What's the best form for your company to take? There's a big difference between Sole Proprietor and S-Corp, LLC, or other forms. The biggest difference is what you'll pay in Social Security taxes when you make a high income.
Your company form also affects how you sign contracts. Contracts are most useful because they also affect taxes.
My latest video covers these topics with an example of how you save some serious taxes with a corporation.
The key to success - so to speak - is that the real benefit kicks in when you have a significant profit! So if you business is only marginal, you need to spend your energy creating a business model that PAYS before you worry about moving away from a sole proprietorship.
Links mentioned in the video here include:
- http://www.socialsecurity.gov/myaccount
- http://www.serviceagreementsforsmbconsultants
- http://www.sop4smb.com
You can view my entire YouTube Channel at http://www.youtube.com/smallbizthoughts.
:-)
Your company form also affects how you sign contracts. Contracts are most useful because they also affect taxes.
My latest video covers these topics with an example of how you save some serious taxes with a corporation.
The key to success - so to speak - is that the real benefit kicks in when you have a significant profit! So if you business is only marginal, you need to spend your energy creating a business model that PAYS before you worry about moving away from a sole proprietorship.
Links mentioned in the video here include:
- http://www.socialsecurity.gov/myaccount
- http://www.serviceagreementsforsmbconsultants
- http://www.sop4smb.com
You can view my entire YouTube Channel at http://www.youtube.com/smallbizthoughts.
:-)
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