Assuming that what you are talking about is that you were operating as a single member LLC ( a disregarded entity ) filing Schedule-C and getting net income of 20K to 50K per year -- not a W-2 ( don't believe you can be an employee and owner at the same time). Thus you paid 15.3 % SECA taxes and now because you are an employee of the S-Corp, you will pay 7.65% while the S-Corp pays the other 7.65% of the FICA. There are other "goods" and " bads" of an S-Corp. Note that you have to use TurboTax business to prepare and file the business return , W-2 & the K-1(s). Then on your personal / individual return you use the K-1 plus the W-2 . It is a lot more comlicated, but of course there are benefits.
The salary you quote is based on a national average but if in the last few years your net income from the business has been in the range of 20 to 50K , there should be no issue giving yourself a 35K or 40K ( note that 40K income is equivalent to around 44K of self-employment because of the extra 7.65% that you pay for the privilage of being independent contractor/self-employed). Also you have to take into consideration the expenses that the S-Corp is planning to spend on your behalf-- retiremnet benefits, helath insurance etc. etc.
Hope this helps
