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AUGUST 2025
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The Truth About ‘Lucky’ Breaks? They’re Earned, Not Given
Honestly, I don’t believe in luck, not in the traditional “right place, right time” kind of way. Sure, people call it luck when something great happens unexpectedly, but I see it differently. I think “luck” is something we create ourselves. That’s why Make Your Own Luck Day on Aug. 26 resonates with me. I recently had a conversation with a close friend, and we got into a deep talk about energy. I know it sounds a little cheesy, but I believe every living being carries energy. How you treat people, your mood, and how you move through the world all put energy out there. And that energy can influence what comes back to you. What people often call “luck” feels more like the result of positive energy and mindset. It’s not really luck; how you carry yourself opens the door for those serendipitous moments. You attract people and opportunities, and that’s not random — it’s intention. Another big part of creating your own luck is being open. You must be willing to hear people out, explore new perspectives, and try something uncomfortable. Some of my best “lucky” moments happened because I showed up, even when I didn’t feel up to it.
completely wiped out after another long day of a 10-hour grind. I had zero desire to attend this networking event, but I’d told someone I’d show up and knew I needed to keep building relationships. So, at the last second, I made a turn, literally and figuratively, and forced myself to go.
The same happened early in my law career. I was working at a small firm doing tax work, and started getting more curious about tax law. I met a guy who was a CPA and an attorney at a networking event, and we hit it off. He encouraged me to dive deeper into the tax world, and eventually, I became a Certified Tax Coach, eventually obtaining my LLM in Tax Law as well. That conversation sparked a major turning point for me. Again, I wouldn’t call that luck; I was just curious, open, and involved. I’ve always believed that effort builds momentum, which allows you to learn more, meet more people, and get into better conversations. Eventually, those connections lead to opportunity, and that’s when people on the outside start to call you “lucky.” I think karma also plays a role. What you put out there really does come back around full circle. This Make Your Own Luck Day, I’m celebrating the decisions that got me here: the long hours, the forks in the road where I chose to grow instead of quit, and the people I met because I showed up.
Here’s the funny twist: I showed up at the wrong place. I walked into the wrong building and asked about the event, and they kindly let me know they weren’t affiliated with the event I was searching for. I almost turned around and went home. But I texted the guy who invited me, got the correct location, and finally made it. That decision to power through exhaustion led to meeting someone who would become incredibly important in my life and the mother of my children. People might call that luck, but it wasn’t. It was me pushing myself to grow, be present, and connect.
Luck isn’t passive; it’s intentional. And it’s something we all have the power to make.
–Tyler Q. Dahl
The story of how Lucero, my wife, and I met is a perfect example! I was
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Using the Short-Term Rental Tax Loophole as a California Real Estate Investor
Did You Know? Did you know the four-leaf clover only shows up once in every 5,000 clovers? That means if you’ve found one, you’re already ahead of the curve! Or how about this: In Japan, black cats represent good luck, not bad luck! When it comes to lucky people, Frane Selak might take the cake. He’s a Croatian music teacher who survived a plane crash, multiple car accidents, and a train derailment. Then he won the lottery. Either he’s the luckiest or unluckiest guy alive — it’s still up for debate.
When income taxes eat away at your investment returns, smart tax strategy becomes non-negotiable. Owning short-term rental properties in California can be a fruitful endeavor, but you need a strategy that reduces your tax burden to prolong growth. The key is understanding how the rules apply, how to qualify, and how to position your business for maximum advantage. WHAT IS THE SHORT-TERM RENTAL TAX LOOPHOLE? The short-term rental tax loophole allows some property owners to treat rental income as active, not passive, if they meet certain rules. This matters because active losses can offset W-2 or other earned income, leading to major tax savings. This loophole applies when average guest stays are seven days or less. The IRS treats these short-term rentals as business activities, not traditional rentals, allowing for more favorable tax treatment of losses. Short-term rentals that average 30 days or fewer may also qualify if you provide services like daily cleaning, laundry, or concierge amenities. WHO QUALIFIES TO TAKE ADVANTAGE OF THIS STRATEGY? To benefit, you must demonstrate material participation in the property, which measures how involved you are in managing and operating your short-term rental.
Speaking of improbable fortune, Joan Ginther, a woman from Texas, won the lottery four times. The odds of that happening are extremely low!
The IRS outlines several ways to show material participation, including:
• Working more than 500 hours in your short-term rental activities during the year • Contributing at least 100 hours, as long as nobody else exceeds your commitment • Taking part in the business for five of the previous 10 tax years • Conducting personal service activities that earned no income for the three previous tax years • Doing almost all the work yourself (cleaning, guest communications, check-ins) • Meeting participation thresholds across multiple short- term rentals that total over 500 hours This strategy often works well for business owners, self- employed professionals, or couples with flexible schedules who can devote time to operating their properties. IMPLEMENTING A SOUND TAX STRATEGY FOR YOUR CALIFORNIA REAL ESTATE INVESTMENTS. Tax savings don’t happen by accident. Work with a legal team that understands how to structure your investment activity properly. At Dahl Law Group, we help clients identify opportunities, reduce risk, and support long-term financial growth. Contact our Sacramento or San Diego offices to get tailored tax strategies that protect your investment and bottom line.
Do you have a friend who needs our help? When you’re done reading, give them this newsletter and recommend they scan our QR code. We can help them solve their tax, business, or estate planning problems before things get worse.
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A Certification of Trust The Key to a Smoother Estate Plan?
Provide a summary of your trust without divulging everything. Not everyone needs to see the full contents of your estate plan. The Certification of Trust offers a way to share only what’s necessary while keeping family details, asset distribution, and other private matters confidential. Protect your trust and legacy from state involvement. At Dahl Law Group, we help California business owners and families create and maintain estate plans and asset protection plans that protect their assets, their legacies, and the people they care about. We ensure every piece, including the certificate, is handled with care. Contact our offices in Sacramento or San Diego to make sure your estate plan does everything it’s meant to do.
People create trusts to simplify life for their loved ones and avoid unnecessary court involvement later. This preserves the privacy and security of the estate. Even with a fully-funded trust in place, though, the Certification of Trust (often called a Certificate of Trust) may be necessary to uphold its contents. This document makes it easier to prove that your trust exists and the person managing it has the authority to act on its behalf. Without it, your trustee could experience delays or confusion when dealing with banks, title companies, or other third parties. WHAT IS A CERTIFICATION OF TRUST? A Certification of Trust is a simplified legal document that confirms your trust exists and names the trustee, allowing them to act without revealing the full trust. Recognized under California law (Prob. Code § 18100.5),
it includes key details like the trust name, date, trustee, and their powers. It’s accepted by banks, title companies, and others, and must be notarized. Keeping it current helps avoid sharing sensitive information or unnecessary delays. WHY YOU SHOULD INCLUDE ONE IN YOUR ESTATE: Verify the existence of the trust. The certification confirms your trust is real and legally formed. This can speed up transactions and remove doubt or skepticism when your trustee interacts with financial institutions or other third parties. Prove your chosen trustee’s legal authority. When someone agrees to be a trustee, they need more than your word. A certification confirms their appointment and powers, avoiding the need to share the full trust, which can be burdensome and confusing.
Summer Chickpea Salad
SUDOKU
Ingredients • 2 (15-oz) cans chickpeas, drained and rinsed
• 1/4 tsp salt • 1/4 tsp pepper • 3 tbsp olive oil • 2 tbsp red wine vinegar • 1 1/2 tbsp honey • 3 garlic cloves, minced or pressed • 1 lime, zested and juiced
• 4 green onions, thinly sliced • 2 ears grilled corn, kernels cut from the cob • 1 pint cherry tomatoes, quartered • 3 tbsp chopped fresh basil • 2 tbsp chopped fresh chives
Directions 1. In a large bowl, combine chickpeas, onions, corn, tomatoes, basil, and chives. 2. Toss well with salt and pepper and set aside. 3. In a small saucepan over low heat, add oil, vinegar, honey, garlic, lime juice, and zest. 4. Whisk until the mixture is warm and garlic begins sizzling. 5. Pour over the chickpea mixture and toss well to coat. 6. Cover with plastic wrap and refrigerate for at least 30 minutes before serving.
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INSIDE What’s
2. 1. Luck Didn’t Lead Me Here — Intention Did Feeling Lucky? These Stories Might Just Surprise You
The Short-Term Rental Loophole Every California Investor Should Know
3.
The What and Why of a Certification of Trust
Summer Chickpea Salad
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New Research on Performing When It Counts
The Psychology of Clutch Why Some Athletes Choke and Others Don’t Those traits don’t just appear out of nowhere. Athletes can build them using deliberate strategies. Things like pre-performance routines, mental imagery, and self-talk help train the mind to stay steady despite external stressors. Goal-setting and cognitive restructuring (learning to think differently about pressure) also made a difference. Simulated pressure training was another standout strategy. When athletes practiced in high- stress scenarios, they often carried that composure into real competition, allowing them to show up calm when it counted. The big idea here is that pressure doesn’t have to derail performance. In fact, with the right habits and preparation, athletes can learn to rise to the occasion. That matters for sports, but it’s not limited to athletes. Anyone who performs under stress — students, speakers, performers — can benefit from the same mental skills. Pressure will always be part of the game, but how you prepare for it can change the outcome.
Some athletes come alive at the most crucial moments, but others fall apart when the spotlight is on. So, what actually separates those who thrive under pressure from those who choke? That question led researchers to comb through nearly 30 studies on performance. Instead of crunching numbers, they analyzed interviews with athletes, coaches, and sports psychologists — people with firsthand experience of what it feels like to compete when the stakes are highest. The findings point to traits that often show up in clutch performers. Confidence, or more precisely, self- efficacy, stood out. Athletes who believed they could handle the moment were more likely to do so. They also focused their attention on the task. They didn’t worry about the crowd or the outcome, just what needed to happen in the moment. Many athletes said they framed high-pressure moments as challenges rather than threats. They kept their mental effort where it mattered most, even when everything around them felt chaotic.
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