 So remember this, it's not how much you make, it's how much you keep. And taxes are the number one reason why you'll lose a ton, but there's a way around this. First of all, taxes suck. I think even the Bitcoin maximalists and the XRP army can all agree on one thing, and that is that taxes are awful. So here's a question before we start. Question one is, would you rather pay a 20% tax on $180,000 or a 15% tax on $2 million? And number two is, do you think you live past 60 years old? Now me personally, I think I've made it this far, so why not? It's not outside the realm of possibility that I can make it that far. So let's start with the average viewer of this channel. Let's go with a person who is about 35 years old. That's pretty much somebody who is in the middle. Now it's just an average. You might be older or younger, but this is just an example. And according to the US Census Bureau and the Social Security Administration, people will live on average somewhere around 82 years old. That's males, females, white, black, Latino, whatever. Men will live a little bit shorter lives, women live a little bit longer, so around 82. But let's say you retire at 65, so you got about 20 years to go until you kick the bucket. I mean, well, it's actually 17, but let's just round out to keep things simple. Again, you might live longer or shorter than this. I'm not no Stradamus. Let's just go with the average. So obviously, the earlier you retire, the more money you might need so you don't run out. It really all depends on how long you wanna work. So that means that if you're around 35 years old, you've got 30 years to save up for retirement. Now it may sound far away, but let me tell you right now, it is not. And I put this little hashtag okay boomer as a reminder because I was in your shoes. If you're 20 years old, at some point, I was in your shoes and someone told me a long time ago about compound interest and retirement and I thought, yeah, yeah, yeah, sure. I'll get to that. And I didn't and here I am playing catch-up, talking to you about these things. So again, it's not about what you make, it's about what you keep. And one of the biggest obstacles you and I are going to face is the tax man. And I know there's some libertarians right now saying, hey, taxation is theft. Well, that's what these people said and it didn't work out too hot for them. You got Willie, Wesley, Martha and even Al Capone got pinched for tax evasion. So good luck doing better than these guys. And here's a little trivia, which one of these four did not serve jail time? Because three did, federal jail time. The only one that didn't was actually Willie and the way he did it was he made a tape and paid the IRS back millions of dollars. So again, good luck dodging the IRS. Now, have you ever signed up with an exchange, done any kind of KYC, know your customer, AML, anti-money laundering or submitted a photo ID or passport or social security number to any exchange or wallet? Cause if you did any of those, chances are the government knows you have crypto and this question on your 1040 for taxes should have been answered, yes. Now look, I'm not here to calm down anyone but I've been through an IRS audit and it is no fun. So trust me when I say the IRS knows but stay with me because I'm gonna show you the smart way to do things and how to massively reduce your taxes so you can keep way more of what you make instead of giving it to the US government. So let's say you dollar cost average into Ethereum starting at the beginning of 2020. So assuming ETH goes to 10K then we need to accumulate 200 ETH over the next 30 years and that's just to break it down. 200 ETH times 10K is 2 million, right? That's just my goal and remember that's just for you. So if you wanna leave a legacy for your kids and grandkids then you might need more. Again, I don't know your personal situation but these are all just rough estimates. And also if you live longer and probably with the advancement and like anti-aging stuff you're either gonna need more cash flow or you have to tighten your budget. Now I think this is a real possibility based on how technology is advancing. This is a great and frightening at the same time. Now 80 might be the new 40 and if that's the case you're gonna need way more income which is even more of a reason to keep as much as you can and not give it away to good old Uncle Sam and nobody wants to do that. And one more thing, remember $100,000 today will not be $100,000 in 30 years especially with all this money printing going on. So just keep that in mind. So here's your options right now and they're called capital gains tax and you've got essentially two flavors. You got short-term capital gains which is anything you can make under a year. So an example is you buy Bitcoin in June 2020 and sell it April 2021. You bought it and sold it in less than a year. That is short-term capital gains tax and you'll be taxed based on your filing status. So if you're a single and make above 39,000 you're going to be taxed at 22%, 84,000, 24 and so on and so forth. Head of household, same thing. If you make over about 52,000, 22%, 84,000, 24% and then married filing jointly and separately and this is progressive. So just be aware of that's how it is. And also here's long-term capital gains tax which is like the prettier yet still ugly sister of short-term capital gains we just saw. So this is what you can expect if you cash out after holding an asset longer than a year. So let's say that again, you are head of household and you make $52,000, you're gonna be taxed at 15%. If you make over 461,000, first of all good for you. Second of all, you got 20%. And then single 39,000, 15%, 20% and so on and so forth. So it really all depends where you fall. And one more thing, these are the current numbers. Keep in mind that these capital gains taxes have been as high as 35% in the 70s. So hopefully it doesn't go back to that in the future but who knows? We gotta pay for all this money printing, right? And it really depends on the philosophy and direction of the government at the time and who is in charge which is why I'm making plans right now. So I don't have to deal with that uncertainty in the future. Also, more bad news, depending on the state you live in, you also have to pay state capital gains tax on top of the colossal taxes you just paid on the federal capital gains taxes. So lucky for me, I'm in Texas, so I got 0%. But who knows where I'm gonna live later? I can move to Georgia, I don't know. But Florida, Nevada, all 0%. Washington, congratulations, New Hampshire. Then you got most of the Midwest and the Southeast. You're looking at four to six. And then if you live in California, you got 10%. So sorry, Cali. So let's recap. We're gonna need money for decades after we stop working and we don't wanna pay Uncle Sam a huge chunk of our crypto gains. So here's what I'm doing. I'm putting $6,000 worth of cryptocurrency and gold per year into a Roth IRA. Now, why $6,000 and why a Roth IRA? Because six grand is the max I can contribute every year and with a Roth IRA, I'll never pay taxes on the gains from my crypto ever. Let me say that again. With a Roth IRA, the one on the right, I'll never pay taxes on the gains from my crypto ever. So if you're thinking, well, I don't have $6,000 to contribute every year, I'm on a budget. So I want you to think of it this way. If you put in $500 into Bitcoin in 2013, when it was $100 per Bitcoin, you'd be sitting on five Bitcoins right now and it'd be worth $50,000 plus and probably $500,000 in the future if it hits 100K per Bitcoin, which a lot of people do predict. Or if you had invested $500 into Ethereum in 2016, which wasn't too long ago, when it was $10, you'd have 50 Ethereum worth $200,000 right now and $500,000 if Ethereum hits 10K per ETH. The point is it doesn't matter if you contribute a little bit or the max per year, just contribute something and get prepared for the future, be proactive instead of reactive. Trust me on this one. And those examples I just gave was only $500 total. So imagine if you would have invested or could invest $1,000, $2,000 or even $6,000 which is the max every year and what might happen in the next 20 to 30 years. Now, I don't know what's gonna happen with crypto and digital assets in the future, but if history is any teacher, we could see some massive gains and unfortunately some massive taxes for those who are not careful. So the question is, do you believe that what you invest in will stay flat or massively go up in value and eventually moon? I think it's gonna weigh up. So here's why I'm using a cryptocurrency specific IRA that will massively minimize my taxes so I can keep more of what I earned. So let's break it down and talk about a traditional IRA, a SEP IRA and a Roth IRA and why I picked the Roth. Again, you can do whatever you want to do but this just made sense for me and my personal situation. So a traditional IRA, the contribution limits per year are $6,000 if you're under 49 and $7,000 if you're over 50. So that's just something to be aware of. Contribution taxes are pre-tax, meaning you put in money before the IRS taxes you on your income, which means the growth of the investment will be taxed, i.e. you save it in the beginning but then you get crushed in the end. So do you want to pay taxes on the $6,000 you put in per year or the millions it can potentially grow to? Now withdrawal taxes are tax deferred growth, meaning you pay taxes when you withdraw after age 59 and a half. So whatever your crypto investments grows to means that's what you'll pay taxes on on all of those gains. Early withdrawal fee is a 10% penalty plus a tax fee. So if you take money out before a fifth, nine and a half be prepared for a nice kick in the teeth and who is this good for? Well, this is good for people who need the tax break for this year's taxes or people who think that their taxes will be lower in the future. An example would be someone who makes like a ton of money. $200,000 salary now, but when he or she retires, they won't have that job or that high salary, which will put him in a much lower tax bracket. So that is what will be good for them. So additional info is this, you can do a rollover. So if you have a traditional IRA somewhere else or an old employer plan like a 401K, 403B, military TSB or 457, then you can move these types of accounts tax and penalty free to any type of traditional IRA. But if you wanna rollover any of those traditional plans into a Roth cryptocurrency IRA, it's considered a taxable event as additional income. Now, this might make sense in certain situations, but just talk to the pros. So we talked about traditional IRA. Let's talk about a SEP or a simplified employee pension. And for this one, the contribution limits per year are 20% of net earnings. That's pretty big, 20%. Contribution taxes are also pre-taxed, which means you put in money before the IRS taxes your income. So again, the growth of the investment will be taxed. Again, do you wanna be taxed on the 20% of your net earnings you put in or the millions it grows to? Withdrawal tax are also tax deferred, meaning you pay taxes when you withdraw after age 59 and a half. So again, whatever your crypto grows to, you'll pay tax on it. Early withdrawal fee is again, 10% penalty plus a tax fee. So again, another kick in the teeth. And this is good for small business owners and people who need the tax break for this year's taxes or people who think that their taxes will be lower in the future. Like the example we just talked about with the traditional IRA. Again, for the additional info, you can do a rollover. Talk to the pros in that one and they'll set you up. But for me, I'm a heavy crypto investor. And for me, it only makes sense to open up a Roth IRA. And here's why. So for a Roth, the contributions limits a year are again, 6,149 or 7,000 for 50 year olds and plus. Contribution taxes are post-tax, meaning that you put in money after you get taxed on your income. This means your investments grow tax-free. So again, do you wanna pay tax on the 6,000 you initially put in or the millions it will grow to? Withdrawal taxes are tax-free growth, meaning after 59 and a half, you can withdraw any amount tax-free. Early withdrawal is none for contribution. So you can also withdraw your contributions at any time for any reason and get no type of penalty. But for the earnings it makes, you could pay taxes plus a fine or both. So if you need money for any reason, just take out the contributions that you've put in and you'll be fine, although I wouldn't recommend that. So this is good for people who believe that their crypto investments are gonna shoot up massively over the next 20 or 30 years, like myself. Also it's for people who think their taxes will be higher in the future, either from government interference or they'll continue to work the rest of their lives, like small business owners or asset owners or people who have like rental properties. So just so you know, this is my choice and what I believe will work best in my situation. Again, use this information to decide what works best for you and your personal situation and that's what I have to say there. So here's a little trivia. Do you know the return on investment for an IRA that invests in the usual regular market stocks, bonds, CDs, et cetera? On average, it's a whopping six to 10%, let me say that again, per year it's six to 10% in the traditional space, that's a huge year, that's enormous. But in crypto, we call that a Tuesday. So here's a warning, how you file your taxes will make a big difference. So for the traditional and set by IRAs, there's no contribution limits based on income, meaning pretty much everyone can contribute up to 6,000 per year. But for a Roth IRA, there are contribution limits based on income and tax filing status. So you know there was a catch because everything, if it's too good to be true usually is, but there's a catch, but it's not too bad, I'm gonna show you why. So here's the Roth IRA modified adjusted income chart for 2019 and 20, they're pretty much the same. But if you filed as a single or head of household and make less than 122,000, nothing to worry about. Above that, it gets reduced at 137,000, you can't contribute anything to the Roth IRA, but there's a way around this. Now, if you filed as married filing jointly and make less than 193,000, nothing to worry about. Above that, it gets reduced and then at 203,000, you can't contribute to a Roth IRA at all, but there's a way around this. If you filed as married filing separately, like I do, and make less than $10,000, then you can only contribute a reduced amount or none at all, but there's a way around this. Now, the way around this is called a backdoor Roth IRA and it gives me all the advantage of a regular IRA regardless of my income and I'm able to contribute the max of 6,000 per year. And this little gem was passed into law by the federal government in 2010, but not too many people know about it and that's why it got me. So here's who I use for my personal Roth IRA and who I recommend to all my friends and family. And it is I trust capital and the reason for this, I went with them for three main reasons. First of all, as a team, second was because the fees and third is I can have an IRA of crypto and gold. So let me just break it down. So the team itself is the actual websites I'm gonna go to about us, click down on team. This is what I always harp about. If you wanna see a company that'll be successful, look at the team because it'll just tell you exactly what you wanna know. So this team that they've assembled, I believe is kind of bringing together the old world with the new. So Todd and Blake here and Anthony, where do you go? Anthony down here are the kind of like leading in the cryptocurrency investments and Rich, Tim and Murphy or Rich is the CTO, Tim is the economist and Murphy is the VP of operations. These guys were all part of PIMCO which has a 1.9 trillion assets that are management. So these guys manage bond trading platforms that would do one million trades a day. So the point is they know how to build and operate a trading platform at a pretty high level. So that makes sense to me. They've also got Terry down here who's got three decades in the retirement trust industry and the rest of the supporting staff which all looks pretty good. Again, I'm a big believer in teams and this one's pretty stacked. So just show me who the team is behind the company and I can tell you pretty much are they gonna be successful or not. It's the same thing with businesses, same thing with cryptocurrency and digital assets and the teams behind it. Next is the fees. So let's take a look at the fees as you go to pricing and here it is, three bucks a month, it's a count fee and then in crypto you get a 1% trading fee, 1% not too bad. Gold is $50 over spot. And the one thing I liked about this is that the fees were easy to find. I mean, I looked at other places like Bitcoin, IRA, Bitcoin, Bitcoin IRA, one of those two and it's hard to find any of their structure. So once I call them, listen to the whole spiel, the rigmarole, I was like, no thanks. So here's the fees and I gotta tell you for what I get, I think they're under charging me. So this is what you get with your monthly account fee. They set up of your new IRA, a facilitation of transfer, rollover contribution to fund your IRA. So they're gonna pretty much do all the work. Again, they will set it up. You can roll over any type of retirement plan or IRA account or any old employer plan like a 401K, a 403B, 457 or for your military folks a thrift saving plan or TSB. So they will roll it all over for you. So if you have one of those types of plans just sitting there, this is another option. And if you have more questions about that you can always just click up here under the schedule call and just schedule call and they'll answer any of your questions. That's what I did and just made a lot easier for me. Also on top of that, all the IRS and tax reporting which nobody likes to do anyhow. So thank God they do that. Unlimited storage with institutional custody partners which we talked about or we'll talk about and also platform support and maintenance. So if you have any questions or something comes up you're like, I don't understand something just reach out to them. You can message them or schedule a call and they'll answer questions pretty quickly. So all right, let's go back to the main website because the last thing was about physical gold because I believe that the new savings account is gonna be gold, silver, Bitcoin. So when they told me that they were actually offering gold, I was like, tell me more. And what's cool about this is that they're secured at the Royal County Mint, provides secure storage, global and Ottawa and Winnipeg. Minisecure, RCM waits each bullion bar upon delivery and audits the entire inventory each quarter by the Government of Canada's Office of the Auditor General. So this is pretty cool, I like that. And then the other three things, because that was a top three and then when I dug into it I found these things which I really liked. And the big thing was that they use Curve. So Curve is for storing digital assets. Let me take a look at their website. So Curve you don't know, they are making a big dent into the institutional grade custody and they are being buoyed by these big players like Itoro, Haimeer Crypto, Genesis Corbett, Swiss Borg Bitbond, Coin House, and Franklin Templeton Investments. And Franklin Templeton Investments, I think they have like almost a trillion assets in their management. Of course, those are all traditional. But I mean, if you have something like this, old school like this coming in, they're going, hey, we want to get in the game and we want to use Curve. So the same huge corporations and big entities that are using this for storage and custody, you're also seeing this for what you are storing it. So that sounds pretty good to me. Okay, so going back, there's another big thing. Let me go back to the very top. This was interesting. I just thought it kind of came with it, but I had to be told that no, it's not true. And that was about trading 24 hours a day. Because I mean, we are in cryptocurrency, right? So why wouldn't be able to be able to trade 24 hours a day? 24 seven, right? So I just expect it. But when I talk to the other competitors, there's only one that said that they actually do allow 24 seven. Other ones you have to call in during business hours to execute a trade over the phone. Also, what's great about live trading is that you can buy and sell back into fiat without taxable events when you trade within an I trust capital IRA. So when I heard this, I was like, well, that doesn't make any sense, but so, but let me be crystal clear. If you're trading outside of an IRA, like in an exchange like Coinbase or Kraken or Gemini, every sell or swap of your crypto for a profit is subject to capital gains tax. But inside of your I trust capital IRA account, there are no taxable events when you sell within the account. So here's an example. You buy Bitcoin of $5,000 and then it goes up to 10,000. You can sell half your Bitcoin for a profit of 5,000 good old US dollars. And when you do that within the I trust capital IRA, it's not a taxable event. So think of all the times you could have done that. I mean, just this year alone. And that's the power of an IRA. And it's something nobody told me about until I found these guys. Now, if you wanna get in touch with them, all you have to do is just in the description of every one of my videos, there's going to be a link that's gonna look like this. And you don't have to use the link. You can go right to I trust capital. But if you use the link, you get one month free. So it's up to you. So lastly, let me say this. So if you go with the guys that I went with or someone else, it doesn't matter. Just go with someone, somebody. And take it from me. Times move pretty fast. And before you know it, you're old. You look around thinking where did all the time go? So that is it for what I am doing. All right, everybody, welcome to the office. And then very lastly, I want to introduce you to Blake Scadron. And he is the COO of I trust capital. And it's one to actually put a face to a name. So this is the guy that we're talking about. Blake, thanks for coming on. Yeah, Dan, thanks so much for having me. I'm real excited to be a part of your channel and help all the crypto investors take advantage of the benefits of IRAs. Yeah, I really appreciate it. Now, if you guys don't know, Blake was the one that I actually reached out to them and he was the one that answered all my questions. And I had so many questions. I think I was bombarding with him with so many. I'm just glad that he actually kept me in the wheelhouse. So if you've got questions, this gentleman got answers. Him and his whole team are, they have a crack squad. And I'm happy that we can work together. So Blake, thanks for taking the time. That's it. Yeah, thank you for having me a part of your channel. All right. And everybody, the links in the description. Again, you get 30 days for free. Check that out. And then I'll see you on the next video.