"Charles and his "Double Duty Dollars" (3 min must read)
It had been a few months since the last time I reached out to the Jones', but quite frankly it's been a busy few months all together. While reading this short blog you may be wondering what exactly has kept me so busy to not reach out to anyone over the last few months. I must now come clean and confess. I have just finished reading the last email, postcard, and website for all of the candidates running for office and I still don't know who to vote for on Election Day.
Make no mistake about it every election year I; personally love figuring out what the measures are and how they will benefit my clients or me. Some measures come in the form of new bond offerings from the state or city which allows some of my clients to have an opportunity to receive a tax free rebate check from the city every 6 months. Yes you heard correctly, TAX FREE! I love some of the new issues when they come out, because some my clients benefit twice. Let me explain to you how Charles Jones made money from the state every six months by accident. Did I mention it was tax free?
Charles Jones called me 3 years ago and told me he had to stop making his monthly contribution to his son Justin's college fund. I asked why and was there something I could do. He said well the city had just approved a Bond Measure; let's just call it Measure J. Measure J would improve the building and bring it up to earthquake standards. It would also expand the library, campus auditorium, and gymnasium. He was a little upset personally, because he had voted against the measure. I said well that should be a good thing, I'm all for improving a library no matter where it is. He said he was too but, he just could not afford the increase in his property taxes at the time. I said I'm yet to meet anyone who could afford an increase in taxes of any kind.
My next comment would not only surprise him, but knock him off his feet. I told Charles that not only would he continue to make the contribution, but I would get him a check to pay for it and that the check would be tax free.
One of the things that has become a tradition at most every live "Keeping Up" seminar (besides giving away free Macy's® gift cards. Certain Restrictions May Apply) is share a "Keeping Up" tip on how we partner with the government in some shape, form, or fashion. When I say partner, I mean look for a way for the government to reward us for helping them. That's the way partners should be. They help you, and you help them.
After my assistant and I brought Charles too from his shock, he said now how are you going to do that? I told Charles that we would create a partnership with the local Government. He said how can that happen? I told him that we would buy that same bond that shows up on his property tax bill in the top left corner. He said really? I said yes we would buy the bond and have the bond pay us every six months tax free. While the tax free payments come in we would then make a contribution to Justin's 529 college plan (which in most states comes out tax free once Justin uses it for college). Now that's what I call a partnership Charles stated. "Double Duty Dollars" I get it, they partner with me on helping me write off the interest from my property taxes that has the bond on it. Correct I said. He then said, and then I partner with them by buying their bond to fix up the school that will benefit my son. I said now you are getting it. I then said because you are a resident of the same state that city's bond payments will then be tax free to you. He said I love it! I then told him that he should embrace the election season. This is Jenny Jones from the "Keeping Up" Educational Series and (I APPROVE THIS MESSAGE)
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