Page 39 - C:\Users\Troy-LapTop\Documents\Flip PDF\Millionaire Maker\

“A lot, actually,” Rick said. “I know we have about $300,000 of equity in our house, and I’m positive I have about
$50,000 in my current company’s stock. But I can’t get that out.”
Unless he left the company, which I knew I’d be convincing him to do sooner rather than later. I’m always
amazed when couples invest in real estate while both work as salaried employees for companies. Under IRS rules,
real estate depreciation is limited to $25,000 a year unless a person is a professional real estate investor. The
Noonans were likely giving up thousands in deductible dollars, just to keep their jobs.

Question 4: What Are Your Liabilities?

“We still have an $85,000 mortgage on the house, but we’re paying that down.”

Question 5: What Else?

“We have $10,000 in the bank. And I have $40,000 in an IRA and my wife has $30,000 in her IRA,” Rick said.
“And I actually have a few 401(k)s from past jobs. Between my wife and me, there are four of them: we have
$60,000 there.”