Paula Burton is the Founder of Monkey Mind LLC, a successful e-Commerce company she launched in 2015 and operates while working full-time for an international non-profit organization. We interviewed Paula to share how she shifted her financial worries from a state of constant fear and dread to a state of ease.
The tax savings of hiring your child in your online business are a considerable benefit, but there are other benefits to hiring your child that you can’t put a price on.
Specifically, teaching your child or grandchild the value of money, as well as the importance of working hard and the reward of doing a good job.
Tax benefits aren’t the only advantage to being an S-Corp. Another little-known benefit is that you can set up health insurance under the S-Corp and deduct your insurance premiums as “self-employed health insurance.” Nice, right? But you can only do this if your ”self-employed health insurance” is included in your W2 wages. In other words, it’s important to get a tax professional’s advice in setting it up right.
A lot of eCommerce sellers are hit with an inconvenient truth when tax season rolls around: they haven’t spent any time thinking about the right type of business entity for their business. Without having made this decision, they are lost in a sea of paperwork, doing their best to guess which forms are their responsibility, and hoping that they aren’t making a dire mistake that will cost them money down the road.