How Peter Thiel Got Rich Using This ONE Tax Trick in USA

Peter Thiel - Billionaire - Founder of PayPal and Founders Fund.

Why did he get so rich? Here's ONE tax strategy he used for investing.

Most people don't know this, but you can use your Roth IRA to buy private shares (basically using your Roth IRA to invest in startups)

Peter Thiel used his Roth IRA to invest in early-stage startups, including Meta Platforms (formerly Facebook).

He started with a small initial investment and used the tax-free growth of his Roth IRA to reinvest in other high-growth companies, building a multi-billion dollar fortune.

For example, I have raised $2.3M so far, and some early investors are using their Roth IRA to buy my company's private shares. (Sorry, you can't do this in Canada)

If my company goes public in 10 years, all the gains in the investors' Roth IRAs will be tax-free.

That's why if you are living in US, I strongly recommend you to use Roth IRA to invest in my 20% preferred shares. The dividend is tax free and the future capital gain is also tax free.

For example, if my company's share price 10x with a $100K investment, the entire $1M including all the dividend I paid out are tax free.

You should look into investing in private shares with Roth IRA if you have the courage and insight for it.

Update1: Can you use traditional IRA to buy private shares? Yes you can. The dividend is not taxed until you withdraw it

Update 2: Can you use 401K to buy private shares? Based on my knowledge to date, you would need to roll your 401K into a self directed IRA then buy private shares.

Cheers,

Eric

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Eric Seto

Chartered Professional Accountant (CPA)

Chartered Investment Manager (CIM)

Founder of 5MinInvesting.com

In May, my goal is to help 20 people without a financial background to master investing through Investing Accelerator.

Investing Accelerator is designed for people without a financial background.

The goal is to achieve 30% return per year.

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In the second phase, you will learn monthly passive income to provide a more predictable cash flow (target 30% per year) which can cover your expenses. This will help accelerate your retirement goals.

If you are interested, then let's hop on a call to see if you can benefit from the strategies in Investing Accelerator and get 30% per year.

During the call, we will map out exactly how you can achieve 30%, what you are lacking, how you can improve.

If you have any questions about the program, you can ask during the call as well.

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Remember to go to the Classroom tab for additional investing resources.

(If you want to be a shareholder of Investing Accelerator and get 20.5% dividend (monthly distribution), $200K investment would be $40K in dividends per year. you watch the investor presentation here: https://bit.ly/3CKVp0R)

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