The Ultimate Guide to Pay Zero Taxes & Live in California or any other High Income Tax State

taxes Apr 12, 2019

You've heard me mention 1000 times that the way you earn your income determines how much you pay in taxes. 

I am proud to admit that I pay zero taxes legally and I reside in California, which has the highest state income taxes in the Union.

The way that I am able to pay zero in Taxes is by earning my income Passively.   The chart below is how I earn my income today.


Notice in the chart that I earn 100% of my income Passively.  Earning Passive Income instead of Earned/Active Income provides significant Tax Advantages. 

The advantages are available to anyone if they partner with the Government.  The government wants all citizens to provide jobs and/or housing for the citizens of its country.  The more patriotic and generous an individual, the least they pay in taxes. 

But it wasn't always this way.  Once upon a time, 100% of my income was Active/Earned Income.  But I realized that I had to change the way I earned my income.  Thus, I implemented a strategy which I discuss in detail here.   

Reducing your largest expenses enables one to build wealth faster.  You can learn more and do it for yourself here.

If you were to reduce your largest expense what could you do with the Newly-Found Capital?   

  1. Save?

  2. Invest in Passive Income Generator's?

  3. Pay Off Student Loan Debt or Other Debt?

  4. Fund You/Your Children's Education?

  5. Take a Much Needed Vacation?

  6. etc.

I would love to hear what you would do if you could pay ZERO in Taxes each and every year.  Provide your answer below.