Why business owners pay less tax than W2 employees

Name: Why business owners pay less tax than W2 employees
Duration: 70 s
Description: Businesses pay tax on bottom-line profit after expenses; W2 workers pay tax on their full income from the top.

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If you're a W-2 employee, you pay taxes on every dollar you earn—no wiggle room. TJ explains why business owners play by different rules, covering expenses and sheltering income in ways that just aren't available when you only have a paycheck. A quick look at the math that separates employees from entrepreneurs at tax time.

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