Owners Draw vs Payroll Salary? How to Pay Yourself from Your Business!

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Owners Draw vs Payroll Salary? How to Pay Yourself from Your Business!

Рет қаралды 13,612

Sherman - My CPA Coach

Күн бұрын

Пікірлер: 30

@mrshopjulius5840 5 ай бұрын

This man is a one of the people who will give you call when you want to ask a question about this business

@defaultname5399 10 ай бұрын

This was EXCELLENT. Thank you so much for this information! You helped to bring immense clarity to the confusion I was having about this💯 New Subscriber 😊

@mycpacoach 10 ай бұрын

Thank you! I am glad you found it helpful and appreciate your feedback. Welcome aboard!

@greyson7379 6 ай бұрын

First off, I’d like to say FUCK THE IRS AND THE GOVERNMENT. Secondly, thank you for this video.

@ChoiceDesignsPro 6 ай бұрын

what a moron

@jetransport 4 ай бұрын

Did you know that in the IRS regulations, any money stolen or made through illegal means still has to be taxed. They dont care if it’s blood or drug money just as long as you pay them.

@bloodmooncomix457 28 күн бұрын

CALIFORNIA: We like you! 👊😄😚😎💞🇺🇸

@ogfresh2def566 Ай бұрын

Wow! You help me out a lot

@sureshbapana 5 күн бұрын

Thanks for the video..

@anthonys5153 Ай бұрын

Great video! Subscribed!

@queleene84 Жыл бұрын

Can you do a video about non-profits and paying yourself from a non-profit and how that works at tax time?

@mycpacoach Жыл бұрын

Most of our experience is in for-profit businesses, so its unlikely we'll be able to create one for that.

@queleene84 Жыл бұрын

@@mycpacoach Okay. Thanks anyway. Enjoying the channel

@cocoandsoy 4 ай бұрын

Hello! Thank you for this information. As an S corp can you please explain the benefit of an owner’s distribution if I’m paying myself as a W2 employee?

@mycpacoach 4 ай бұрын

You're welcome. Sure, it is very simple. Your S-Corp distributions are not subject to payroll taxes like your W-2 salary is. Those payroll taxes can amount to 15.3% or more of your paychecks.

@danb3980 7 ай бұрын

Nice video but i am confused. You said S corps don't pay the 15.3% self-employment taxes. I thought the 15.3% SE tax would still be applicable but only on the W2 wages? i.e. business makes 100k...i pay myself W2 wages of 40k...60k is distribution. 40k is subject to 15.3% SE tax correct?

@mycpacoach 7 ай бұрын

You are essentially correct. The tax on wages is technically “employment tax”. When the tax is assessed on business income it is considered “self employment” tax. S corps do not pay self employment tax, but shareholder-employees do pay payroll tax.

@MikeTXBerry 3 ай бұрын

Yo what is going on with the camera shake? Was someone jackhammering while you were filming? lol

@mycpacoach 3 ай бұрын

Apparently I had the wrong setting enabled on my camera at the time I shot this. I never realized it at the time 🫣but our newer uploads are much better now.

@manuelperez7601 7 ай бұрын

So I am an LLC and I just withdraw money from my business account into my personal account. However when I pay on my taxes, do I file quarterly or yearly and do I file with my business EIN number or with my social security number?

@keyneslonely1078 6 ай бұрын

Most of llc file tax returns yearly. Sometime you have to file another tax quarterly or monthly, such as payroll tax withholding, sale tax, etc. EIN or SSN? Depend on what to file.

@user-wh3qp5fh4c 10 ай бұрын

Me and a friend started a business, 50/50. How should we pay ourselves draw or salary? I just purchased Intuit as well. Can you help please.

@mycpacoach 10 ай бұрын

Are you an S-Corp or a General Partnership?

@eightymphmom58 9 ай бұрын

Just tell them both so we can all know. @@mycpacoach

@ethanpease1774 4 ай бұрын

@@mycpacoachI am in the same boat , we are a general partnership. Currently we have been withdrawing money and depositing into our accounts ( the exact same amount to keep it all fair and 50/50)

@Thesimplebodyshop 3 ай бұрын

As an S Corp. how do I know or determine what my basis is so that I do not go over and pay capital gains taxes

@mycpacoach 3 ай бұрын

In general, you only run into a basis issue when your distributions exceed net income earned by the business. I've only seen people run into basis issues when they withdraw loans / assets in excess of profits. For ex: if the business received a loan, and the owner withdrew the loan (and all profits) for personal purposes, then you'd have a basis problem. Here is a more complicated answer from the IRS: www.irs.gov/businesses/small-businesses-self-employed/s-corporation-stock-and-debt-basis