Longtime corp-to-corp consultant considering a W2 contract

[MonicaM]

Do you have a specific question about transitioning from consulting to a W2 job? If so, please provide more information.

Thanks!

[VolvoGirl · Accepted solution]

If you get a W2 as an employee you won't be able to enter any expenses for it like you do on schedule C.  But then the employer will be paying their half of the FICA (SS and Medicare) so you save that.

[jopon]

I have been working under my S corp for several years and issuing myself a W2. If I were to accept a W2 contract instead of my usual corp-to-corp or 1099 contract, how would that affect my S corp? Would I be able to funnel the income through my S corp?   

[qbteachmt]

When you accept a W-2 employee-relationship position with another company, you no longer are the employee of your own corporation for that same work. You don't run it through your own corporation; they are not hiring your corporation. They are hiring you.