A real-estate-flipping couple earning $250,000 annually missed $15,000 in tax savings because their accountant said an S-Corp wasn't worth it. Mark Kohler shows how splitting income into a $70-80k salary and distributions could have saved them thousands. If your accountant won't discuss S-Corp strategy, find a new one.
Chapters
This couple that had a little real estate business. They were flipping properties. She was a realtor as well. They were probably going to make about 250 grand that year. I taught the S Corp concept, and she goes, yeah. My accountant said I wasn't making enough because I had to take too much salary. It wasn't worth it. I said, you're making over 200 grand a year. You could have a payroll allocation of maybe 70, 80. You'd be saving over $15,000 and change. It was emotional. It was emotional for me because I knew they were getting bad advice and they were afraid to have the conversation with their advisor. People, you have got to be in this conversation. But if your accountant doesn't want to have that conversation, then you've got to ca. Captain your ship and get the heck out of there. Now, I've gotten a network of certified advisors all over the country that speak Mark Kohler. I don't want you to feel alone here because this can be a little daunting. So you want to have an advisor that understands this and they understand you. That's how you solve this problem.
