say, great, we're going to go to dinner. I want to chat with you guys. I want to have business conversations. I want to find out more. Is that a 50% or is that a 100%? So that is a 50%. I want to chat with you guys. I want to have business conversations. I want to find out more. Is that a 50% or is that a 100%?

So that is a 50%. Okay. I'll tell you where you can make it a 100%. Let's say you have people that you want to be in your mastermind. Okay. And you're prospecting for the mastermind, people to actually,

so the real differentiating point here is people paying you versus you paying them. Yeah. So these are people that are going to be paying you. Sure. So that now can be used as a marketing expense. So you're enticing people that may not have talked to you. If you had just said, Hey, let me get on a call with you. But you're like, Hey, let me take you out

to this nice steakhouse. They're like, okay, I'll do that. It's more enticing. So it's now a marketing expense to draw them in. That's what marketing is used to draw people in. So now that is used as a marketing expense. And that would be 100% tax-off. So funny, I'm doing that Thursday night.

I'm taking five of the prospects to dinner and that dinner will be now very expensive. But it'll be a hundred percent tax write off. Right. You know, I, I see a nice steakhouse. It can be any place, but that's, uh, like I said, the differentiating point is you paying them versus them paying you. So back to a personal brand. So like, again, I come from the real estate space

and I've ventured into different, and I'm into tech now and I'm into obviously branding and content creation is the mastermind, but I used to run in a real estate space, I used to run these little, what we would call like a meetup. Right. 15 to 30 people in a room once a month. I'd rent a little conference room.

I mean, they weren't very expensive. Let's call it five grand total. Right. Right. That would technically be a write-off. Yeah. Right. Because I'm prospecting to find people to pay me for coaching or bring me deals or whatever it may be.

And that's the write-off. Yeah. There's not a reason as I'm sitting here talking, there's no, I don't care what industry you're in, you need to have your own entrepreneurship journey. Create the LLC. So now let's talk about some of the tactical structures as we're wrapping up.

So I know everyone's like, well, do I just create an LLC or is it NASCorp or C-Corp? And I know some of these answers, but I'll let you kind of answer them. Let's remove what vertical is in, whether it's cupcakes or hair or real estate. Who cares? What do you usually advise for something simple to have the best tax planning scenario? Simple again, there's a lot of, it's common.

It's obvious that's why you guys get your diplomas in a license, but Talk to us about the simple way of kind of like if someone wants to get started or maybe they're already going and They're maybe not structured right and they're questioning whether they're structured right? What's your advice? yeah, so I say you know, there's a lot of talk about as corporations and You know that is kind of the fad I would say of it, which there are a lot of benefits. But if you make under $75,000, S corporation is probably not right for you. Yeah, because you're not really saving that 15% or whatever it is.

Right. So once you get over that $75,000, what we usually do is we'll create an S corporation that is the holding company or the management company for all of the companies underneath it. And, um, you know, we'll do single member LLCs that are a hundred percent owned by that S corporation. So if you have tons of different businesses underneath it, they, you know, all pay a 10% management fee to the S corporation. You take your salary out of the S corporation and those other ones just run on their own.

Yeah. That's typically, I would say probably our most common structuring. We honestly use all the, you know, single member LLCs, S corporation, C corporation, 501 C3s, S corporation, C corporation, 501 C3s. It just depends on what the person's doing. At the end of the day, I think every one of my companies is set up in the S corporation model,

just because the revenue's high enough that the extra 15% on employment tax is worth it. And I run pretty traditional businesses, right? Whether it's coaching mastermind, um, the real estate business, um, all pretty traditional, so I have not yet done anything with the C corp. Um, I guess my accountant hasn't seen any business I'm starting that that would make more sense, but I think there's options. I, here's what I would tell tell everyone if you're listening to this still Taxes can be sexy because it can actually help you keep more of the money you're making

So I want you to get a hold of grant again go to what's your Instagram at grant G Newell at grant G Newell What website can they go in can they fill out a form or apply for a call so they could ask you guys more questions? Yeah, so we have a contact page on our website, AbundantX.com. AbundantX.com, AbundantX.com form, fill it out, get on a call with you guys, learn a little bit more about what they're doing and how they're doing it. I'm with you, I'll probably start to involve you more in the mastermind, because I think people just also don't know what they're doing. I'm helping them make money and create the brand to go do that, create credibility, influence and authority and income.

Right. Uh, but then they probably don't know this side and, or if they do have an accountant, they may not be that well-versed. This is your vertical. You do tax planning and accounting, personal brands, entrepreneurship. You are looking at all ways through the law to say here's how you can flow through the river and miss the the rock so to speak right? Exactly. I love that. Guys this guy is a guy you need to know if you're here

if you're part of the entrepreneur DNA family get with Grant get with his team abundantx.com I appreciate you coming on. Yeah and if this been noteworthy, if you think a couple people might need some of this advice, please share with those two people and we'll see you on the next episode. Peace.