How can you legally avoid paying taxes on your income, ever, even if you’re in the highest tax bracket? That’s NO taxes on the income, NO taxes on the growth, and NO taxes on the distribution.
There are only three ways I know of to do this, and I’m going to share one of them with you today.
The Health Savings Account, or HSA.
The money you put into an HSA is tax-deferred. The growth in an HSA is also tax-deferred. And when an HSA is used for medical expenses, you don’t pay taxes on the money used. Hence, you avoid paying any taxes whatsoever on the money.
Now, what if you allowed your HSA to grow for a very long time? Is there a law saying you have to spend your HSA money in a given time frame, such as during each calendar year?
The answer is no. You could grow your HSA tax-free for decades. Then, as long as you use the money for medical purposes – and what qualifies is incredibly liberal – you could create tens or hundreds of thousands of dollars of completely tax-free money. As long as you keep good records, you can even retroactively claim your medical expenses from years ago, and simply pull cash (income) out of your HSA, again, tax-free.
If you are able to pay for small medical expenses in cash, the interest and growth in an HSA can be quite substantial. It can also become a significant long-term health care plan for you, allowing you to access large sums of cash when you’re retired and your medical expenses become considerable. And maybe best of all, it’s the perfect trifecta of tax savings!
The Government is a heroin addict that is getting more desperate and more creative in finding ways to separate you from your hard-earned money. For example, this month for the first time I had to provide StubHub with my tax information so the IRS can get a piece of my season ticket sales!
If you’re only concerned with Rate of Return, you might be missing the bigger picture.
It’s not what you make that matters...
It’s what you get to keep.
The HSA is a great way to sew one of your pockets shut so the Government can never access it.
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Thank you for your time and for taking control of your financial future!
Sincerely,
Sam Arieff
Arieff Consulting
(904) 478-0102
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Disclaimer: This newsletter represents the opinion of Arieff Consulting, Inc, and does not constitute financial, tax, or legal advice.