Robert is 28 years old and has a current net worth of 1.2M. Of the 1.2M, 850K is in taxable accounts invested in various stock holdings; he also has a few rental properties. Robert graduated dentistry school with hefty student loans but immediately bought a practice from a retiring dentist. He has worked hard to run the practice more efficiently (including adding internet advertising and a website) and thus increased both revenues and net profit. Robert also shared his financial goal of 240K of passive income annually.
Gender Male
Age 27
Profession Self-Employed – Owns small business Dentist
Net Worth 1.2M
Allocation
Retirement Accounts 150K
Non Retirement Accounts 850K
Other Real Estate 75k
Small Business 200k
Age Became Millionaire 27
Household Annual Spending 60k
Range of Annual Income 500K-750K
Financial Goal 10MM in net worth or 250K of passive income annually
Robert has the vast majority of assets in a taxable account. He owns a his business, so why not setup a solo 401K or SEP and put away so much more in tax advantaged accounts and even it out more for tax diversification? He is paying so much in taxes especially at that marginal tax bracket. Thx
Really interesting episode from someone who isn’t taking the usual path of guests on the show!
I’m curious how the financing was obtained for the three investment properties as it sounds like Robert owned them during covid so purchased before having the normal two years of non-w2 income that banks like to see. My SO and I are high income earners with a small business but don’t have 2 years of filed taxes to get a loan for an investment property.
Thanks for doing such a great show guys – every time I listen I get more motivated to stay disciplined and keep investing!