before switching, consult a tax pro. As an S-Corp, active owners are supposed to take a salary. you might get away with not taking salaries for some years, but sooner or later the IRS will make an inquiry and at that point the pain will begin.
here's a court case
If the IRS concludes that an S corporation owner has attempted to evade payroll taxes by disguising employee salary as corporate distributions, it can recharacterize the distributions as salary and require payment of employment taxes and penalties which can include payroll tax penalties of up to 100% plus negligence penalties. The IRS will do so if it concludes that the corporation paid the employee unreasonably low compensation for his or her services. For example, a CPA who incorporated his practice took a $24,000 annual salary from his S corporation and received $220,000 in dividends which were free of employment taxes. The IRS said that his salary was unreasonably low and that $175,000 of the dividends should be treated as wages subject to employment taxes. The court upheld the IRS’s power to recharacterize the dividends as wages subject to employment tax. (Watson v. United States, (DC IA 05/27/2010) 105 AFTR 2d.
due to the QBI deduction, (IRC section 199A) which could be reduced if S-Corp profit is recharacterized as salary, it likely taxable income on your 1040 will increase, resulting in even more taxes, penalties an interest.
outside of tax laws , there the question of workmen's compensation insurance. in my state, employees, even owner employees must be covered by WC insurance and there are penalties for failure to have it
if you have health insurance, there are rules that must be followed if you want to get a 1040 page 1 deduction ( adjusted gross income is reduced) vs an itemized deduction
the pro can even look at at your proposed tax structure and advise if it might make more sense just to have an LLC - an LLC does not pay salaries to its owners, so there can't be payroll tax penalties as long as there are no employees. additional advice might deal with having or not having your wife as a member. a multimember LLC must file a partnership tax return. the downside, all of the profits may be subject to self employment tax and the QBI deduction is affected
