LLC vs S-Corp & Entity Choice
“I just started earning substantial income from a private medical practice, at what profit level is the S-Corp election mandatory?”
For a private medical practice, the question of when an S-Corp election becomes relevant often depends on the level and consistency of net profit, the amount of owner compensation versus remaining business earnings, and how the practice is organized and paid. There is not a universal profit level that makes the election mandatory, and the practical comparison usually involves payroll administration, self-employment tax exposure, and the administrative structure of the entity. The answer can also vary based on state rules, expected growth, and whether the practice has employees, partners, or significant overhead. A CPA who reads your specifics can usually tell you, in plain English, where this lands.
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.
“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?”
“My solo business is making about the same as my old salary, should I switch from a sole proprietorship to an S-Corp?”
“I have a profitable side hustle on top of my day job, is it worth the administrative cost to form an LLC just for that income?”
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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