Tax Strategy Guides for LLC Owners
Understand how your LLC is taxed, when an S-Corp election can save money, how to estimate and pay quarterly taxes, and how to reduce your overall tax burden legally.
FEATURED GUIDE
LLC vs S-Corp: Which Tax Election Saves You More Money in 2026?
Understand the key differences, tax savings potential, requirements, and when an S-Corp election makes sense.
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Popular Tax Strategy Guides
| Guide | Read Time | Updated |
|---|---|---|
| LLC vs S-Corp: Which Tax Election Saves Money? | 18 min | May 10, 2026 |
| Single-Member LLC Taxes Explained | 10 min | May 8, 2026 |
| S-Corp Election Deadline: When and How to File | 9 min | May 6, 2026 |
| How Self-Employment Tax Works for LLC Owners | 12 min | May 4, 2026 |
| Quarterly Tax Payments: What LLC Owners Need to Know | 11 min | May 2, 2026 |
| Reasonable Salary Requirements for S-Corps | 14 min | Apr 30, 2026 |
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Tax Strategy FAQs
By default, a single-member LLC is taxed as a disregarded entity. All profits flow to your personal tax return via Schedule C, and you pay income tax plus self-employment tax (15.3%) on net earnings.
The self-employment tax rate is 15.3% on net earnings up to the Social Security wage base ($176,100 for 2026), then 2.9% on amounts above that. This covers both the employee and employer portions of Social Security and Medicare.
Most tax professionals recommend considering an S-Corp election when your LLC net profit exceeds $50,000–$80,000 annually, after accounting for payroll service and additional accounting costs.
If you expect to owe $1,000 or more in federal taxes for the year, you generally must make quarterly estimated tax payments. These are due in April, June, September, and January.
Disclaimer: Information on this site is for educational purposes only and does not replace advice from a qualified CPA, attorney, financial advisor, or tax professional. Laws and rules change frequently. Always verify with official sources.