Financial Education: Tax, Investment, and Wealth Building Advice

Living on the water, taking advantage of maritime law, is not a viable tax strategy.

### Personal Finance Myths Debunked by a Tax Expert
* 💸 " I can't write off a private chef, but if I invite somebody over every single night to have business meetings with me and I hire a private chef to cook the meals, I can write off the **private chef and the food** that went into making the meal.
* 🚗 " If you only put $500 down on a 2021 Dodge Charger, do you think that was **20% down** on the cost of that charger?
* 🏠 " I'm sure Steo is a lovely guy, and you'd love to catch a drink, hang out with him, but be careful **indebting your financial life** to somebody who's just your ID and a piece of mail.
* 📈 " Just teach them how to day trade, and clearly, if you understand how to day trade, you can **just make passive income for the rest of your lives**.
* 👴 " You can pull it out when you're **63**. How old are you right now? 13 years from now, will taxes be **higher or lower**?
* ⛵ " Living out here on the water till tax season's over, taking advantage of that **maritime law** just like George Washington.
* 🤒 " I haven't gotten sick in **3 years** because I don't believe in being sick.
* 🎢 " After I grew my investment portfolio from $500 to millions of dollars, I decided to listen to one of the **index fund gurus** that popped onto my social media.

living out here on the water till tax season's over taking advantage of that maritime law just like George Washington. [Music] said. We're back. The team has put together another group of videos so they stuck the cup in the river of content. Let's see what they Unleashed on us. I am so excited cuz we love when we get to react to other creators. I'm curious today if these are good ones or not so good ones. Here we go. I can't write off a private chef but if I invite somebody over every single night to have business meetings with me and I hire a private Chef to cook the meals I can write off the private chef and the food that went into making the meal. This is how I'm able to afford having that private Chef every single year every single month every single day inside of my house meals along with my friends family members and my business clients who also some of my family members sit on my board of directors like all tax advice tinge of Truth there of Truth.

fact that yes Mills 50% deductible so I mean I guess if he's doing it in-house he's trying to he's even getting aggressive with the deductibility of it but he kind of let it up if you were sitting across from the IRS and you said but hey yes these are business meals that are happen to be in my house and every night I bring in business associates every single night but then when you say but and by the way I put my relatives on my board so everybody who's related to me is also in business with me I I I think that that's a sham transaction the function doesn't work o over the form of the of the structure I you know it's it's a little too aggressive for my liking now look if they actual business meetings and he's conducting it then I guess letter the law it would be permissible but I would be nervous sitting in front of the IRS trying to communicate that when it comes to taxes I don't think that you want to

be too aggressive cuz remember they are the folks who can come and take your stuff away and shut you down. I would stay on the right side of the IRS. That's my hot take. Let me tell you how you make this deductible in their mindset. When my daughter tries to pass the Parmesan bread over back, no, I'm not your father tonight. I'm the CEO. Get it right. So, this is deductible, right? All right, let's see what we got next. What's going on, folks? It's your boy Steo Gotoll. Today, I got Joe hooked up here on this 21 Dodge Charger with only $500 down. First-time buyer, how was your experience here today, my man? Great, very nice people. Awesome, man. You recommend us? Oh, yeah, awesome guys. Well, hey, as always, you're working for a vehicle. All you need is your ID and a piece of mail in your name. Go ahead and book an appointment by clicking the link of my how about the money to pay the bills DMO got me rolling. We'll get you rolling off today.

this is not the first time I've heard of this steo. No, no, no, the content team loves steo. We've gotten to see a lot of his content because, but not for the right reasons, not for the right reasons. Uh, you know, we love 238 BR. I don't know this for sure, but a 21 charger. If you only put $500 down on that, do you think that that was 20% down on the cost that charger? I'm guessing not, but steo says all you need to be able to buy a car is you needs a piece your ID and a piece of mail with your name on it. That's it. Ooh, I don't know that's all I would take with me when I go to buy an automobile. I don't think steo is worried about their ability to pay for the charger. I think he's just trying to get the quantity of transactions. Be very careful guys because this is the consumer Society we live in. Is that people have no problem selling you the good and the wees and

even getting you in debt for it. But they're not going to be there to help you cover and pay for these monthly expenses. And by the way, if you're paying for everything a few hundred a month at a time and never own it, you don't really own your life. You rent your life, and you're the servant to the obligations that are out there. Be careful. I'm sure Steo is a lovely guy, and you'd love to catch a drink, hang out with him. Be careful indebting your financial life to somebody who's just your ID. And a piece is all you need. That scares the heck out of me when it comes to buying stuff. Just because you can doesn't mean that you should. Just because someone's willing to let you finance a car over the next 10 years at 12% interest with only $500 down doesn't mean that's a wise financial decision for your future. I do not know that I want Steo to get me rolling. My daughters will never have to work a day in their lives if they don't.

want to First, they're homeschooled, so we're already preconditioning them to live their life with complete freedom. Even as adults, second, I'm teaching them the skill of day trading so they can create unlimited. I didn't have that on the bingo card from their phones anytime, anywhere, any place. This is my daughter showing me her trades. Oh, my, that's, yeah, that went in a completely different direction. Okay, homeschooling, I can get on board with that. I, okay, that may well, I, I follow some homeschoolers, and they're usually, they're on like farms, and they're taking care of like goats, and they're like growing chickens and cows, and I'm like, All right, day trading, that's a new one for me, didn't see that one coming. And that's easy, all you got to do is just teach him how to day trade, and clearly, if you understand how to day trade, you can just make passive income for the rest of your lives. You'll never have to work, it's that easy. If someone starts selling you a line like that, that

money is easy. It can just show up. All I got to do is spend a little bit of time with you to teach you my secrets, and you can day trade yourself to success. Ooh, my Spidey senses would go off. That's engagement. Potter got there's no way she actually, I mean she, she held up app orever my daughter's trades. That girl, we understand. Look, time in the market is much more important than timing the market, and if you're in and out and day trading, you're not actually investing, you're speculating, and that is not what you want to do when you're on the path and to building wealth. I have a lot of money in my 401 k. Okay, I'm sorry for you. Why do you feel sorry for me? It's a way to put money in without paying taxes on it. It's a way for you to be trapped for 30 years. Well, you can pull it out when you're 63. How old are you right now? 13 years from now with taxes be higher or

lower higher you will wish you would have sold them when you were 50 'cause you pay lower taxes dude. You don't pay any taxes when you pull out money out of your 401k. If you wait until you're 63 when you start using money, you're going to pay taxes bro. You weren't charged taxes while two wrongs don't make a right. What's wrong with you? You're notest penalty-free withdrawals from retirement accounts after the age of 59 and a half penalty free not tax-free so they're going to charge you a penalty. They're going to put handcuffs on you to sell it before then but dude when you're 63 years old when you start withdrawing you're going to start paying taxes at that point. 41k withdrawals or taxes in exactly yeah but the majority of Americans have higher income while they're in earned income years meaning while you have wages. The thought is when you retire there's a good chance that your income tax rates will actually go down because you just don't have as much

taxable income. So you're in a lower tax bracket. And by the way, if you don't know, it's bipartisan that typically retirees are loved by Republicans, they're loved by Democrats, and you see that in the tax laws and the structures. So Grant, once again, has packaged a little bit of truth, but you also had an individual who didn't completely understand the taxability of retirement accounts. Two wrongs don't make a right. There's nothing wrong with a 401k. And he said, Oh, well, you're not going to be able to get to that money until you're 59 and a half. Or that's true. The reason why we save in 401ks is so that our 60, 61, 62, 63-year-old self has access to funds. If instead we consume all those dollars today, we don't save for the future, then that person's going to be broke. I think 401ks are one of the best ways to legally hide money from the government for your future self. It's supposed to be

for your future self not for yourself today. And he did a little game. He said, Do you think the tax rate is going to be higher in the future or lower in the future? And everybody says, Oh, they're going to go up. You already said it. While that is true that rates could go up, if you do it correctly and you build your three buckets, your tax-deferred, your tax-free, and your after-tax, you get to pick and choose which tax rates you pay in retirement. So, if you're a high-income earner, there's a really good chance in retirement, in financial independence, you can control your tax situation to pay a lower rate. Hey there, TikTok, it's day four out here on the boat. You know me, living out here on the water till tax season's over, taking advantage of that maritime law just like George Washington said. Now, I ain't got no water, but I got a 48-pack of Miller Light. I had myself a turtle for breakfast, and I'm living like a C. This is a complete joke, President like George Washington and Tin Man.

think I don't even know. Look, I did taxes for 16 years. I should probably know what this maritime tax loophole is. I've never heard of, but surely that's a joke because the with the accent being shirtless having the screen name of Magnum PI. I think that there was just a lot going on there. If someone tells you they have some magnificent way for you to avoid paying all taxes together, my Spidey senses would immediately go off, whether it's moving to uh man Municipality of the United States, whether it is going out into international waters and living there so that you don't have to pay taxes. If it sounds too good to be true, it likely is too good to be true because what you don't want to do is just decide, you know what, I'm going to come up with a scheme to not pay Uncle Sam. We have time and time again seen celebrities, Wesley Snipes, try to do that, and it does not end up well. Pay your taxes, tax avoidance.

is highly encouraged. Tax evasion is highly illegal. I haven't gotten sick in 3 years because I don't believe in being sick. You want to know how people get sick? In the morning, and they get this thing, what is the first thing with that symptom that they say? I think I'm getting sick. That's an instruction, and guess what you're going to do? You're going to lean into that, and then the symptom is going to exaggerate into sickness, and then later you're going to say, I am sick. So I'll ask one person, How long do you usually get sick? 2 days. Why is it 2 days? Because that's their programming. Guess what? They start to think, I'm done being sick. That's an instruction the body says, Oh, Chris, you. I'm already... My brain hurts just hearing this. I think I'm getting better. And 2 hours later, I'm better. Chris wakes up and he's like, I'm going to do content. I don't think he says, I want good content. No, I'm going to

be jacked. I'm going to be jacked this morning. Oh my gosh, Chris. I hope you never have high blood pressure. I'm going to have low blood pressure. I'm good. Holy cow. Yes, there Brian, and you have even told me this. We've had this conversation. Our inner voice, the voice inside of our head, can be incredibly powerful in terms of impacting our behaviors, but impacting like physiological symptoms of your immune system working against a virus or bacteria, ah, maybe a bridge too far for me. Yo, yo, yo, let's trace some stocks. All right, so we're looking for calls right now. The market is looking, it seems like it's going to go down and then right back up, and we're be playing it off that bearish downtrend. Now we just wait. Come on, baby. Okay, all right, perfect. This is what we're looking for. Hold up, boys. There we go. That's what we needed. That is what we needed. We are going all gos. Please just go. By the way, this probably happened two days ago.

just let go voice overing the what happened you have ,000 right now you know it. You know it just go up. I'm bored to the sky to the Moon rocket moon now let's go. That's what we need to B. That's what we needed. Yeah. That's this is ridiculous. I've got anxiety traitor alive. He needs. He he needs to get off the Red Bull. I mean he needs to get. I think he's on something else beside red. I don't even know. You know I've seen this guy. I've seen people like this in like whenever I go to a casino. These are the people I see. They're screaming at the slots. They're screaming at the roulettes. They're screaming at the dice on the table H that. I don't know that that's the way when I sit down and look at my portfolio and I think about allocating. That's not what I do. That's not the way that I behave when I think about making purchases and sale sales inside of my inv. Can we all agree that

that was some Tom FY, and the fact that he was screaming at the screen, and then it was doing exact what I didn't even see what the screen was doing. No, it was dropping, dropping, dropping. He's like getting all hyped up and excited, but then he goes, okay, now to the moon, and it happens the turn, right? That was because it was pre-recorded, that was theater, that's not the way you invest. The reality is on investing, it's slow, steady work. You stay consistent, you stay disciplining, you give it enough time and while, lo and behold, this magical thing happens with compounding growth. This is not a reality, this is a f FY, this is somebody trying to entertain you, probably sell you, and that's not actually where success lives. This is what Index Fund gurus don't tell you about index funds that make me so angry. After I grew my Investment Portfolio from 500 bucks to millions of dollars, I decided to listen to one of the index fund gurus that popped onto my social media, and I'm like

you know what, let me add an index fund to my portfolio. Do you want to see the results and the difference between individual stocks and Index Fund? Look at the gains here on individual stock, starting from 200%, until we finally get to VU here, which is way she show when she bought theming stocks that are basically carrying my entire 4.7 million portfolio. I do it all in only 1 hour per month, even though I'm super busy and not a math West following my simple five there he is got a system send you my free master class on it. I'm sorry, where do I send Diamond to? I Want To. Where do I s that too? Yeah, look, okay, of course, there's a lot of missing variables are individual stocks going to perform better than a basket of individual stocks are Diversified in a bull market in an up Market highly likely yes what I want to see is over the long term though do you have the ability does was her name Diamond I don't I don't know what.

does she have the ability to pick which stocks are going to be the ones that go up when the markets are up, and don't go down as much when the markets are down. I think that for most people, that is a very futile exercise. I'd love to see that same snapshots she did during fourth quarter of 2008, during the middle of Co, during the entire year of 2022, and I think it would probably have painted a very, very different picture. Well, I just know from if you go look at the SPIVA data out there, 2/3 or 3/ depending upon which period of time you want to look at of active managers, meaning this is how they make their living, is choosing Investments, they underperform the index funds. So all she's doing is taking a different angle and saying, hey, my individual stock that if you subscribe to my system, I'm going to tell you which ones to buy, is going to be better than the index funds. She is playing the part of that active manager, and she doesn't know. Now maybe she

bought Nvidia. Okay, good for you. That one has gone to the moon and you've done very well. Maybe in 2018 you bought Tesla, but you see, if you go and look at all the companies that you could buy, you're going to find out that there is a very slim chance that you're going to nail the perfect stock at the perfect time. And then here's even something, even if you hit that perfect stock, when do you diversify? When do you get out of it? These are all problems that an index investor doesn't have to worry about because the system is naturally cleansing itself. It's naturally adding those high flyers on there. It's naturally getting rid of and shedding the old stodgy stocks that no longer are relevant in this economy. I love, instead of trying to beat the market, just be the market because humans are walking towards innovation, towards growth. You don't have to waste any mental calories and own it all. Getting rich is not a quick game. It is a slow and steady game.

Through Time, Building Wealth is not something that's supposed to happen overnight with some magic secret. There's not a magic secret to it. It takes discipline, it takes a little bit of money, and it takes time. And if you can put those three together, it's amazing the amount of wealth you can create. Be careful about social media influencers telling you that there's a better, faster, more efficient way. It's just not true. There is a better way to do money, and I'd encourage you to go to money.com, even go to money.com resources to get tons of free stuff. We will load you up so you can learn, apply, grow, reach your own level of success. I'm your host, Bri Mr. Bansen, Money God team out.

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Questionable Tax Strategies and Car Buying Advice

Some creators are discussing questionable tax strategies, such as writing off a private chef by framing meals as business meetings.

Another creator is giving dubious advice on car buying, suggesting that all you need is an ID and a piece of mail to purchase a vehicle.

The tax strategies discussed may be too aggressive and risky when facing the IRS, while the car buying advice seems financially irresponsible.

It's important to be cautious with such advice in order to avoid potential legal and financial consequences.

The Dangers of Financial Advice and Day Trading

Financial gurus pushing for debt and day trading as easy paths to wealth can be risky.

Homeschooling and day trading are being promoted as ways to achieve financial freedom without hard work.

However, day trading is more like speculation than investment and can be financially dangerous.

The advice to rely on day trading for a living and to dismiss long-term investing is questionable and risky.

Managing Taxes and 401k Withdrawals for Retirement

You can avoid paying taxes on 401k withdrawals if you wait until you're 59 and a half, but you'll face penalties for early withdrawal.

The majority of Americans have a higher income during their working years, so the common belief is that they will be in a lower tax bracket after retirement.

By strategically building tax-deferred, tax-free, and after-tax funds, high-income earners can potentially lower their tax rate in retirement.

Misconceptions About Tax Loopholes and Getting Sick

The idea of avoiding taxes through maritime loopholes is unrealistic and can lead to serious consequences, as seen in celebrity cases like Wesley Snipes.

Believing that you can avoid getting sick through positive thinking is a misconception, as it doesn't align with how the body actually responds to illness.

Stock market predictions and trading behavior are also mentioned but not extensively discussed.

Critique of High-Energy Investment Strategies

A high-energy individual is critiqued for promoting an unrealistic and theatrical approach to investing, contrasting it with the steady and disciplined nature of true success.

The individual's comparison of individual stocks and index funds is questioned, highlighting the missing variables in the analysis.

The aggressive and entertaining promotion of a stock investment strategy is challenged, emphasizing the importance of a long-term and diversified approach to investing.

Trying to consistently pick winning stocks is a futile exercise for most people, as evidenced by the underperformance of active managers compared to index funds.

The key to building wealth is through discipline, time, and a long-term approach, rather than trying to find a magic secret to get rich quickly.

Social media influencers promoting a faster way to wealth should be viewed with caution, and a more reliable approach is to focus on learning, applying, and growing through reputable financial resources.