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if youamp;#39;re a realtor wholesaler or flipper hereamp;#39;s what you want to consider to reduce your taxes you want to consider running your business as an S corporation letamp;#39;s say you make $150,000 in profit as an LLC all your income here is subject to self-employment tax at 15.3% now letamp;#39;s assume on the other hand you run your business as an escorp what you need to do is pay yourself a reasonable wage letamp;#39;s assume you calculate your reasonable wage to be $75,000 only your wage is subject to self-employment tax now youamp;#39;ve saved about $11,500 in self-employment tax cutting your tax in half but hereamp;#39;s the catch ESC Corps bear some additional administrative costs wages are not considered qbi and Social Security tax is only up to a certain amount of income each year so if you want to pay less taxes on one of these businesses go to the link below and fill out the online web form to see how we can help you save more on taxes
