where do you put your profits?

I

ibrox

Im finally going prop in a couple of weeks after 9 years trading on someone elses dime. I was wondering what you guys do with excess profits. Assuming you have as much capital as you need, and your paying yourself, what do you do with the remaining profits? I assume there are certain risks in leaving unused $$$ with your B/D are there any tax benefits?. Do you hold the money in a personal account or set up a sub LLC account at a bank? Just wondering if theres a general practice here. Id appreciate any info.:p
 
Quote from ibrox:

Im finally going prop in a couple of weeks after 9 years trading on someone elses dime. I was wondering what you guys do with excess profits. Assuming you have as much capital as you need, and your paying yourself, what do you do with the remaining profits? I assume there are certain risks in leaving unused $$$ with your B/D are there any tax benefits?. Do you hold the money in a personal account or set up a sub LLC account at a bank? Just wondering if theres a general practice here. Id appreciate any info.:p
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Excess profits have been invested in:

Real Estate (Huge writeoffs)
Investment Grade Diamonds (not traceable) :D
Collectible Gold Coins (not traceable) :D
Foreign Situs (offshore accounts) use cashiers checks from currency exchanges farther than 50 miles from your home :D
Cash Value Life Insurance (tax free) :D

And my depreciating Collectible Cars :eek:
 
Real Estate
Real Estate
Real Estate

Everything I make goes there. I own none of the property it all gets titled into a Family Limited Partnerships.
 
I like the call girl idea, but i dont have that much stamina. I was really wondering if I should open a separate bank account in my name as an individual, or establish a sub LLC and open an account or is there a way to do it using your B/D's name& tax id. I figured all you high flying prop guys must put it somewhere othere than loose women and exotic cars. If you take it from the B/D is it always classed as income and subject to tax or is there a way around that?
 
With excess short term profits I buy Tbills. Every six months a portion is swept into Muni's and TIPS so that the funds are laddered. I don't own investment real estate (been a landlord --- what a headache), stocks (been burned by news events and lousy tax treatment for short term gains/losses), mutual funds (pathetic returns).
 
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