You're an S-Corp, Now What? | Steps to Take After Becoming an S Corporation

How to Successfully Maintain Your S Corporation

So you followed everyone's advice and converted to an S Corporation... but now what?

Did you know there are certain rules and forms you must follow in order to maintain your s corp status?

And if you don't, the IRS will revoke your S corp status, and take away those tax benefits that come with S corporations.

In this video, I breakdown the requirements in order to successfully maintain your S Corporation and the forms that you need to file.

Watch to learn more.

Outline:
Intro: (0:00)
Recap of reasons to be an S Corp: (0:53)
Reasonable compensation: (1:47)
Quarterly payroll reports: (2:58)
Annual payroll reports: (3:38)
Forms W-2/W-3: (4:27)
Annual tax return: (5:31)
Bookkeeping: (6:07)
Bank account: (6:34)
Annual state fees: (7:08)

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Disclaimer: The information provided in this video is for informational purposes only and is not meant to take the place of professional legal, accounting, or financial advice. If you have any legal questions about this video or the subjects discussed, or any other legal matter, you should consult with an attorney or tax professional in your jurisdiction (i.e. where you live).

[andrewbahlman]

You are a wonderful teacher!! Great examples and explanations, I appreciate you taking the time to do this

[ZOEYANDFRIENDS]

what if you pay yourself under 1099? instead of W2?

[GojiCenter]

Love S corp videos. Very informative !

[kiantesmith]

Very detailed and easy to understand, you broke everything down so it sounds simple. I’ve watched plenty videos on this topic and this was the easiest to understand. Thanks😃

[FrancoJeffrey]

What is a reasonable compensation? Is there a certain percentage?

[Johamo]

Great video. My SMLLC was elected S corp late in the year. Until my approval letter came I was just re-investing everything back into my businesses.

How can I be compliant with the “reasonable compensation” rule if there’s no money in the bank, no quarterly taxes filed, and 1 owners draw recorded?

Your sage advice would be sooo helpful 😅

[HugeGains]

What would u suggest I'm self employed barber an I also have trading investments. Plus I would love to move my asset under the s.corp if possible

[MarcoDelgado]

So do payroll apps like quickbooks do all of this automatically or do I have to manually file everything quarterly and annually??

[CryptoQueen]

I did many draws on my S Corp including purchasing property, all they all considered excess distribution since this exceeds my basis

[lifewithtonylaingridstarr]

Yes a would like to know more about a reasonable compensation for myself with my s-corp

[texaslonghorns__]

Man I love your videos and how simple you break it down watched a 35 min video for what you taught me in under 9 min 🙏🏾👍🏾

[ArtieArtie]

Will a cpa handle all of this for me?
I find these things a bit overwhelming.

[watchthis]

Thank you for taking time to share this MUST NEEDED info. May u be highly blessed!

[doviecorporation]

What if no wages were paid to me as the only employee? I started my Corporation on December 14th, 2022.

[koko.mendez]

I have been racking my brain about this 🥴what is a "reasonable compensation"?

[tashiatruktsang]

I sell "new construction" houses and this is my first year. If I have more losses than profit because my house has not sold yet, do I still have to pay myself a "reasonable salary" even though my company is around -$500, 000 in losses and no profit yet until the house sells?

[danno]

Very good video with much insight. Thank You.

[fredfishbein]

Great Job. Thank you from Portland Oregon.

[deandramulligan]

What bookkeeping software do you recommend?

[yvonnefrancis]

I have an S corp since 2016... havent really operated since my husband died in 2017. Now im ready to go and need some advice are you available?