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The Overtaxed Investor: Slash Your Tax Bill & Be a Tax Alpha Dog
Taxes Come First
Every year, Congress used to paste together a mismash of temporary tax rules. Then the so-called American Taxpayer Relief Act of 2012 rocked this world, making long-range tax planning possible for the first time in a decade. Because tax rates skyrocketed, it also became necessary.
Being tax-smart is now more important than ever. In our low-return environment, high taxes on investments gnaw like rats on your profits. Taxes need to be the first thing an investor considers, not an afterthought. Today you have to start with taxes. Nationally recognized investment advisor Phil DeMuth decrypts the 73,954 pages of tax code to show you where the trip-wires lie. He offers simple rules of thumb to navigate the minefield, all in sparkling English.
If you aren't playing the long game with your taxes now, you are sending a valentine to the U.S. Treasury every April 15 with a needlessly fat check attached. DeMuth shows how to safely pare your investment tax bill down to the legal minimum requirement. It adds up to a small fortune that would be better spent on your life, your family, and your retirement.
You can slash your tax bill & be a Tax Alpha Dog!
Alpha...means getting excess returns.
Tax Alpha...is the extra returns you get by not paying a nickel more in taxes on your investments than legally required.
The Alpha Dog...is the leader of the pack. In other words, you.
Every year, Congress used to paste together a mismash of temporary tax rules. Then the so-called American Taxpayer Relief Act of 2012 rocked this world, making long-range tax planning possible for the first time in a decade. Because tax rates skyrocketed, it also became necessary.
Being tax-smart is now more important than ever. In our low-return environment, high taxes on investments gnaw like rats on your profits. Taxes need to be the first thing an investor considers, not an afterthought. Today you have to start with taxes. Nationally recognized investment advisor Phil DeMuth decrypts the 73,954 pages of tax code to show you where the trip-wires lie. He offers simple rules of thumb to navigate the minefield, all in sparkling English.
If you aren't playing the long game with your taxes now, you are sending a valentine to the U.S. Treasury every April 15 with a needlessly fat check attached. DeMuth shows how to safely pare your investment tax bill down to the legal minimum requirement. It adds up to a small fortune that would be better spent on your life, your family, and your retirement.
You can slash your tax bill & be a Tax Alpha Dog!
Alpha...means getting excess returns.
Tax Alpha...is the extra returns you get by not paying a nickel more in taxes on your investments than legally required.
The Alpha Dog...is the leader of the pack. In other words, you.
324 pages, Hardcover
Published March 2, 2016
60 people are currently reading
209 people want to read
About the author
Phil DeMuth
16 books17 followersPhil DeMuth is an investment advisor. He was valedictorian of his class at the University of California at Santa Barbara in 1972, and then went on for his master's in communication and Ph.D. in clinical psychology before anyone could stop him. A psychologist and investment advisor, Phil has written for the Wall Street Journal, Barron's, Forbes, the Journal of Financial Planning, Human Behavior and Psychology Today (and anyone else who will dare to publish him), and is the author of nine books on investing, most co-authored with his pal, economist Ben Stein, and some of which have been New York Times bestsellers.
His opinions have been quoted in the New York Times, the Financial Times, Yahoo! Finance, On Wall Street, Fortune, Research Magazine, Investor's Business Daily, Motley Fool, theStreet.com, and Playboy (not a pictorial, though) and he has been seen on various TV shows, including Consuelo Mack WealthTrack, CNBC's Worldwide Exchange, On the Money, Squawk Box and Closing Bell, as well as Fox & Friends, and Wall Street Week (basically, anyone who will stick a microphone in front of his face).
Importantly, his high school rock band opened for Herman's Hermits at the Steel Pier in Atlantic City, and he served as a judge for one episode of the immortal TV reality show America's Most Smartest Model.
For his day job, Phil runs Conservative Wealth Management LLC.
His opinions have been quoted in the New York Times, the Financial Times, Yahoo! Finance, On Wall Street, Fortune, Research Magazine, Investor's Business Daily, Motley Fool, theStreet.com, and Playboy (not a pictorial, though) and he has been seen on various TV shows, including Consuelo Mack WealthTrack, CNBC's Worldwide Exchange, On the Money, Squawk Box and Closing Bell, as well as Fox & Friends, and Wall Street Week (basically, anyone who will stick a microphone in front of his face).
Importantly, his high school rock band opened for Herman's Hermits at the Steel Pier in Atlantic City, and he served as a judge for one episode of the immortal TV reality show America's Most Smartest Model.
For his day job, Phil runs Conservative Wealth Management LLC.
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Displaying 1 - 12 of 12 reviews
July 29, 2016
As my husband and I have crossed that threshhold of 50 years of age, retirement seems to loom ever closer - too close for our meager savings to be of comfort.
I read an article by DeMuth's sometimes collaborator, Ben Stein, recommending this book, so I took a chance and ordered it.
Let me preface my opinion by saying that I hold a B.S. in Finance and everything relating to investing and the stock market fascinates me. So it was no surprise that I loved this book. Yes, DeMuth included the sage advice of diversifying your portfolio and making sure you are saving enough for retirement because, of course, we all know the odds of receiving that social security check are slim to none.
But this book emphasizes another important concept to keep in mind when investing for retirement: "You can't control your returns, but you can control your expenses. And the biggest expense of them all is taxes."
As a Finance major, you'd think that would have been a no-brainer for me, but it was like a huge light bulb. Why on earth do I have a portfolio of stocks before maxing out on the 401K and IRA contributions? Depending on your marginal tax rate, that could add over 10% to your real returns. Needless to say, it made me rethink my our investing strategy, and I am grateful to Phil DeMuth to setting me straight.
I read an article by DeMuth's sometimes collaborator, Ben Stein, recommending this book, so I took a chance and ordered it.
Let me preface my opinion by saying that I hold a B.S. in Finance and everything relating to investing and the stock market fascinates me. So it was no surprise that I loved this book. Yes, DeMuth included the sage advice of diversifying your portfolio and making sure you are saving enough for retirement because, of course, we all know the odds of receiving that social security check are slim to none.
But this book emphasizes another important concept to keep in mind when investing for retirement: "You can't control your returns, but you can control your expenses. And the biggest expense of them all is taxes."
As a Finance major, you'd think that would have been a no-brainer for me, but it was like a huge light bulb. Why on earth do I have a portfolio of stocks before maxing out on the 401K and IRA contributions? Depending on your marginal tax rate, that could add over 10% to your real returns. Needless to say, it made me rethink my our investing strategy, and I am grateful to Phil DeMuth to setting me straight.
November 21, 2017
Full of good nerdy tax info!
April 7, 2023
This is an interesting book with a ton of investment advice bundled within it, though much of that advice has more to do with how to manage your portfolio for your heirs' long-term benefit rather than what securities to invest in. DeMuth takes a very holistic approach to the management of one's estate, and indicates throughout the book that the key to long-term success has more to do with managing one's exposures to unwanted distributions and taxes than with finding those key winning securities.
I had a couple of issues with the book. The first is that the author has a tendency to be very glib, which is amusing at times, but distracting as well. The more serious concern is that he covers his material in a very quick fashion, and sometimes uses examples that appear to be self-contradictory. I am fairly certain that these points of confusion represent flaws on my side of the book, but at the same time, more carefully-wrought arguments would have made the book more readily accessible.
I had a couple of issues with the book. The first is that the author has a tendency to be very glib, which is amusing at times, but distracting as well. The more serious concern is that he covers his material in a very quick fashion, and sometimes uses examples that appear to be self-contradictory. I am fairly certain that these points of confusion represent flaws on my side of the book, but at the same time, more carefully-wrought arguments would have made the book more readily accessible.
July 23, 2020
A must read at any age. Whether you just embarked on your first job or disembarked the workforce for good, DeMuth's little book is invaluable. Each chapter has step by step plans to save your money on taxes along with "bones" at the end to chew on. His advice is practical and easy to execute. You'll quickly realize that Uncle Sam treats your IRA like its piggybank. And things will only get worse with our soaring national debt.
December 29, 2020
Valuable lessons to be learned, even 4 years after it was written. Author suggests you hop to the sections that are valuable for you and your financial situation; which I found useful! Some tax laws have obviously changed since it's been written. But the foundation is there. Happy reading, Tax Alpha Dogs!
September 15, 2020
Great writing style and surprisingly funny for what you first expect will be a dry, droning book about first do this, then check that, then calculate the other. I must confess that I have avoided thinking much about tax planning by falling into one of the fallacies he mentions - thinking I would just out earn the hit. But the math does not work that way, and since taxes are a sure thing but returns are not it makes sense to plan around taxes. Of course, the more money involved the more your planning is rewarded, but much is lost by not paying attention and I was definitely in that boat.
I decided to get his book after reading his op-ed in the WSJ and I am glad I did.
I recommend it as a good primer on the types of strategies and the thought process that should guide your tax planning. The specifics of course you need to work out based on your situation. A key insight for me was his clarification that if you are not careful, one third of your earnings go to the feds, one third to wall street in fees, and one third to yourself. As he says on page 183: "It is hard to get ahead when the G-Men and the states take nearly one-third of your profits every year."
I decided to get his book after reading his op-ed in the WSJ and I am glad I did.
I recommend it as a good primer on the types of strategies and the thought process that should guide your tax planning. The specifics of course you need to work out based on your situation. A key insight for me was his clarification that if you are not careful, one third of your earnings go to the feds, one third to wall street in fees, and one third to yourself. As he says on page 183: "It is hard to get ahead when the G-Men and the states take nearly one-third of your profits every year."
April 9, 2016
This book has some very interesting information on how not to give all your hard-earned investments away to Uncle Sam each tax year. Even if you are not a tax buff or even if you do not handle your own investments, there is enough information to take with you next time you go to file your taxes. You can also get with your investment broker and ask some relevant questions about which would be the best way to invest for your own personal needs. Just because you have a hefty savings, does not mean that you have to pay the maximum to enjoy those benefits. A good read for anyone interested in how to handle their investment finances successfully.
May 3, 2016
I received this book through a Goodreads giveaway. When it arrived my wife sarcastically said "That sounds interesting." This book is actually extremely interesting and I think should be required reading for everyone trying to figure out what to do in regards to retirement planning. Mr. DeMuth does a great job of entertaining while educating. I got quite a few chuckles from his writing which is amazing when considering the book is about tax planning.
I will be using this as a desk reference for the foreseeable future.
I will be using this as a desk reference for the foreseeable future.
April 23, 2016
A good book that deals with different investments and how to offset the tax and what to put your money the investment with the least amount of tax liability and the better investment for long term tax. All of his information is based off of the 2012 tax law for investments and the changes that took place and that are still in place. This is not a quick read but one that is very useful not just for tax time but for year round. A very good resource book. Well written. I got this book from Netgalley. I gave it 4 stars. Follow us at www.1rad-readerreviews.com
May 2, 2016
First off, I got to read this book through NetGalley. So, with the disclosure out of the way...
The book is packed with useful information. Phil has converted tax code into a more readable account, but it is still quite a dry subject. If you are interested in better understanding the tax code and some strategies to build into your own financial planning this is a much better starting point than the raw tax code.
The book is packed with useful information. Phil has converted tax code into a more readable account, but it is still quite a dry subject. If you are interested in better understanding the tax code and some strategies to build into your own financial planning this is a much better starting point than the raw tax code.
November 17, 2017
A few handy tips in this one
Worth the purchase and the time. Learn what to watch out for, take advantage if of overlooked tax shelter opportunities, and help your family plan for the long run.
Worth the purchase and the time. Learn what to watch out for, take advantage if of overlooked tax shelter opportunities, and help your family plan for the long run.
August 24, 2019
Fun, funny and great advice
Simply, this book saved me about $5000 in taxes this year in the first 4 chapters. The author keeps it fun and light, despite the technical nature of his points.
Simply, this book saved me about $5000 in taxes this year in the first 4 chapters. The author keeps it fun and light, despite the technical nature of his points.
Displaying 1 - 12 of 12 reviews