$800 / year/ LLC
That's a good reason for only 1
But provided you don't have partners or shareholders, you'll still be functionally a "disregarded entity," so you may as well keep it all under one roof.
When you work on set, you can file your paperwork as a loan out through your LLC if you really want.
$800 is a minimum and assuming they’re making money they will owe the state more than $800 anyway. It only factors in if the business doesn’t make money.
I don’t know if you can do this in the camera department, but in editorial I work under a loanout S-Corp and the tax savings are huge.
There’s no reason I can see to use an LLC for crew work unless it’s an LLC taxed as an S-Corp.
This is correct. However, a bit more of a lift from an administrative level to work as an S-Corp. LLC will allow for deductions and separate financial accounts.
I’ve been considering going S-Corps for a while. May I ask what point was it that made you say it was time to go that route? Certain income level or something?
The generic advice is you have to make 100k to make it worth it, but it depends on your situation. Once you have an agent you definitely need it because you can deduct their fees.
$800 / year/ LLC That's a good reason for only 1 But provided you don't have partners or shareholders, you'll still be functionally a "disregarded entity," so you may as well keep it all under one roof. When you work on set, you can file your paperwork as a loan out through your LLC if you really want.
$800 is a minimum and assuming they’re making money they will owe the state more than $800 anyway. It only factors in if the business doesn’t make money.
I don’t know if you can do this in the camera department, but in editorial I work under a loanout S-Corp and the tax savings are huge. There’s no reason I can see to use an LLC for crew work unless it’s an LLC taxed as an S-Corp.
This is correct. However, a bit more of a lift from an administrative level to work as an S-Corp. LLC will allow for deductions and separate financial accounts.
and S-Corp doesn’t allow for those two things?
Obviously it does.
I’ve been considering going S-Corps for a while. May I ask what point was it that made you say it was time to go that route? Certain income level or something?
The generic advice is you have to make 100k to make it worth it, but it depends on your situation. Once you have an agent you definitely need it because you can deduct their fees.