The Believer: My Financial Beliefs

I believe in the light that shines and will never die

Oh I believe the fire burns, we stay alive

They will talk about us

Like they talked about the kings before us

They will talk about us

These are the words of a believer, achiever, leader of the globe

My financial beliefs are as follows:

1.       I believe that financial literacy is important to teach the “have-nots” how to become “haves.” You can win the lottery but if you don’t know what to do with the money, you could lose it just as fast.

2.     I believe that everyone must have a basic understanding of taxes regardless of their income level. Don’t ever just rely on the advice of a tax accountant. You never know if that accountant is giving bad or illegal advice.

3.     I believe most people that get ahead financially are the people that are not scared of failures and sacrifice. Some wealthy people are born into money while others had to grind their way to wealth. Grinding means putting in the work that most people are too scared to do.

4.     I believe that intelligence and natural talent are important but having a strong work ethnic is how believers become achievers. There are a lot of extremely smart people that are struggling financially. It takes more than just smarts to become wealthy.

5.     I believe that running a business is like playing professional baseball. A professional baseball player that hits around 40% of the balls thrown at him is a considered legend. As an entrepreneur, everything will not go as planned. Always be prepared to take advantage of any opportunity. If one opportunity fails, get ready for the next one.

6.     I believe that no matter how accomplished you become, never forget the people who were with you when opportunities were hard to get.

A good book to read is 5 Easy Steps to Financial Freedom: Do What You Love & Get Rich Doing It by Duane Harden.  Duane Harden doesn't just teach you theory; you learn through his own hands-on life experiences. A strong life lesson he imparts is the story of how he built his own solid portfolio comprised of residential and commercial real estate and successful businesses including a restaurant and a music company. He began with no financial education, but he was determined and inspired. Today he leads a Cash Flow Club where he mentors entrepreneurs on how to start and grow their businesses so they, too, can become financially free.

“Beliefs have the power to create and the power to destroy. Human beings have the awesome ability to take any experience of their lives and create a meaning that disempowers them or one that can literally save their lives.” Tony Robbins

Yesterday: Start Planning Now for Next Year's Tax Return

How do I say goodbye to what we had?

The good time that made us laugh

Outweigh the bad

I thought we'd get to see forever

But forever's gone away

It's so hard to say goodbye to yesterday

Believe it or not, I actually miss my clients after tax season ends. The tax deadline may have just passed but planning for next year can start now. The IRS reminds taxpayers that being organized and planning ahead can save time, money and headaches in 2013. Here are eight things you can do now to make next April 15 easier.

Adjust your withholding Why wait another year for a big refund? Now is a good time to review your withholding and make adjustments for next year, especially if you'd prefer more money in each paycheck this year. If you owed at tax time, perhaps you'd like next year's tax payment to be smaller. Use IRS's Withholding Calculator at www.irs.gov or Publication 919, How Do I Adjust My Tax Withholding?

Store your return in a safe place Put your 2011 tax return and supporting documents somewhere secure so you'll know exactly where to find them if you receive an IRS notice and need to refer to your return. If it is easy to find, you can also use it as a helpful guide for next year's return.


Organize your recordkeeping Establish a central location where everyone in your household can put tax-related records all year long. Anything from a shoebox to a file cabinet works. Just be consistent to avoid a scramble for misplaced mileage logs or charity receipts come tax time.

Review your paycheck Make sure your employer is properly withholding and reporting retirement account contributions, health insurance payments, charitable payroll deductions and other items. These payroll adjustments can make a big difference on your bottom line. Fixing an error in your paycheck now gets you back on track before it becomes a huge hassle.

Shop for a tax professional early If you use a tax professional to help you strategize, plan and make financial decisions throughout the year, then search now. You'll have more time when you're not up against a deadline or anxious for your refund. Choose a tax professional wisely. You are ultimately responsible for the accuracy of your own return regardless of who prepares it. Find tips for choosing a preparer at www.irs.gov.

Prepare to itemize deductions If your expenses typically fall just below the amount to make itemizing advantageous, a bit of planning to bundle deductions into 2012 may pay off. An early or extra mortgage payment, pre-deadline property tax payments, planned donations or strategically paid medical bills could equal some tax savings.

Strategize tuition payments The American Opportunity Tax Credit, which offsets higher education expenses, is set to expire after 2012. It may be beneficial to pay 2013 tuition in 2012 to take full advantage of this tax credit, up to $2,500, before it expires. For more information, see IRS Publication 970, Tax Benefits for Education.

The IRS emphasizes that each household's financial circumstances are different so it's important to fully consider your specific situation and goals before making large financial decisions.

“It pays to plan ahead. It wasn't raining when Noah built the ark."

We're Going Wrong: Tax Implications of Divorce

It may be time to find a divorce lawyer (and a GREAT tax accountant) if you open your eyes one morning and your spouse sings this to you:

Please open your eyes
Try to realize
I found out today we're going wrong

Please open your mind
See what you can find
I found out today we're going wrong

Divorce is the final termination of a marital union, canceling the legal duties and responsibilities of marriage and dissolving the bonds of matrimony between the parties (unlike annulment which declares the marriage null and void). Divorce laws vary considerably around the world but in most countries it requires the sanction of a court or other authority in a legal process. The legal process for divorce may also involve issues of alimony (spousal support), child custody, child support, distribution of property and division of debt.

Personally speaking, clients that are going through divorce are the toughest to deal with. There are alot of emotions involve. Alot of the times, they didn't take into account the tax implications of divorce. For example, who will claim the children on their tax returns. I would recommend to consult with your tax accountant throughout the divorce procedures. The worst thing you can do is talk about the divorce when the tax return is ready to be filed.

If you need great information regarding the tax implications of divorce, check out this Forbes article written by Peter J. Reilly http://www.forbes.com/sites/peterjreilly/2012/05/06/divorce-lawyers-frequently-not-the-best-tax-advisors/

“My husband and I have never considered divorce... murder sometimes, but never divorce.”
― Joyce Brothers