I read something recently that kinda shocked me…
Warren Buffett, quite possibly the world’s most successful investor, doesn’t pay his taxes.
Well, he doesn’t pay them on time, anyway.
I mean the dude has billions of fungolas at his disposal. Why not just pay the “the man” and get it over with?
Because, babycakes, he be a brilliant investor. Here’s what he does instead:
He takes all that dough he has and defers taxes for as long as possible…but not using lame retirement plans or anything like that.
He pays as little as possible — interest. Then, takes the money he would have paid in taxes and invests it. The IRS might charge him 6%. Maybe 10%. But, that pales in comparison to what he can earn in the stock market.
So…when Mr. B earns 15%, but only has to pay 6% interest…
And it’s all in plain view. In fact, the IRS knows exactly what he’s doing. But, they don’t care.
What a nice way to stick it to the man without going to jail. The IRS loves collecting interest on past due taxes. Buffett loves making a profit by not paying them.
Can you do the same thing? Well…
…unless you be a brilliant investor, probably not.
You might be able to do something better.
Your best “investment” is you. Your productive ability. Your ability to make an income. You might not be able to make 15% in the stock market. But you can effectively squeeze 15% more out of your income without changing your current lifestyle…
…and that, my friend, is just as good. Better, in fact, because you’re not taking on any investment risk.
Want more daily financial tips?
go to www.monegenix.com and get on the email list.