Apr 25, 2019
In episode 150 of Financially Simple, Justin looks at how and why you might employ your children in the family business.
If you’re paying your kids pocket money for doing a few household chores, maybe consider hiring them and paying them a salary instead! Justin takes a look at the IRS tax code and explains how you can employ your children giving them and your business significant benefits.
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ARTICLE TRANSCRIPT: BLOG: Ideas for Hiring Your Children in Your Business - Tax Advantages
00:53 - Should I Pay My Children From The Business?
01:28 - Why You Might Want To Hire Your Children
03:12 - The Strategy
04:22 - What The Internal Revenue Code Says
08:17 - Keeping It All Legitimate
10:42 - Is It Worth It?
14:02 - The Corporation “Problem”, and its Simple Solution
14:52 - The Payroll Tax Workaround For Your Children
16:44 - The Bottom Line
17:29 - Wrap Up
Justin A. Goodbread, CFP®, CEPA,
CVGA, is a nationally recognized financial planner, business
educator, wealth manager, author, speaker, and entrepreneur. He has
20+ years of experience teaching small business owners how to
start, buy, grow, and sell businesses. He is a multi-year recipient
of the Investopedia Top 100 Advisor and 2018 Exit Planning
Institute’s Exit Planner Leader of the Year.
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