February 4, 2010

Create your home business tax shelter

Congress has raised our debt ceiling 5 times within the last 2 years under the Bush and Obama administration.  The US economy is struggling to recover from a "great recession" and has avoided a depression by various bailout and stimulus programs in place.

Here's the Catch 22:

The government needs to spend money to pull the economy out of recession - however, when the government "spends" it really is just borrowing money from other countries or from our entitlement programs such as social security, medicare, etc. which raises our debt ceiling that drives down the value of the dollar.  The strength of a nation's currency is dependent upon the strength of that nation's government.  So if and when our government reaches a point to where it cannot repay the debts through taxes and borrowing - our dollar will become worthless. 

One can clearly see why less Americans can retire nowadays because the value of our dollar has become so weak.  The government doesn't create any real money - it just borrows and taxes its citizens and businesses to get the cash it needs to fund wars, bailout companies, or repay the deficits it has created.

Here's how you "hide" some of your money from the government:
  • Start a small business - that so many writeoffs and advantages for an individual to have a small business in the United States.  If you're able to grow your business and employ others - then you will start to see how much money you'll be able to keep for yourself, rather than fork it over to the government.  Look at all the upcoming entrepreneurs coming to view via the internet.  There are several internet companies starting up every day!  Obama has vowed to eliminate the capital gains tax for small businesses...so this reduction of taxes for small businesses will open the door for a lot of middle class people to become a little richer.
  • Invest in a Roth IRA

"Jobs are just temporary placeholders where you can learn skills in order for you to start your own business" - Dhata Harris


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