LLC, Sole Prop, Or Corp...

 
Thread Tools Search this Thread Display Modes
Old 12-18-2017, 10:09 AM   #1
Member
 
mkb's Avatar
 
Trade: Gen B
Join Date: Dec 2017
Posts: 37
Rewards Points: 78

LLC, Sole Prop, Or Corp...


After talking to a few accountants, my partner and I are thinking about having our construction company set up as an LLC and possibly be taxed as an S-Corp for tax savings purposes. Just curious to see how you all decided to set up your business structure and what pros/cons anyone cares to share. We're basically looking for a simple structure to have liability protection and simple accounting/tax implications. I'm in CA, if anyone has an accountant to refer, shoot me a PM.
mkb is offline  

Warning: The topics covered on this site include activities in which there exists the potential for serious injury or death. ContractorTalk.com DOES NOT guarantee the accuracy or completeness of any information contained on this site. Always use proper safety precaution and reference reliable outside sources before attempting any construction or remodeling task!

   

Advertisement

 

Old 12-19-2017, 12:52 AM   #2
Pro
 
3bar's Avatar
 
Trade: carpenter
Join Date: Jan 2011
Posts: 406
Rewards Points: 466

Re: LLC, Sole Prop, Or Corp...


with s-corp, you can save on the 15% self employment tax. however book keeping becomes more complicated and costly.
with an llc, you do your taxes like normal. less paper work.

do llc for liability protection, or if you're making enough money, then go with an s-corp for the tax savings.

Advertisement

3bar is offline  
Old 12-19-2017, 11:43 AM   #3
General Contractor
 
Bainbridge's Avatar
 
Trade: General Contractor
Join Date: Apr 2017
Location: Washington State
Posts: 25
Rewards Points: 66

Re: LLC, Sole Prop, Or Corp...


We are an LLC that elects to be taxed as an S-Corp and it sure saves us money. We work with an accountant to do our yearly tax filing and the arrangement works well for us. I think it depends what level you're at, we have revenue of a couple million a year and it works well for us. My advise is if you've found an accountant that you trust and is knowledgeable then they can look at previous years taxes and see if it would benefit you or not, that's what we did.
Bainbridge is offline  


Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes Rate This Thread
Rate This Thread:

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Davis Bacon & Sole Prop Vinson Accounting Software & Discussion 5 12-12-2014 07:21 AM
Sole Prop to LLC? RVC_2010 General Discussion 4 02-18-2013 10:26 AM
Rmo for a corp can i still apply for a sole owner l Tg remodeling Contractor Licensing 0 01-23-2012 12:52 PM
Changing from Sole Proprietorship to Corp/S Corp, LLC plazaman Business 9 09-30-2008 07:09 PM
Differences between SOLE PROP TO LLC MazalBuild General Discussion 6 09-19-2008 09:59 AM

Join Now... It's Fast and FREE!

I am a professional contractor
I am a DIY Homeowner
Drywall Talk is for
PROFESSIONAL CONTRACTORS ONLY!

At DrywallTalk.com we cater exlusivly to professional contractors who make their living as a contractor. Knowing that many homeowners and DIYers are looking for a community to call home, we've created www.DIYChatroom.com DIY Chatroom is full of helpful advices and perfect for DIY homeowners.

Redirecing in 10 seconds
No Thanks
terms of service

Already Have an Account?