The answer depends on your entity structure and overall income level. S-corp founders typically take a combination of a reasonable salary — which is subject to payroll taxes — and distributions, which are generally not subject to self-employment taxes. Getting the balance right requires coordination between your financial planner and your CPA and can produce meaningful savings each year. An unreasonably low salary increases audit risk; an unnecessarily high salary overpays payroll taxes.
We exist so you don’t have to worry about money. For more than 40 years, we’ve taken the sophisticated, time-tested approach that many ultra-high net worth individuals use to help manage their financial lives and made it accessible to more families.
