ROI – Return On Investment vs ROC – Return On Cash
ROI – Return On Investment vs ROC – Return On Cash
So many people have Family Trusts that are worth nothing!
For Wealth Masters, ROI has an entirely different meaning than for ordinary investors. For ordinary investors, their return is the taxable profit they make as a percentage of their after-tax investment amounts.
Tax-free Capital Growth is our goal and it is the return On Our Cash (ROC)
“Cash” is tax-free cash down on mortgage deposits plus shortfalls, if any. It’s like having money in the bank. The property is the bank, and as it belongs to us, it’s like owning your own bank!
Let me explain …
Bad case scenario: You buy a brand new townhouse for R1 million: The deposit is R200k. The rental shortfall is R30k in the first year. The total cash cost in the first year is R230k. Capital growth in the first year is 5%, which is R50k. It gives you a tax-free ROC of 21.7%.
Good case scenario: You buy a brand new townhouse for R1 million. The deposit is R200k. The rental shortfall is R30k in the first year. The total cash cost in the first year is R230k. Capital growth in the first year is 10%, which is R100k. It gives you a tax-free ROC of 43.5%!
Best case scenario: With the Wealth Mastery System focusing on the right areas and developments, we can easily double the tax-free ROC’s on “good case scenarios”.
In our seminars, I’ll explain the details, plus how to get the capital growth tax-free out of the property.
Regards,
Coert
P.S. For any service related matters, questions, queries or complaints regarding Wealth Masters Club, Destinata or Treasury Trust Services, please contact our service department on [email protected]