LLC vs S-Corp & Entity Choice
“As a business owner, what's the tax difference for me between an LLC and an S-corp?”
The tax difference often depends less on the LLC label and more on how the business is taxed and how the owner is paid. An LLC is a legal structure, while an S-corp is a tax election, so the comparison usually turns on items like self-employment tax treatment, payroll requirements, and how profits are distributed versus reported. The answer can also vary with the business’s income pattern, owner involvement, and whether there are one or multiple owners. In many cases, the bookkeeping and payroll setup matter as much as the entity name itself. Working through the specifics with a CPA is the cleanest way to land on the right move.
In your 60-minute session, the KGOB advisor handling it will:
- Read your exact situation and tell you, in plain English, what’s actually going on.
- Lay out your options and the trade-offs — no jargon, no judgment.
- Give you a clear next step you can act on, whether that’s with us or on your own.
“As a freelancer in Alabama, should I form an LLC or elect S-corp?”
“As a freelancer in Alaska, should I form an LLC or elect S-corp?”
“As a freelancer in Arizona, should I form an LLC or elect S-corp?”
“As a freelancer in Arkansas, should I form an LLC or elect S-corp?”
“I formed a single-member LLC but forgot to get an EIN, can I just use my Social Security number on my Schedule C without issues?”
“I am transitioning my W-2 income into a consulting business, does electing S-Corp status actually lower my self-employment tax?”
This page is a prompt to start a conversation, not tax or legal advice, and states no tax-law specifics as fact. A consult session does not by itself create an ongoing engagement. We do not promise specific outcomes or savings. Kohari Gonzalez Oneyear & Brown PLLC — Charlotte, NC.
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