Roth IRA Conversion (Part 6) | Rental Property | Inherited IRA | Widow's Penalty
In this video I demonstrate How To Consider the Tax Effects of Rental Real Estate, Inherited IRAs, Widow's Penalty, and Potential Expiration of the Tax Cuts & Jobs Act in the context of doing Roth IRA Conversions. I also show how to incorporate the tax impact of these items into the Personal Tax Planning Template. Personal Tax Planning Template Available Here: https://numbercrunchnerds.systeme.io/... 00:00 Introduction 02:51 Paying Tax on Roth IRA Conversion Scenario Comparison 03:29 Investing Free Cash Flow at the Risk Free Rate of Return 03:49 Making an Investment in Rental Real Estate 04:29 Taxable Income Calculation Example 1 05:15 Applying the 2024 Tax Brackets to Taxable Income Example 1 06:11 W-2 Income vs Roth IRA Conversion Income Breakout 08:44 5 Year Cash Flow Analysis Example 1 12:06 Cash Flow Calculation vs Taxable Income Calculation 13:27 Depreciation is a Non-Cash Tax Deductible Expense 15:35 Calculating Taxable Income with a Rental Loss 16:48 Married Filing Joint Tax Brackets Example 2 17:57 Cash Flow Forecast Including Roth IRA Income & Rental Property Loss 20:51 Building Equity in Rental Assets (Paid For by the Tenant) 21:47 Side by Side Comparison of Cash Flow and After Tax Investment Strategies 24:11 After Tax vs Pre Tax Results Analysis 28:10 Entering Rental Property Calculations into the Personal Tax Planning Template 31:33 Changes in Fair Market Value of Real Estate (Scenario Testing) 35:10 After-Tax Cash Flow Analysis after Property Liquidation, Commissions & Closing Costs 38:37 Comparing Low Risk Strategy Results to High Risk Strategy Results 39:47 Calculating Gain on the Sale of Rental Property (and Related Tax Impact) 40:30 Adjusting Cost Basis by Accumulated Depreciation 43:17 Capital Gain Tax Bracket of 15% versus Ordinary Income Tax Brackets 43:55 Filling out Form 4797 in Turbotax 46:11 Schedule D Tax Worksheet 15% Capital Gain Calculation 48:19 What is Depreciation Recapture 50:10 Tax Bracket Breakout 10% 12% 22% by Line Item 53:04 Tax Calculation Compared to Turbo Tax Form 1040 54:47 How to Prepare a 30 Year Mortgage Amortization Schedule 55:41 Loan Outstanding | Interest Rate | PMT Function in Excel | Principal Payments 58:20 Monthly Loan Amortization and Monthly Mortgage Payment Calculation 1:01:27 Making Additional Principal Payments to Reduce Interest Paid over Life of Loan 1:02:40 Inherited IRA Considerations in Roth Conversion Planning 1:03:13 Surviving Spouse | Under 21 | Disabled or Chronically Ill | Less than 10 Years Younger 1:03:56 Inherited IRA RMDs 1:04:27 RMD Penalty Relief for 2024 - IRS Notice 2024-35 1:05:54 10 Year RMD Window vs Penalty for Failing to Take RMDs 1:08:53 Inherited IRA Calculator 1:13:09 Entering RMDs for Inherited IRAs into the Personal Tax Planning Spreadsheet 1:14:34 What is the Widow's Penalty 1:15:28 Widows Penalty Example Calculation (MFJ vs Single Tax Brackets) 1:18:22 Tax Calculation Update - Current Law vs Pre Tax Cuts and Jobs Act (TCJA) 1:20:14 Tax Planning for Possible Sunset of the Tax Cuts & Jobs Act 1:26:28 Effect of the Widow's Penalty on Future RMD Income 1:28:31 Impact of Inherited IRA "Balloon Income" in Year 10 1:29:57 Dynamic Tax Brackets now Included in the Personal Tax Planning Template 1:31:54 Justin's World Famous "Cookie Jar" Analogy for Depreciation Recapture Part 2: • Roth IRA Conversion (Part 2) | 2024 T... Part 3: • Roth IRA Conversion (Part 3) | 2024 T... Part 4: • Roth IRA Conversion (Part 4) 2024 Tax... Part 5: • Roth IRA Conversion (Part 5) | Calcul... #money #taxplanning #rentalproperty #inherited #taxtips #rmd #widowpenalty
