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Hi Michael. What do you recommend. I'm wanting to pay myself a salary and receive a w-2 at years end. Possible?
I'm being told that by having a LLC I'd be required to my quarterly taxes and receive a k1. Is that true.
Sorry to pay my quarterly taxes etc.
I understand...typically single-member LLC's are handled the way you've been doing it, but there are no laws against using a payroll companies to pay yourself that's entirely up to you
What my LLC is doing is providing skilled and unskilled labor to the Fire / Disaster restoration industry here in the Mid Atlantic area. I use causal labor and have only 1 full time employee who works most jobs.
okay, and you may use the payroll company to pay this employee as well
I also just did a govt contract as a sub to the GC. As you could imagine I have some difficulty with the insurance side of this as well.
I'm setting up quickbooks for this LLC now so it's no problem to employ myself and file a regular return based on my w-2?
OK. So what am I going to run into when I file the the LLC'S return
you'll file a sch C the same way and deduct all payroll deductions as an expense on it
also, if you have extra money at the end of the year make sure to take a bonus through payroll not just a check otherwise you'll receive a K1 for those amts
OK, Got it. My main purpose for doing this is that I'm looking at mortgage lenders requirements and want to make sure I'm not considered a self employed risky loan. I have perfect credit and have left the regular work force to be on my own. However with the tight lending situation I want to appear a normal risk. Does that make sense?
yes, banks typically look at paystubs ans previous tax returns
I've just sold several properties and am looking to grab a new mortgage and how I show my tax return is coming up so having paystubs and a regular return is required for best rates.
Ok great....You've been very helpful. Do you prepare returns in the state of VA?
No, I'm in NJ
okay, thank you and please don't forget to rate my answers, otherwise I'm not paid for them
I'm good. Have a great day and thank you for the clear answers. I'll do as you suggested. I'll give you the proper rating.......Thanks again.
I had one other question. I have a 20K market loss in 2012. I'm not showing income earned at this point on that return. Should I file a return with the loss on it anyway so I can use it for 2013?