Tax strategy to preserve returns?
Posted: Sun Nov 30, 2008 10:23 pm
Although I'm still at the beginning of this very long journey, I am anticipating the day I may keep my job because I like it, not because I need it, and I am wondering how do you protect your winnings from uncle sam?
If I wake up and trade every morning, five days a week, profitably, but my annualized after-tax return (as % of investment) is equal to a US treasury, then I am just "playing a video game", that makes money, but the same money could be made by buying a treasury and doing nothing.
So how do I maximize the percent of my winnings that I get to keep?
I'm looking for feedback from anybody who makes all, or a majority of their income from trading.
Thanks in advance.
If I wake up and trade every morning, five days a week, profitably, but my annualized after-tax return (as % of investment) is equal to a US treasury, then I am just "playing a video game", that makes money, but the same money could be made by buying a treasury and doing nothing.
So how do I maximize the percent of my winnings that I get to keep?
I'm looking for feedback from anybody who makes all, or a majority of their income from trading.
Thanks in advance.