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Rising Star
Yes, because:
You can pay yourself a lower "salary" than what you took in, and keep the rest as business income which is taxed at a lower rate.
You can write off meals, travel, equipment purchases (TV, iPhone, new headphones, etc) streaming subscriptions, wifi, etc., meaning you don't pay taxes on those expenses up to a certain amount.
And then, once you get enough income coming in: you can match your own 401k (its called a 403b or SEP in this case but its the same thing basically). So you give yourself a salary high enough to put the max into a 401k, then the s corp can match it with money in the business account. Meaning you can put away approximately 50k tax free each year.
Get a decent accountant to help you. Absolutely worth it. (Dm me for a good reco if you want).
Thank you for taking the time to say all this though!
Chief
This is the best explanation I’ve heard.
Thanks 🙏
Also writing off business expenses
Our CPA lets us do it as long as we have some 1099s