Diane Kennedy shares her path to becoming a CPA, becoming Robert Kiyosaki’s tax advisor, and publishing one of the first books in his Rich Dad Advisors series. She talks about her writing process, the key to publishing New York Times best sellers, how the publishing industry has changed, and why she does independent publishing now. She also talks about her entrepreneurial journey, how she built and grew her accounting practice, and how she transitioned to a location independent infrastructure. Diane then explains the tax advantages of buying and holding residential investment property. She talks explains ‘deprecation’, ‘accelerated depreciation’, ‘1031 exchanges’, and the ‘real estate professional’ status, and shows why real estate is the most tax-advantaged asset class in the U.S.. She then explains the tax benefits of being a business owners, and how quick and easy it is for anyone to start a business on the side and start taking the tax deductions immediately. Diane also talks about her world travel and the way she designs her lifestyle, having been to 40 countries. She explains the Foreign Earned Income Exclusion, and how American’s who qualify can shelter over USD $109,000 of earned income per year while traveling the world and running their businesses remotely. Diane also talks about the dynamics of doing business with her husband Richard, and shares her approach to parenting, including how she adopted and raised her son David who has now also become a business owner. Full show notes available at www.TheMaverickShow.com
Episode #42: Real Estate Tax Strategy, Writing New York Times Best Selling Books, and Building a Virtual Accounting Firm with Diane Kennedy
Episode Summary
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About the Guest
Diane Kennedy
Diane Kennedy is a Certified Public Accountant, real estate investor, location independent entrepreneur, and the New York Times best-selling author and co-author of 14 tax and real estate books. Diane has over 35 years experience advising some of the nation’s wealthiest and most prominent business owners and real estate investors, including Rich Dad Poor Dad author Robert Kiyosaki, and she wrote one of the first books in his Rich Dad Advisors series. Diane’s mission today is to disclose the money-making, tax-saving and asset protection secrets used by the super-rich and explain them to everyday Americans using real language with actionable steps. She is the co-founder of US Tax Aid Services and the founder of Cash Flow Accounting, both of which are completely virtual companies that she can run from anywhere in the world, and she and her husband Richard have traveled to over 40 countries.
What You'll Learn
- How to take legal tax loopholes of being a real estate investor and business owner
- How to write best-selling books
- How to take the Foreign Earned Income Exclusion tax benefit for digital nomads
Links From the Episode
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DIANE KENNEDY’S BOOK
INTERVIEW TOOK PLACE
BOOK MENTIONED IN THIS EPISODE
PLACES MENTIONED IN THIS EPISODE
PERSON MENTIONED IN THIS EPISODE
DIANE’S BOOK RECOMMEND
DIANE’S CONTENT MEDIUM RECOMMEND
PEOPLE WITH WHOM DIANE WOULD MOST LIKE TO HAVE DINNER
DIANE’S TOP 4 TRAVEL DESTINATION
DIANE’S TOP 3 BUCKET LIST TRAVEL DESTINATION
CHECK FLIGHTS TO ANY OF THESE DESTINATIONS
CONTACT DIANE
Time Stamped Show Notes
[3:27] What Diane Loves About Accounting
[4:43] Diane’s Entrepreneurial Journey
- Why Diane became a CPA
- Why she decided to start her own business
- Why she selected real estate tax strategy as a niche
- How she met Robert Kiyosaki and became his CPA
- Writing one of the first books in the Rich Dad Advisors Series
- Writing Additional books
- How Matt and Diane met each other
- What Robert Kyiosaki taught Diane about content marketing
- Learning the importance of converting earned income into passive income
- Building a business and investing in real estate together as the ultimate tax strategy
[14:41] Diane’s Writing Process for Best Selling Books
- Why it’s hard to get on the New York Times Best Seller list
- Her writing process from start to finish
- Creating accountability and writing a million words in a year
- Why Diane now publishes independently
- How Diane launches and markets her books
[21:40] Diane’s Decision to Make Her CPA Firm Location Independent
- The Incentive to become location independent
- Identifying and hiring her staff CPAs
- Building information products and services around her tax services
- The importance of focusing on a niche and becoming an expert in that niche
- Why Diane’s staff CPAs buy their rental properties through Maverick Investor Group
[27:32] The Unique Tax Advantages of Owning Rental Properties
- Explaining the “Real Estate Professional” tax benefits
- How to qualify as a “Real Estate Professional”
- Explaining direct vs. indirect expenses
- Explaining the “phantom loss” of depreciation
- Real Estate tax benefits for non-Real Estate Professionals
- Cost-segregation and accelerated appreciation strategies
- How the 1031 Exchange tax benefit works
[39:52] How Regular People Can Invest in Real Estate and Start Businesses Immediately
- How Maverick Investor Group makes real estate investing easily accessible
- How anyone can start a business overnight and start taking tax deductions
[45:50] The Foreign Earned Income Exclusion (FEIE) Tax Benefit for Digital Nomads
- How to make 109,000 and pay no U.S. tax on it.
- How to qualify for the FEIE
- Explaining the housing allowance on top of the FEIE exclusion amount
- Understanding “nexus” as disqualifying criteria for FEIE
[53:05] Why Diane Travels the World
[54:06] Diane’s Productivity Habits and Day Structure
[56:19] Diane’s Approach to Stress Reduction and Business Problem Solving
[58:13] Diane’s Leadership and Management Style
[1:00:00] The Keys to Doing Business with Your Spouse
[1:01:45] Raising an Entrepreneurial Child
[1:04:09] The Lightning Round
- Diane’s #1 Book Recommendation
- Diane’s #1 App Recommendation
- Diane’s #1 Facebook Group Recommendation
- The #1 Person with whom Diane would most like to have dinner
- Diane’s Top 4 Favorite Travel Destination
- Diane’s Top 3 Bucket List Destination
[1:09:13] Contact Diane
