$32,000, 100,000, Five Years discussed on The Del Walmsley Show
To Dell wants the radio show today We're doing the emails. That is the last week or two that I've received in Glass question we have was, um, you know, I'm looking at this money and investing it, but it's in my IRA. What should I do? If I leave in the IRA, I don't have any cash flow. If I take it out of the IRA, I pay taxes, and I said, Well, you just got to look at it. You don't really have that money until you take it out of that IRA. It's not yours. A plunge the IRA, which is Government held entity really saying that we're holding your money for you until you decide to pay us taxes. Now, if you want to let that money become larger and larger and larger. Then we'll let you go and let it become larger within the I raise, so that when you get ready to pay taxes, you pay more taxes. That's the only way you look at it. So if I want you to think about this way, if you're thinking about taking money out of your area, want you to think about talking to your boss and your boss is look, Bob. Because, Sam, you know, basically says here is just saying, Look, I don't want to allow my my Income bracket to go up right and that's the problem. It's uh You know, if you take the money out, you're already making your income Make underground year you tax at 100 year level. But if you take 100 grand out of your IRA, then you're taxed at 200 grand a year. So the concept as you're supposed to take the money out of your IRA. Once you quit your job and or retired, because then you don't have income, offsetting the taxes and you pay the same taxes you pay. But the reality is you're going to pay the taxes. And so you know, the discussion was Hey, you take it out a little bit at a time, invested a little bit at a time and you take the hit a little bit of the time and not Jackie tax bracket of the large amount. That's a possible way to do it. Right. Um On the other hand, think about this. What if your boss came to you today and said Bob I'm gonna give you a $50,000 bonus this month. Would you say, Sir, Please don't do that. Why, Bob? Cause you're gonna Jack my tax bracket up. It's gonna mess me up bad. Okay, well, Bob, I was going to give you 100,000 this year. 50,000 and 50,000 here, please, Boss. Don't give me that 100 grand You know how bad that to mess up my tax bracket. Think about it that way. And then you see how stupid it is deep worry about taking the money out of the IRA. If you were dumb enough to put it in the IRA in the first place dumb enough to put in the 41 kid in the first place and let a large amount of money accumulate under a tax rate that's higher than lower and said, Why do I say that? Because there lies at the end of your life, you're gonna be in your lowest tax bracket. That's not true at the end of your life. When you're my age, you're in the highest tax bracket you've ever been in. Having a higher tax bracket I've ever been in. It doesn't go down As you get older, it goes up, especially if you're investing. So it's a lie. So what you have to do is just unlearn the lie that they burdened you with. All right. She was the next in here says first, Let's say thanks for giving me so much inspiration. I have been listening to your show for over two years. Now. Here are the facts. I'm 62 years old. Now. Here's an interesting one when we get into these ones where they start telling us their age. Now they're looking at a whole another variable factor. And that is Can I do this at my age? Okay, so I am 62. I'm working from home full time and take care of my 88 year old mother. I make $32,000 a year. After 30 years of marriage, I'm able to now think for myself divorced for five years Now he took everything and then some. I've repaired my credit. It's now 8 10 and I have no debt and I have been able to save about $18,000. I've already signed a flash sales. But after listening to the case studies I feel like I don't make enough to have enough to save the last 30 years I've been imprisoned, and I kept in isolation by ex husband and I survived. I'm not looking for sympathy but honesty. Can you help? Look, first of all age, There's no age limitation to doing this. I'm 64 years old, and I'm still deeply invested in real estate and more so all the time I looked at two more deals last week in another deal today, Even so, yeah, there's no problem about the age. Secondly, the problem the challenge it would call anything. Is the $32,000 a year of income taking care of your mother 88 year old mother. Now we get into the thing. Okay? Do we have enough income to debt ratio to be a little afford to go buy a rent house with only $18,000? That's all she's ever going to be able to buy. Right is one rent house and one Red House would be beneficial for her both income wise and tax savings wise, but that's all she's going to be able to buy. And if she keeps that Red House and Does it correctly and save your money. It will be a marginal benefit to her. It would be a good tax benefit to her, but marginal income benefit turf because only one house and then you've got this thing. You now have to know how to deal with which is a house a Red house, right? And you're gonna need to do that. Now you work from home..