Take The Money Unless the Cost is Over 101%

I know the headline sounds a little crazy but let me set the stage for you.  I had a client today that had a couple of 1099’s he received from a manufacturer of a product he sells.  He had rightly reasoned that regardless of the tax he had to pay on the money he was money to the good.  Here is where the story takes a strange turn.  A peer of his had the same opportunity to receive the same type of incentive but had chosen not to take the extra money due to the tax implications.  Worse yet, his taxpreparer had told him it was a waste of time to take the money because of the taxes it was costing him.  My client had a great analogy on taking the money.  If I give you a $100 bill and then you have to give me $50 in return will you take the money or consider it a waste of time?  I am glad to know that my client was smart enough to grasp the concept.  I am embarrassed that anyone giving out that kind of advice can somehow find enough client’s to stay in business.  If you have received this kind of advice come on over to the light.  I am here and ready to help you keep more of what you earn.

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