Key Signs You're Ready to Incorporate Your Business

In this episode of The Money Doctor® Show, Mildred Dillon, CPA, discusses the different forms of business ownership and the March filing deadlines for S Corporations and Partnerships. Mildred provides three key indicators for when to consider incorporating your business: being on payroll, generating significant profits (over $50,000 annually), and already investing in the market through retirement plans. She also explains the tax benefits of becoming a Corporation, such as eliminating self-employment tax and taking advantage of special retirement plans. Additionally, the episode covers the differences between Sole Proprietors, LLCs, Partnerships, and Corporations, and provides helpful resources for business owners to stay on top of their tax filings.

00:00   Show Preview

00:30   Show Intro & Welcome

01:36   First Corporate Deadline March 17 (for 2024 Taxes due in 2025)

02:38   Deadline to "Elect" for S Corporation 

03:40   Start Small When Starting A Business!

04:31   The Sole Proprietor - From Hobby to Side-Hustle

06:11   The LLC - How It Works

07:59   The Partnership - You + Fill In the Blank(s)

10:04   The Corporation(s) - Two Types

12:15   Business Structures Recap

13:07   Should You Incorporate?

18:02   Are You On Payroll or Taking Owner Draws?

19:33   Get the 1st Quarter Taxes Checklist

 20:47 Find Us On Social - All platforms @YourMoneyDr

Links mentioned: https://mailchi.mp/16cbb4a97e82/1stqtrtaxeschecklist