Payroll Perfect Utah

Basic Self Employment Tax Difference S-Corporation or Sole Proprietor (Schedule C/Single Member LLC) In our example, the owner used written resources and webpages, as well as information gathered from others in the industry.  They then decided on a reasonable wage for their work, if they were to hire an employee to do the job. ***This example is only to show the basic differences in Self-Employment tax between these entity types, and is not an accounting guide or to be used for any legal purpose.  The amounts shown do not include unemployment or worker’s compensation.*** Wages need to follow IRS guidelines for “Reasonable Compensation”.  The following is taken from the IRS website and may be a good starting point for deciding[…]