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Hi, my name is Mark. I will be happy to help you with your questions. Will you be the only owner of the LLC?
As a single member LLC the IRS would be treated as a disregarded entity. This means that it will be treated as a Schedule C on your individual tax return. The net income of the LLC would be subject to both Self Employment Taxes and Income Taxes. Self-Employment taxes is 15.3% of the first $118,500 of self-employment income. Once you exceed this limit the amount of Self Employment tax drops to 2.9%.
You could make an E-election to be treated as a S-Corporation. The one benefit of an S-Corporation is that the income would flow to you and not be subject to Self Employment Taxes. There would be an additional administrative burden associated with an S-Corporation. You would need to pay yourself a reasonable salary. This would require that you file the appropriate federal and state payroll tax reports (Form 941, 940, W-2, W-3 and state payroll tax reports). You would also need to file a separate tax return for the corporation (Form 1120S).
One benefit of forming the LLC is that you could put a large amount towards a qualified retirement plan. With a SEP plan you could contribute up to $53,000 to the plan. The amount is limited to the amount of earned income. The limitation is roughly 25% of the earned income. The earned income would be the net earnings of the LLC (if treated as a disregarded entity) or the S-Corporation wages.