This is a YouTube video titled "Hire Your Kids, Not Your Spouse #doctor #business" containing a monologue or talk discussing the tax implications and considerations of hiring family members, specifically comparing hiring children versus a spouse, with a focus on payroll taxes and Social Security benefits. The speaker explains why hiring a spouse may not always be beneficial from a tax perspective.
Hire your kids and not your spouse. The problem is, people don't realize this. They just assume that there's some awesome tax benefit to hiring your spouse. Well, there is a cool tax benefit, right? You can have a 401k contribution for them, right? So that's cool. And also, your spouse might be able to get some, you know, years toward their Social Security benefit, and that can help. And. But truthfully, the only reason to hire your spouse is because you need the help and your spouse is willing to do it cheaper than somebody else is, you know, or they want to do it or whatever, right? But what you don't realize is there is a cost to hiring your spouse, but you're gonna have to pay the payroll taxes for them, right? Most docs, they have income that's above the wage limit for Social Security taxes. So if they make more money, they don't have to pay Social Security tax on it. Their spouse benefits from that because they're eligible for half of their benefit, right? But if you start paying your spouse and they're starting to zero income, all their income is subject to Social Security tax.
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