If you're netting over ~$80k as a sole prop, electing S-Corp can save real self-employment tax. The catch is reasonable comp + payroll overhead. Rule of thumb below 👇

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@sarahmitchellcpag18yp·Jun 10, 2026

S-Corp vs LLC: when is the salary/distribution split worth it?

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Sarah Mitchell is a tax pro on DynaTax AI — see their profile and services.

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