How to Make a Backdoor Roth IRA Conversion [Complete Tutorial]

Many states in America such as California have extremely high income taxes. However, this doesn’t mean that every state has income taxes. In fact, there are some states in America that don’t have income taxes at all. In this video, tax expert Karlton Dennis explains which states in America do not have any income taxes. Every year, many people move to these states in order to take advantage of the lack of state income taxes. Karlton also explains some interesting facts about these states and how some of them got their tax policies. Some of the states that are included in this video are Florida, Alaska, and South Dakota. But, there are many more. This video is ideal for anyone who wants to learn which states do not have state income taxes. However, it is important to note that just because a state does not have income taxes doesn’t mean that it does not levy taxes at all. There are other forms of taxation such as property taxes that these states impose to generate revenue. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #Stateswithnoincometax #Notaxstates #incometaxes #taxes #KarltonDennis #Statetaxes #incometax

For many years, 529 plans have been one of the best ways to save for education expenses such as college tuition or books and school supplies. However, up until recently, people who wanted to spend money from their 529 accounts on anything besides qualified education expenses were forced to pay additional taxes and penalties on the money that they withdrew. But, starting in 2024, a massive rule change is going into effect for 529 plans. This change will allow people to roll over leftover funds from their 529 plans into a Roth IRA account that they can use to save for retirement in a tax-advantaged way. In this video, tax expert Karlton Dennis breaks down everything you need to know about this historic change to 529 plans. This new rule change for 529 plans is so significant that it could dramatically impact the way that people save for both education and retirement. If you want to save for either of these things, then this is a great video for you to watch. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #taxes #taxfreeliving #taxexpert #taxreduction #llc

Over the last two years, there have been some major changes to 401(k) retirement plans. Tens of millions of Americans have these plans and so these changes are going to impact a significant portion of the population of the United States. If you have a 401(k) plan, then you need to be aware of all of the key changes that are happening to these plans. In this video, tax expert Karlton Dennis explains all of the most important changes to 401(k) plans that will be going into effect in 2024. Many of these changes were created through the Secure 2.0 Act. He also explains what this act is and why it came to be. Some of the changes that are going into effect for 401(k) plans involve contribution limits, penalty-free early withdrawals, required minimum distributions (RMDs), student loan payments, and more. This video is a must-watch for anyone who wants to learn more about 401(k) changes, and who doesn’t want to be caught unaware of the new rules *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #taxes #taxfreeliving #taxexpert #taxreduction #llc

The IRS announced that it will start requiring payment app companies to issue Form 1099-K to everyone who receives $600 in income through their payment apps starting in tax year 2025. For 2024, the income threshold to receive Form 1099-K is $5,000. The IRS will receive copies of all 1099-K forms that are issued by payment app companies. A lot of business owners use Cash App and Venmo for payments. Unfortunately, there are some significant risks associated with this practice that many business owners are not aware of. In this video, tax expert Karlton Dennis discusses all of the risks associated with using payment apps like Cash App and Venmo to send and receive business payments. Considering the fact that making and receiving payments is such a crucial aspect of many businesses, it is imperative for business owners to fully understand how to prevent accidentally commingling personal and business funds with apps like Cash App and Venmo. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #taxes #taxfreeliving #taxexpert #taxreduction #llc

2024 is an election year in America and many politicians have been talking about the retirement age. Currently, the full retirement age in the United States is either 66 or 67, depending on the year you were born. However, politicians like Nikki Haley think that this age should be increased. In this video, tax expert Karlton Dennis discusses the changes to the retirement age that key politicians have been proposing. He also breaks down how this could impact you and what you should do to prepare for such changes in order to make sure that your retirement savings are optimized. Considering the fact that retirement age is an issue that affects the vast majority of the population, this is a video that is relevant for almost everyone. At this time, it is not clear whether or not the retirement age will actually be changed, but it is better to be prepared ahead of time, in case it does get changed. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #taxes #taxfreeliving #taxexpert #taxreduction #llc

Congress just announced a brand-new $78 billion bipartisan tax deal. This tax deal includes major tax changes that would impact individuals, families, and businesses. It has not yet become law. However, it could be passed in Congress in early 2024. In this video, tax expert Karlton Dennis breaks down all of the most important changes included in the new tax deal. This deal includes changes to bonus depreciation, the child tax credit, research and development deductions, the low-income housing tax credit, double taxation with Taiwan, disaster-related tax relief, and more. The fact that this tax deal is bipartisan could increase the odds that it will be passed. The politicians who are leading this proposal want it to be passed quickly so that American taxpayers can benefit from it this tax season. Watch the full video to learn about all of the most important changes that this deal will create. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #taxes #taxfreeliving #taxexpert #taxreduction #llc

Do you need to shut down your LLC? Then it is EXTREMELY IMPORTANT that you close it down the right way. Otherwise, you could be forced to deal with giant fees, lawsuits, AUDITS, and a wide variety of other serious consequences. In this video, tax expert Karlton Dennis goes over every single question you might have that pertains to safely shutting down your business. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #taxes #taxfreeliving #taxexpert #taxreduction #llc

Taking the Next Step: Download the Short-Term Rental Rule E-Book! ▶ https://ebook.taxalchemy.com Book a Professional Tax Strategy Consultation ▶ https://karladennis.com/youtubeconsult Watch this FREE Webinar on how to Use Real Estate To Offset W2/1099 Taxes ▶ https://taxreduction.link/taxsaver Get Help Setting up Your LLC, Now ▶ https://shareasale.com/r.cfm?b=617326&u=2911896&m=53954&urllink&afftrack Digital residency is a trend that is growing steadily in popularity. In this video, tax expert Karlton Dennis explains what digital residency is, how it works, which countries are offering it, and what the main benefits of it are. Digital residency is also referred to as “e-residency.” It is the process in which nations allow citizens of other countries to get an official “digital residence” in their country. Digital residency programs vary significantly from country to country. This video focuses primarily on the digital residency program offered by the nation of Estonia. Estonia was the first country to offer digital residency and it currently has over 100,000 e-residents. Digital residents of Estonia get access to a wide variety of benefits including being able to set up an Estonian company remotely, access to the high-quality Estonian digital infrastructure, and more. If you want to learn more about digital residency, this is the video for you. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #DigitalResidency #E-Residency #eResidency #EstoniaDigitalResidency #OnlineBusiness #KarltonDennis #DigitalResidence

Taking the Next Step: Download my new book! The Short Term Rental Rule: https://ebook.taxalchemy.com Book a Professional Tax Strategy Consultation ▶ https://karladennis.com/youtubeconsult Get Help Setting up Your LLC, Now ▶ https://shareasale.com/r.cfm?b=617326&u=2911896&m=53954&urllink&afftrack Getting audited by the IRS can be extremely stressful, tedious, and difficult. People who are audited by the IRS have to go through a process of proving that their tax returns are accurate. If the audit reveals that their tax returns are not accurate, then the people who were audited can end up owing large fines and penalties in addition to any missing taxes. In this video, tax expert Karlton Dennis explains the odds that people making under $300,000 per year in America have of being audited by the IRS. Most Americans have annual incomes under this amount. So, this video will apply to the vast majority of the American tax base. At the end of this video, Karlton also explains how to dramatically reduce the chances of being audited. So, this video is also beneficial for people who want to know what they can do to reduce their IRS audit risk. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #Audit #TaxExpert #KarltonDennis #IRSAudit #AuditRisk #LLC #Taxes

Download the Short-Term Rental Rule E-Book! ▶ https://ebook.taxalchemy.com Book a Professional Tax Strategy Consultation ▶ https://karladennis.com/youtubeconsult Watch this FREE Webinar on how to Use Real Estate To Offset W2/1099 Taxes ▶ https://taxreduction.link/taxsaver Get Help Setting up Your LLC, Now ▶ https://shareasale.com/r.cfm?b=617326&u=2911896&m=53954&urllink&afftrack Backdoor Roth IRAs are a great retirement planning option for high earners. Many people with high incomes are unable to contribute directly to Roth IRAs due to the income limits that the IRS imposes. However, people who have incomes that are above the limits can use a backdoor Roth conversion to make contributions to Roth IRAs. There are many different ways to make a backdoor Roth conversion. In this video, I explain everything you need to know about backdoor Roth IRAs and backdoor Roth conversions. So, if you have been thinking about diversifying your retirement planning strategy, or if you simply want to understand what backdoor Roth IRAs are and how they work, this is the perfect video for you. *Disclaimer: I am not a financial advisor nor am I an attorney. This information is for entertainment purposes only. It is highly recommended that you speak with a tax professional or tax attorney before performing any of the strategies mentioned in this video. Thank you. #BackdoorRothConversion #BackdoorRoth #BackdoorRothIRA #RothIRA #KarltonDennis #IndividualRetirementAccount #Retirement