Honestly, you should probably sit down and have a one on one with a tax professional to understand the business and goals. Having said that, a few comments:
- Not sure what cost you believe you will be saving based on the limited facts?
- If you are a single member LLC (disregarded entity)(SMLLC), all income will be taxed and subject to SE Tax.
- A SMLLC is essentially the same as a sole proprietor with some legal protection; each state has their own set of rules here and not going to provide any legal advice.
- With the current structure, as long as you pay yourself a reasonable salary, you potentially save some $$ on not paying SE Tax on distributions. This can be tricky, and that is why it is best to discuss with a tax professional. Not sure what you have been doing up to this point.
- Make sure the tax professional understands the impact on remote workers.
- Make sure you understand any filings with the California Secretary of State should you decide to make a change
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
