Tax Savings Strategies – You’ve had an amazing year in business. Sales are up, your team is growing, and for the first time, you feel like you’re thriving as an entrepreneur. Then tax season arrives. You sit down with your CPA, feeling confident—until they hit you with a number you never expected. You owe $85,000 in taxes.

Your stomach drops. How is this possible? You thought you had paid quarterly taxes. Your CPA reassures you: The more you make, the more you pay. And just like that, a huge chunk of your hard-earned money is gone.

If this sounds familiar, you’re not alone. Most small business owners unknowingly make tax mistakes that cost them thousands—sometimes even hundreds of thousands—every year. The worst part? They don’t even realize it.

The Truth About Taxes

Your single biggest expense isn’t payroll, rent, or marketing—it’s taxes. You’re taxed on every dollar you earn, every paycheck you take, and even when you invest. Yet, over 90% of entrepreneurs overpay in taxes simply because they don’t have a strategy in place.

Most business owners assume their CPA is saving them money. But here’s the reality: CPAs focus on tax preparation—not tax strategy. Preparation is about reporting what already happened. Strategy is about planning ahead to reduce your tax bill before the year ends.

5 Costly Tax Mistakes & How to Fix Them

Let’s break down the five biggest tax mistakes entrepreneurs make so you can avoid them before they drain your bank account.

1. Assuming Your CPA is Saving You Money

Many business owners believe their CPA is actively working to lower their tax bill. But most CPAs focus on compliance, not optimization. If you only talk to your CPA once a year, you’re likely leaving thousands of dollars on the table.

Fix it: Work with a tax strategist who meets with you regularly to proactively reduce your tax burden.

2. Choosing the Wrong Business Structure

Your business entity plays a crucial role in how much tax you pay. Many entrepreneurs start with an LLC or sole proprietorship and never revisit their structure—even when their income grows.

For example, if you operate as an LLC or sole proprietor, you’re paying self-employment tax on 100% of your income (an extra 15.3% tax hit). Switching to an S-corp allows you to take a salary and receive distributions, reducing self-employment taxes and saving $10,000–$30,000 per year.

Fix it: Get a business entity review to ensure you’re structured for maximum tax savings.

3. Missing Key Business Deductions

The tax code is over 6,000 pages long. Less than 1% of it explains how to pay taxes—the rest is full of deductions, credits, and tax-saving opportunities. Yet most business owners miss thousands in deductions because they don’t know what’s available.

Commonly overlooked deductions:

• The Augusta Rule – Rent your home to your business for up to 14 days per year, tax-free.
• Hiring Your Kids – Legally pay your children up to $15,000 per year tax-free while claiming a deduction.
• Business Travel & Meals – Structure trips strategically to deduct flights, hotels, and meals.

Fix it: Keep detailed records and work with a tax strategist to uncover hidden deductions.

4. Ignoring Tax-Free Wealth Strategies

Making money is great, but keeping it tax-free is even better. Most entrepreneurs focus only on reducing taxes today but miss opportunities to build tax-free wealth.

Examples:

• Backdoor Roth IRAs – Grow investments 100% tax-free, even if you exceed traditional contribution limits.
• Index Universal Life Insurance (IULs) – A tax-free retirement account with no contribution limits.
• Real Estate Depreciation & 1031 Exchanges – Eliminate capital gains taxes and create massive write-offs.

Fix it: Work with a financial planner who specializes in tax-free investing.

5. Waiting Until Tax Season to Plan

If you only think about taxes when it’s time to file, you’re already too late. The best tax-saving strategies must be implemented before December 31st.

Fix it: Review your tax strategy quarterly—not just once a year.

How Much Have You Overpaid?

Over the last five years, how much money have you overpaid in taxes? If you don’t know, that’s a problem. Every year you delay fixing these mistakes, you’re donating thousands of dollars to the IRS that you could be keeping for yourself.

What to Do Next

Hearing this information is one thing—taking action is another. Here’s how you can start keeping more of your hard-earned money:

1. Grab My Latest Book

Want to dive deeper into these tax strategies? My book, Your Biggest Expense: How to Legally Pay Less in Taxes and Keep More Wealth, is a step-by-step guide to cutting your tax bill and protecting your wealth.

[Get your copy here: YourBiggestExpense.com]

2. Get a Free Tax Strategy Review

Want to know exactly how much you’re overpaying and what you could be saving? We offer a free tax strategy review to uncover hidden savings and start keeping more of what you earn.

[Book your review now – link in show notes]

3. Take Action Today

You have two choices: Tax Savings Strategies

• Do nothing – Keep following the same tax strategy, overpaying, and letting the IRS take more than they should.
• Make a change – Take control of your taxes, implement the strategies you’ve learned today, and start keeping more of what you earn.

If you’ve read this far, you’re the type of entrepreneur who’s ready to take action. So don’t wait—start today!

7-Figure Entrepreneurs Know This Secret

Taxes Are Optional (When You Know the Right Strategies). Get the Book That Shows You How – Click here!

Want more insights like this? Subscribe to our podcast and never miss an episode!

To hear my most recent podcast on Spotify – click here!

To hear my most recent podcast on ApplePodCast– click here!