In this episode of ‘Earn Your Leisure’, Rashad Bilal & Troy Millings dive into transformative financial insights with Carter Cofield and George Acheampong Jr. of Melanin Money, focusing on essential wealth-building strategies that address financial challenges in the Black community. They unpack how financial literacy, historically sidelined in Black culture, is critical to fostering long-term change.
Melanin Money’s ambitious mission aims to narrow the wealth gap by $100 billion, with a particular goal of helping 1,000 people of color reach financial independence. Cofield and Acheampong explain the tax benefits that the IRS offers entrepreneurs and investors, discussing actionable strategies that can reduce taxes while growing wealth, emphasizing that financial freedom should be the ultimate target.
The conversation shifts to often-overlooked tactics like using life insurance to bridge the wealth gap and the tax implications tied to conventional partnerships. Cofield and Acheampong also emphasize the value of buy-sell agreements for business partners, alongside key distinctions between wills and trust funds for effective legacy planning.
Highlighting the foundational elements of wealth-building, the guests stress the importance of passing down both assets and a positive mindset, which can create a greater impact on future generations. They offer practical steps to invest in your child’s future, ensuring a stable financial footing.
Cofield and Acheampong share compliance tips for financial advisors building their brands on social media, as well as how to transfer $36,000 from a 529 plan into a Roth IRA and use savvy investment strategies to get ahead in today’s financial landscape.
Further, they provide insights into estate planning, discussing when to consider revocable or irrevocable trusts. They also share strategies for significant business write-offs, including how to secure a tax deduction while setting your child up with six figures by adulthood.