Education Savings and Income Shifting 

 August 11, 2023

By  Joshua Jordan

How to Save Taxes and Pay for College with Education Savings and Income Shifting

Education Savings and Income Shifting is one of my favorite advisory services to deliver, because it combines tax planning, financial planning, and character-building in one powerful strategy.

In this blog post, I will lay out the details of who this is for, and what benefits you can expect if you decide to have us coach you through implementing this strategy effectively. 

Who is This For? 

Parents who want to turbo-charge (or make diligent progress towards) saving for their kids' education, retirement, or extracurricular activities and…

  • are self-employed or…
  • own their own business or…
  • have a profitable rental property

What is Education Savings and Income Shifting?

Education Savings and Income Shifting is a service where we work with you to implement tax-planning strategies with the specific aim of building up savings that can be used to pay for your kid’s education, extracurricular activities, or even retirement (if you’re planning that far ahead).

By doing this, you can achieve several goals at once:

  • You can reduce your self-employment and income taxes
  • You can generate earned income for your kids that they can use to fund their own retirement, education savings plans, or investment accounts such as Roth IRAs, 529 plans, or UGMA/UTMA accounts.
  • You can choose the best savings vehicles for your situation, based on their tax advantages, investment options, and flexibility.
  • You may snag a double-digit discount on college costs by taking advantage of tax incentives available for qualified education expenses
  • You can teach your kids the value of money, work ethic, and financial responsibility, that they likely won’t learn in school

How Much Time Does This Take?

The main knowledge transfer for Education Savings and Income Shifting is typically delivered via a Zoom call that takes about 1.5 or 2 hours. 

Since it requires careful planning and execution to avoid any pitfalls or mistakes that could jeopardize your results, we also plan for a short 30-minute followup call to help you implement your plan effectively.

Jumping through the different hoops that the IRS lays out will take some additional time on your own, but we'll help you come up with a plan to stay on-track and keep the big picture in mind.

How to Get the Best Return on Investment

The sooner you start working on Education Savings and Income Shifting, the greater the potential tax savings tend to be, but in the right circumstances, you could still generate substantial results even if your kids are in (or already graduated) from college. 

How to Learn More or Schedule Your Education Savings and Income Shifting Coaching Session

If you’re already a client of Joshua Jordan CPA Inc, email [email protected] or call (541) 639-3598, and we’ll set up a short call to make sure this service is right for you and answer any questions you have.

Not a client already?

Because the right tax advice isn’t one-size-fits-all, we only offer tax advice to clients.

That allows us to invest the time we need to understand your specific situation, goals, and available resources so we can offer the advice that helps you make measurable progress towards meaningful goals.

We are currently accepting a limited number of new clients, click here to learn more about who we work with, and our unique approach to managing taxes.

Joshua Jordan

Hey! I'm Joshua and I'm on a mission to help 100 entrepreneurs save at least 10k on their taxes every year.

I am not the author of any bestselling books (yet), and it would be silly to follow me on social media because I'M A TAX ACCOUNTANT, not a professionally-good-looking entertainer/influencer.

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