It's not always easy to make it.[upbeat music] For the average small business guy, and even the W2, 'cause we have people that listen to our show that are small business owners and that maybe are W2 thinking of going small business, what's the least you could truly get away with legally? You know, doing it the right way, what kind of tax brackets should the average small business guy be in?

There's seven tax brackets out there, and the highest being 37 and a half.

No one pays, in total, 37 and a half percent in federal taxes, because it's graduated.

When we have brackets, that's our bracket on the next dollar after a certain limit.

Once everybody kind of gets that, that this is a graduated bracket, that's point number one.

Then what we want to look at is what is your effective tax rate? After we take all the killer write-offs we can think of, lots, lots of options, what's that effective rate? And for some people it could be zero.

For others it could be 35%.

What are things we need to start doing?

For the average small business guy, and even the WTU, because we have people that listen to our show that are small business owners and that maybe are WTU thinking going small business, what's the least you could truly get away with legally doing it the right way? What kind of tax brackets should the average small business

guy be in? There are seven tax brackets out there, and the highest being 37.5%.

No one pays in total 37.5% in federal taxes.

Because it's graduated.

When we have brackets, that's our bracket on the next dollar after a certain limit.

Once everybody kind of gets that, that this is a graduated bracket, that's point number one.

Then what we want to look at is what is your effective tax rate? After we take all the killer write-offs we can think of, lots of options, what's that effective rate? And for some people, it could be zero.

And I think we try to delegate the taxes away.

Yeah, yeah.

So what did we see in the first movie, you know? In the first movie, that's exactly what we got.

We got bonus depreciation for equipment and real estate investors, the opportunity zone provisions, better deductions for autos and mileage, better, uh, tax rates.

We b- we simplified the tax rates, uh, and lowered the tax rates across the board for the wealthy and the middle class and the low.

Everybody got a tax cut.

And so that Tax Cuts and Jobs Act, which was about 500 pages, I used to carry it around with me for a year or two as I was on the road explaining it, wrote a second edition of my book to explain it, um, it was packed with a lot of stuff.

But here's the interesting point.

Yeah.