With the amount of "disbelief" expressed over Kate's remarks about small businesses' ability to reallocate, and thus reduce income, I will have to plead guilty.
I've signed my own paycheck since 1974, and will (along with the other truthful business people on this thread) say that Kate's premise is basically correct!
The very first instruction I gave my CPA "way back" was that, "We do nothing illegal, but take every advantage the government allows us".
In other words, I told my CPA's that as far as I was concerned, their job was to find the "gray" areas and exploit them.
My company, among other things was able to employ my two children (and augment their college educations), hire my wife (and ensure she was eligible for her own SS income), Buy a second (lake) home (which was actually used by our employees), amongst a few items.
IMO, any small business owner that doesn't take advantage of that situation, finds themselves at the other end (retirement), commiserating over "what could have been"! |
