As a business owner, there is a fundamental question that often creates a lot of confusion: how do I get paid??
Depending on the structure of your business, there are varied considerations for the optimal way to pay yourself. This includes passing the “reasonable compensation” test for S Corporation officers, guaranteed payments vs. distributions for partners in a partnership, and making distributions from your business as a sole proprietor. Additionally, you may need to consider the most tax efficient ways to save for retirement and to pay for fringe benefits, such as health insurance and auto expenses.
At Lanphier LLP, we will assist you with each of these questions, so that you feel confident that your compensation structure is compliant and provides for the optimal tax outcome.
Contact our firm today to discuss your compensation planning needs.