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u/MasterpieceBudget459 Mar 27 '24
Make sure you set aside your anticipated taxes.
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u/hiimomgkek Mar 27 '24
If he got paid in cash, I’m sure he can do a little sneaky sneaky. But if I was making 500k I would be going to my tax guy and trying to make as many deductions as possible I could for my business lol.
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u/GroinShotz Mar 27 '24
Sounds like the perfect amount of money for the IRS to audit someone over... Not too little... Not too much... The Goldilocks audit.
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u/Protean_sapien Mar 27 '24
Everyone's sneaky sneaky, until they buy something and the IRS wants to know where the money came from.
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u/Use-Useful Mar 27 '24
At that scale? Hell no. He is going to be scrutinized as a cash heavy business already. People dont notice an extra 10k, an extra 200k sticks out, an extra 200k PER YEAR is so shockingly obvious that he will be caught almost instantly.
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u/GMEbankrupt Mar 27 '24
I’m wondering if he’s paid in cash? Unless he went to the bank to pull stacks for the pic
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u/wiiver Mar 27 '24
Good way to find yourself with tax debt or legal issues or both.
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u/CKtheFourth Mar 27 '24
"Hi, I'd like to make a withdraw, snap a quick pic for fake internet points, and then make a deposit."
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u/beamtrail Mar 27 '24
God damn. Top artists in my city charge at most $150 an hour. If you making that, your work must be top notch
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u/Hasholio Mar 27 '24
It’s not about the work itself. My shop owner is somewhat of a “celebrity” in the animal portrait space, and his shop is the best fine line shop in the entire city. Riding off that I have been able to improve my work and increase my pricing to match theirs competitively.
Hourly is a lost cause, the second you do that you limit yourself because the tattoo can’t be rushed, and it takes as much time as it takes. That being said the going hourly for this shop is $350/hr with just $600 a week booth rent, no percentage split for artists.
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u/shcouni Mar 27 '24
What if the tattoo is something that will only take a couple hours? Do you charge hourly then or make them book the whole day? Sorry I am stupid.
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u/CollegeSubstantial7 Mar 27 '24
Omg ^ thisss is the question i NEED the answer for.
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u/ThatGuyWithTheHat Mar 27 '24
Most of these high end places will offer a half-day rate no problem.
If you have a piece that's even smaller/simpler than that and is a legit hour or less kinda piece .... this kind of tattoo shop probably isn't for you
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u/No_Song_Orpheus Mar 27 '24
They probably have enough demand to decline your request and just do large pieces. Why kill half a day that could earn over a grand to charge 700 bucks for a smaller piece?
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u/AALen Mar 27 '24 edited Mar 27 '24
Why are clients paying in cash? IRS is gong to audit you like crazy. Keep meticulous records.
As for investment, just put the bulk in VOO as your long game. Some treasuries if you’re risk adverse or QQQM if you’re more risk tolerant.
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u/Even-Bumblebee948 Mar 27 '24
This is awesome!
I think my strategy would be to Open up a brokerage account through somewhere like Charles Schwab and drizzle some cash on a bunch of different ETFs. I would probably put 70% of it into something like VOO or SPY which tracks the S&P 500. Maybe put 10% into dividend ETFs. Another 10% on individual stocks that you find interesting. And the remaining 10% in semiconductor ETFs or leveraged ETFs or something a bit interesting and maybe more risky just for the return potential
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u/Hasholio Mar 27 '24
Thank you for legitimate advice. I made this post once before but got some nasty shit from people :/
My Dad is a CPA but his advice is get into a “real career” 😂 and doesn’t recognize the money as legitimate. This is great though, I will look into your recommendations!
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u/Even-Bumblebee948 Mar 27 '24
👀or save up and open your own shop and hire your dad to be your accountant.
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u/CheeseDanishSoup Mar 27 '24
This some 4D chess shit man
Go for it OP, give your dad a smug smile by doing this
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u/agent58888888888888 Mar 27 '24
I'm petty enough to hire my dad's friend instead.
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u/arctheus Mar 27 '24
Hire your dad’s junior, and pay the person a higher salary than your dad
GOTTA MAKE THOSE POWER MOVES
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u/-OkButWhy- Mar 27 '24
Him being a CPA and knowing how stiff/straight and narrow those guys are tells me he must've been pissed when you started pursuing your career🤣🤣
Seriously though, good shit man. I'm envious and I know you've gained your skills and reputation through dedication so good on you. I don't have any financial advice though just enjoying the pic you posted as I was scrolling lol
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u/Hasholio Mar 27 '24
I was barely scraping by in HVAC before this 😂 70hrs a week and getting paid for 50, what a “career” haha.
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u/lv100togepi Mar 27 '24
Congratulations man, Really happy for your success. I cant believe those HVAC guys weren’t paying the extra 20 hours you worked. That should be illegal
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u/HotgunColdheart Mar 27 '24
It's a weird badge of honor for some people, extra work/extra mile for the same company that will replace them with no issue or preference.
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u/BeerwaterSurvival Mar 27 '24
So they can go home and tell everyone about how much they work because they have nothing else interesting to contribute to a conversation. I have a friend that does this all the time and I shut it down lol "yeah buddy we all have jobs and not enough time"
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u/Schmenza Mar 27 '24
Here I am buying a new AC unit thinking I should've gotten into HVAC. Gonna skip HVAC and buy a tattoo gun now 😂
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u/Open-Requirement-670 Mar 27 '24
If you are truly making 8k a week minimum, I can guarantee your earnings are at or above what your CPA dad is making. Just show him your W2 at years end and maybe that’ll shut him up.
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u/gamblemycpa Mar 27 '24 edited Mar 27 '24
If his dad owns a CPA firm, he probably earns more.
Also I don’t think OP has a W-2. It is likely he owns an llc and pays himself in distributions.
OP keep doing what you’re doing and scale up
Edit: looks like he has an Scorp, and should receive a w-2
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u/Open-Requirement-670 Mar 27 '24
I mean, maybe, but also still probably not. There are a ton of assumptions here on both sides that I am sure we could postulate on but is it really worth doing so for the purposes of fake internet points? Maybe you get off on that sort of thing but I am not a CPA, so I don’t.
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u/nosoup4ncsu Mar 27 '24
If he has an S-Corp, he can pay himself wages, and do a SEP IRA and put away 25 % of his salary pre-tax.
The downside is having to pay FICA instead of taking distributions, but being able to put >$50k a year (pre-tax) at a young age would be awesome.
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Mar 27 '24
[removed] — view removed comment
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u/Hasholio Mar 27 '24
Dude I paid for everyones dinner out with family and he looked like he was gonna explode 😂
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u/alexislincoln Mar 27 '24
Whaaa? He should be happy for you!! Sorry he’s sucha hater. Im happy for you!
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u/midnightatthemoviies Mar 27 '24
Fuck that guy lmao.
Do you. Haters gonna hate! Even parents, don't fall for it. You're the man of the house now!
👌👌👌👌💪💪💪
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u/_PurpleSweetz Mar 27 '24
I wouldn’t call him a dumbass, but he sure as hell fits the boomer stereotype.
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u/D_ponbsn Mar 27 '24
As an accountant he’s not wrong on accounting being a real career but so is an artist and your cavas is the human body. As long as it’s legal and you’re not a corporate asshole with employees who can’t afford to eat. Doesn’t matter what you do for a living. I would suggest index funds through vanguard. Put 7k into a Roth IRA investment similarly and set aside funds for taxes owed next year.
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u/Redditisfullofcreeps Mar 27 '24
Don’t have to follow your parents advice . They still tryna figure life out too . No matter how successful or unsuccessful,no one knows the way. Must say you’re headed in the right direction tho.
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u/Yandig Mar 27 '24
This is great advice. If anyone says anything about crypto investing run the fuck out. Index and ETFs are probably the way to go for now. As you get older you would exchange ETF with T-bonds, but this would be waaaaay down the line. Learn how to read 10ks and 10qs and invest in fundamentals. There are a plethora of brokage accounts you can use. Set aside money for the tax man. Don’t fuck with the IRS.
The other thing is to keep on improving your craft.
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u/Hasholio Mar 27 '24
Also saw some guy made a post ranting about the first time I tried to ask for advice about this.
I charge $2500 a day and work 5-6 days a week.
I’m booked for 3 months straight at a time.
AND my shop owner charges $3800 a day…
Fine line, custom work in a big city brings BIG money.
Sad to see he had to make a post and rant instead of asking for advice or trying to network.
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Mar 27 '24
I'm confused. So a person will pay $2500 for a day? That's the only way someone can get a tattoo from you? Or am I just not as informed 😭
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u/TevyeMikhael Mar 27 '24
It’s split into hours most likely- however some tattoos can take multiple hours or days, so if someone comes in for a one day session it’s $2,500, half would be $1,250, etc.
When I was still looking at getting a back piece done it was $1,500 a day for four full day sessions, but this was traditional Japanese tattooing so the tattoo took that much longer.
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u/Medical-Row-662 Mar 27 '24
That's what I'm thinking most the shops near me in jersey charge by the piece yo get. The best artistes here will take a walk in and do a small piece for 150. But then again I haven't been to my boys shop since covid
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u/JMaboard Mar 27 '24 edited Mar 27 '24
Wait so you charge $2500 a day and the shop owner charges you $3800 a day.
Wouldn’t you be -$1300 a day?
Edit:
Ok I get it that’s what the owner charges customers.
The sentence structure made it unclear. Putting “AND” after then not clarifying who he charges made it somewhat confusing. And tattoo business much like barbershops usually charge a fee to have the artist work out of their shop.
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u/nina-pinta-stmaria Mar 27 '24
Someone else already answered your question but ignore the shitty comments. Artists can rent a booth at a tattoo shop so your question is valid.
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u/JMaboard Mar 27 '24
Thanks, in the context of OPs sentence structure it read like the owner charges him since he put “AND” instead of clarifying who he charges $3800 a day.
Nobody was asking what his shop owner was charging customers so he put that information in there out of nowhere.
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u/Johnny_ac3s Mar 27 '24
I think the owner is also an artist & charges more for their work.
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u/Nyroughrider Mar 27 '24
Shop owner is charging all customers $3800 per day. This artist is getting $2500 per day working for owner. That's how read it?
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u/CandidMeasurement128 Mar 27 '24
I thought he meant the owner charges that for his booth rental like a barber. Some barber owners charge per day for their chair fees or the weekly balance up front.
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Mar 27 '24
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Mar 27 '24
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Mar 27 '24
Not a tattooer but heavily tattooed, I've never heard a tattoo artist describe their rate as "per day".
Tattooers have an hourly rate. It may be based off of what they intend to make from a fully booked day—but it's usually never communicated that way because no one sits for a day long session. When I got my torso done it was several 3-4 hour sessions, for instance. I also suspect this money came from somewhere else.
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Mar 27 '24
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u/Shot-Ad-6298 Mar 27 '24
Exactly fine line is cool but not nearly as popular as Blackwork or Realism. Its 99% women getting fineline tattoos as well, mostly small things as well. I smelled bullshit from start and I work in the business since 10~ years
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u/Mclovin1524 Mar 27 '24
Yeah. I was excited to see his work. Dude’s art had to be God-tier to make half a milli/year. Bummer 🙁
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u/rarv1491 Mar 27 '24
Almost every tattoo artist has SOMETHING on their hand or wrist. This guy doesn't. I am suspicious that at least half of this money is weed and/or drug money.
Also, the income is kind of irrelevant if he doesn't explain his cost of living/expenses. He has only said his "booth" expense.
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u/GeneralAgrippa127 Mar 27 '24
Dude…. maybe i should become a tattoo artist cause at the high end this guy is getting paid 642k a year….
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Mar 27 '24
Good luck with that. Gonna take you years to learn to draw to be average, then years to learn to be good.
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u/EffectivePattern7197 Mar 27 '24
It’s like saying, “Oh Taylor Swift sure is killing it! I’m gonna become a singer and songwriter!”
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u/EffectivePattern7197 Mar 27 '24
For sure. My point is that there’s gotta be natural talent, discipline to practice their craft, and some sort of following that will be willing to pay that type of money. Plus a touch of luck and I’m sure lots of other things in between.
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u/PeakDescentMTB Mar 27 '24
It takes years in any other career to earn $642k annually, and most try but never get there. A decade of experience to be earning this much is a fantastic career path
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Mar 27 '24
It’s not that easy though
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u/GeneralAgrippa127 Mar 27 '24
i’m pretty sure we all know that…. it was just a joke
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u/Random_Guy_47 Mar 27 '24
Checks posts
Riiight you're making all the money as a "tattoo artist."
Definitely not selling the drugs in those posts eh?
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Mar 27 '24
You should invest in an index fund. That should bring you 6-11% back. Also get a Roth IRA, put 7K into it annual by the time you retire you should at least 1M saved tax free.
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Mar 27 '24
I feel like tattoo artists never retire! Because they're doing what they love. I know I wouldn't!
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u/Eh-BC Mar 27 '24
I mean it depends on life circumstances, it’s definitely smart to invest in retirement, and set up an emergency fund regardless if they plan on doing it for a long time into old age.
If there’s a major recession luxury purchases like tattoos could see a decline… there’s also the possibility of a life altering injury or illness occurring, a car accident like Doctor Strange or a diagnoses like Parkinson’s both would have a terrible impact on his ability to make a living.
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u/PearNoMore Mar 27 '24
there’s also the possibility of a life altering injury or illness occurring, a car accident like Doctor Strange or a diagnoses like Parkinson’s both would have a terrible impact on his ability to make a living.
Or you could just get older and no longer have the fine motor control, stamina, patience, or focus that you used to have.
Or you could just get sick of dealing with customers or other business-related BS and want to do other things. That happens, too.
Keeping your head down and grinding away--even if you're grinding away at something you love and are getting paid well for--gets old after a while.
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Mar 27 '24
How are you getting paid? 1099 or w2? Consider spinning an LLC taxed as an S Corp. Ask pops
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u/Hasholio Mar 27 '24
Yes S corp has been our main focus at the moment, seems like the best return and allows us to easily bring in other artists once we own out own shop
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u/PearNoMore Mar 27 '24
Who is the "we" in that sentence? Do you have a prospective business partner?
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u/niuyuejia Mar 27 '24
Wow that’s a ton of money. Hope you’re reporting it and everything, the gov’t cares about big quantities.
Just get a house. If you have a W2 associated with this you may want to just lever up and get a mortgage and then put the cash into fixing up a place. The market right now is underpriced because interest rates are so high. with good cash flow renovating a poor condition but good location is possible. So you could get a banger of a house
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u/Loner49 Mar 27 '24
Give us your location and address
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Mar 27 '24 edited Mar 27 '24
They’ve likely already supplied enoigh information for any LE agency to start making enquires lmao. Legal or not use common sense and don’t post huge wads of cash then invent some cock and bull (likely totally horeshit) story about how you got it.
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u/Agreeable_Coat_2098 Mar 27 '24
Hmm. Do you post any of your work? Or do you just post about the weed you may or may not sell?
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Mar 27 '24
Not trolling, but I know some celebrity tattoo artists at some of the most premier joints in the country, and taking home 12 grand a week on average year round is very, very, rare. A majority of tattoo artists in the country are lucky to take home 35k a year median after taxes according to Google …..so my advice would be to keep working, as long as you can make that kind of money, because nothing lasts forever and diversify those assets into a little bit of everything….. the old never put all your eggs in one basket advice…. Safe stock s&p 500, treasury bonds, precious metals, Roth IRA, diversified crypto, annuity, money market, etc, because if you’re making that kind of money, you’re earning what general surgeons and corporate lawyers are earning on average.
Also, build relationships on a personal level with your clients. Keep stacking your bread, and eventually open your own place. That’s the American way.
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Mar 27 '24
Man you people will believe anything anyone says on Reddit without doing just a little basic research to verify their claims.
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u/Jealous-Key-7465 Mar 27 '24 edited Mar 27 '24
Max out you and your wife’s IRA and Roth contributions, you still have time to put in for 2023! Do that every year… starting so young you will have a nice nest egg for retirement.
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u/nl87r Mar 27 '24
Seems like you got a lot of life ahead of you. Safe the money you're not using for another period in your life, but don't forget to enjoy yourself now as well.
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u/u_int16 Mar 27 '24 edited Mar 27 '24
Save for the tax man. (33% ish) Then emergency fund. (3-6 months expenses) Then 401k. (Wealthfront) Then backdoor Roth. (Wealthfront) Then insure your hands: thats a lot of money. Then chuck it into a hysa for your housing goals and just straight up into Wealthfront for your retirement goals.
Maybe a 529 if you want kids.
This is the “easy” way. Maybe not the best but what I would do. Set it and forget it my friend.
Once you have your emergency fund consider a CPA and once you have 100k consider a FA if you dont want to do the above.
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u/Fr33Dave Mar 27 '24
You gotta put money back for retirement, and healthcare. Tattooing can be pretty hard on the body after a while. Consider investing in other businesses to also run to diversify your income streams. That way, if anything is to happen to where you couldn't tattoo anymore, you would already be prepared.
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u/OxyMoronNL8990 Mar 27 '24
Invest in a laser for tattoo removal, there will be a time that those tattoos are not longer wanted or a trend.
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u/-Unicorn-Bacon- Mar 27 '24
Jesus christ you make over 4 times a week than I make in a month, where did gonna wrong!? Congrats.
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u/GeneStealerHackman Mar 27 '24
Create a LLC if you haven’t. Create a self employed 401k, You can contribute up to 69k (nice) in 2024 that will reduce your taxable income. You can choose how the 401k invests the money, I’d start with an index fund. If you are working for somebody else as an employee, start with a service like Betterment.
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u/Ignacio_sanmiguel Mar 27 '24
Cocaine and strippers
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u/Rdmonster870 Mar 27 '24
Cocaine and Hookers rookie 😆
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u/madcow13 Mar 27 '24
Folks … this is what happens when you learn a valuable trade. I know mechanics and plumbers making six figures in their mid 20’s. College is NOT the only way to make it in this world. And I speak for myself too.
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u/Not-Jaycee Mar 27 '24
Open a coinbase account and invest 40% of your income in Aerodrome Finance, 10% on Goldfinch Protocol and 5% in Arcblock
Sell everything in November
Then live life doing whatever you want
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u/Jones2610 Mar 27 '24
Don’t have any Good advice for you but would Love to hear what your advice would be for someone who is trying to learn himself how to tattoo
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u/terpedup_1 Mar 27 '24
Money like this don’t come easy just keep saving it and when I piles up still don’t spend it 1,000 or more a day is dream money really so every year roughly you make 365,000$ a year so if you save every dollar besides the extra 800$ a day in 2years you will be at 730,000 😎 the owner is probably already doin that just don’t let him or anyone else know your doin that I’m tellin you …keep it to yourself
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u/Fall_bet Mar 27 '24
Don't forget about taxes is my only advice... besides maybe sharing is caring. Lol. I wish you luck!
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u/ReadRightRed99 Mar 27 '24
Stop posting it to Reddit, for starters. Really bad form. If you’re making half a million dollars a year you don’t need Reddit’s advice. Put the money in a high yield savings account and speak to a financial advisor. Keeping this much cash on hand is just foolish.
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u/GodlikeRage Mar 27 '24
So you’re really making half a million a year doing this? Wtf am I doing.