LLC vs S-Corp & Entity Choice
“My solo business is making about the same as my old salary, should I switch from a sole proprietorship to an S-Corp?”
A move from sole proprietorship to S corporation is often considered when a solo business starts producing income that feels closer to a prior salary, but the comparison is not just about gross profit. The answer usually depends on how consistent the earnings are, how much of the income is tied to owner labor versus business assets, and whether the extra payroll, compliance, and bookkeeping involved with an S corporation would fit the business’s current size. State filing rules, payroll administration, and how much profit is left after reasonable compensation are also common factors in the analysis. A short conversation with a CPA can sort out what applies to your specific numbers.
In your 90-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?”
“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?”
“I operate a high-volume e-commerce store out of my home, will an LLC protect my personal assets if my business is audited?”
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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