Real Estate Agent
Software Business / S-Corp
Dental Practice
Construction Company Real Estate AgentTabs Cases Page
Real Estate Agent / Sol Proprietor
- Chad, age 53, is married.
- He is a successful real estate agent with no employees.
- Chad has a net profit of $500,000 (after paying self-employment tax).
Chads Tax Liability without implementing Designer DB Plus® Plan
- Net Profit after Expenses and deductions$500,000
- Married Filing jointly tax Liability at 35%$175,000
- Creditor Protected Retirement Savings$0.00
- Tax Free Medical Reimbursement in Retirement$0.00
With implementing 
Plan
- Net Profit after Expenses:$500,000
- Plan Contribution$262,000
- Qualified Business Income:$238,000
- Pass-through Deduction:($47,600)
- Taxable Income:$190,400
Tax & Deferred Savings First Year
$129,304
First-Year Creditor Protected Savings:
$262,000
ADDITIONAL DEDUCTION: As an owner of a pass-through entity, this client qualified for the 20% QBI tax deduction under the (Section 199A) threshold for married couples.
Note: his income was above the threshold before plan implementation, disqualifying him from the additional tax deduction.
*Please consult your tax advisor; RAS does not provide tax advice but will collaborate with your tax advisor.
* Tax savings compared to no Plan and (Section 199A) QBI deduction. The case assumes an estimated 35% tax rate. RAS does not provide tax advice. This example is based on specific assumptions and is used for illustrative purposes only.
Software Business / S-CorpTabs Cases Page
Software Business / S-Corp
- Sunil is 43 years old, married, and the owner of a thriving Software Engineering firm.
- Sunil has five employees, and they file as an S Corporation.
- As a result, he nets approximately $ 865,000 after expenses.
Sunils Tax Liability without implementing Designer DB Plus® Plan
- Net Profit after Expenses and deductions$865,000
- Married Filing jointly tax Liability at 37%$320,050
- Creditor Protected Retirement Savings$0.00
- Tax Free Medical Reimbursement in Retirement$0.00
GOAL: Sunil wants to pay lower taxes to ensure he has enough retirement savings to maintain his lifestyle and be prepared for the high cost of medical and health care in retirement.
With implementing Plan
- Net Profit after Expenses:$865,000
- Plan Contribution$535,040
- Qualified Business Income:$329,960
- Pass-through Deduction:($65,922)
- Taxable Income:$263,968
-
Tax & Deferred Savings First Year
$256,698*
-
Creditor Protected Retirement Savings:
$502,937
-
Tax Free Medical Reimbursement in Retirement
$125,734
ADDITIONAL DEDUCTION: As an owner of a pass-through entity, this client qualified for the 20% QBI tax deduction under the (Section 199A) threshold for married couples.
Note: his income was above the threshold before plan implementation, disqualifying him from the additional tax deduction.
*Please consult your tax advisor; RAS does not provide tax advice but will collaborate with your tax advisor.
* Tax savings compared to no Plan and (Section 199A) QBI deduction. The case assumes an estimated 37% tax rate. RAS does not provide tax advice. This example is based on specific assumptions and is used for illustrative purposes only.
Dental PracticeTabs Cases Page
Dental Practice
- Dr. Smiley is 49 years old, married, and the owner of a thriving Endodontist practice with ten employees.
- They file as a Professional Corporation.
- He nets approximately $1.5m after expenses.
Dr. Smiley Tax Liability without implementing Designer DB Plus® Plan
- Net Profit after Expenses and deductions$1,500,000
- Married Filing jointly tax Liability at 37%$550,000
- Creditor Protected Retirement Savings$0.00
- Tax Free Medical Reimbursement in Retirement$0.00
GOAL: Reduce his personal taxes, accelerate his retirement savings to maintain his lifestyle, create tax-free post-retirement savings for health & medical care to cover high costs in retirement and create a succession plan for his son to take over practice.
With implementing Plan
- Net Profit after Expenses:$1,470,000
- Plan Contribution$1,162,952
- Qualified Business Income:$307,048
- Taxable Income:$307,048
Tax & Deferred Savings First Year
$470,208*
Creditor Protected Retirement Savings:
$1,139,693
Tax Free Medical Reimbursement in Retirement
$284,923
*Please consult your tax advisor; RAS does not provide tax advice but will collaborate with your tax advisor.
* Tax savings compared to no plan implemented and an estimated 37% tax rate. RAS does not provide tax advice. This example is based on specific assumptions and is used for illustrative purposes only.
Construction CompanyTabs Cases Page
Construction Company / S Corp
- Bill is 61 years old, married, and owns a construction company with thirty employees.
- They file as S Corp.
- He nets approximately $797,000 after expenses.
Bill’s Tax Liability without implementing Designer DB Plus® Plan
- Net Profit after Expenses and deductions$797,000
- Married Filing jointly tax Liability at 37%$294,890
- Creditor Protected Retirement Savings$0.00
- Tax Free Medical Reimbursement in Retirement$0.00
GOAL: Bill wants to save on taxes. provide employee benefits while controlling costs, and ensuring he has enough retirement savings to maintain his lifestyle while simultaneously creating tax-free money for the high cost of Health and Medical expenses in retirement.
With implementing Plan
- Net Profit after Expenses:$797,471
- Plan Contribution$561,627
- Qualified Business Income:$235,844
- Pass-through Deduction:($47,169)
- Taxable Income:$188,675
Tax & Deferred Savings First Year
$249,782*
Creditor Protected Retirement Savings:
$526,137
Tax Free Medical Reimbursement in Retirement
$157,841
ADDITIONAL DEDUCTION: As an owner of a pass-through entity, this client qualified for the 20% QBI tax deduction under the (Section 199A) threshold for married couples.
Note: his income was above the threshold before plan implementation, disqualifying him from the additional tax deduction.
*Please consult your tax advisor; RAS does not provide tax advice but will collaborate with your tax advisor.
* Tax savings compared to no Plan and (Section 199A) QBI deduction. The case assumes an estimated 37% tax rate. RAS does not provide tax advice. This example is based on specific assumptions and is used for illustrative purposes only.