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@NicholasKorom: Selling my company for 7 figur...

@NicholasKorom
13 views Apr 01, 2026
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Selling my company for 7 figures taught me exactly how wealthy people protect their money.

It's not gold.
It's not crypto.
It's not index funds.

It's something most W-2 earners have never heard of…

Here's exactly what they do (& how you can copy them):
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When I sold my company back in 2022, I expected to feel set.

Instead, I got one of the biggest tax bills of my life.

And that's when I started paying attention to what the ultra-wealthy were actually doing.

Not what they said in interviews. What they actually did.
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Here's the pattern I kept seeing:

High-income people with W-2 income or business income were buying short-term rental real estate.

Not primarily for the cash flow.

For something called bonus depreciation.
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Here's what that actually means in plain terms.

When you buy a property and run it as a short-term rental, the IRS lets you take a massive depreciation write-off in year one.

On a roughly $1M home, that write-off is typically somewhere between $220K and $310K.
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That depreciation offsets your regular income.

W-2, 1099, business income. Doesn't matter.

If you're in the 37% bracket, that $220K-$310K in depreciation translates to somewhere around $106K-$115K in actual tax savings.

In year one.
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But there's a catch. You have to qualify.

Three specific criteria:

→ The property needs to be purchased AND placed into service this calendar year
→ The average guest stay needs to be 7 days or less (this is what makes it an active business)
→ You need to participate in the business for a minimum of 100 hours
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That third one trips people up the most.

So let me walk through how it actually works.

If you and your spouse travel to the property after closing and spend 3-4 days overseeing contractors, coordinating with the designer, managing the landscaping team - you can log both your hours combined.

20+ hours a day is not unusual.
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Then once the property is live, you're spending 30-60 minutes a day checking in on the Airbnb app.

Reviewing guest messages. Quality-checking that the co-host is on top of things.

That adds up fast.

Most of our clients hit 120-150+ hours without even pushing for it.
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Then, a few months before you file your returns, you order a cost segregation study.

This is a third-party company that comes in, assesses the property, and tells you exactly how much depreciation you can accelerate into year one.

That number is what your CPA uses to offset your taxable income.
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There are also other expenses that stack on top of the cost seg number.

Furniture. Designer fees. General contractor work. Landscaping. Your inspection report.

We've seen clients hit $370K in total write-offs from a single property in year one.
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And this whole time, the property is:

→ Cash-flowing from Airbnb bookings
→ Appreciating in value
→ Being managed by a co-host who handles 95% of day-to-day operations

The tax savings alone often covers the full cost of getting into the deal.
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This isn't a loophole that's going away.

The ultra-wealthy have been doing this for decades through hotels and commercial short-term rental properties.

You can do the exact same thing with a single-family vacation rental.

That's the part nobody tells you.
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After my exit in 2022, I went all in on this.

I now have a portfolio approaching $10M in short-term rental real estate.

My clients have closed on 370+ homes using this same strategy.

The math works. The tax code supports it.

You just have to know it exists.
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Disclaimer: I am not a CPA, attorney, legal counsel, insurance provider, contractor, lender, or financial advisor. I do not represent myself as such. You should always consult your own professional advisors including a CPA, attorney, financial advisor, real estate agent, loan broker, or any other individual you professionally rely on to make business decisions.
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