LLC & Business Entity Tax
Sole proprietor vs. LLC vs. S-Corp — which saves you the most on taxes? These calculators show the real difference, not the marketing pitch.
Every calculator below is free, runs in your browser, and is updated with 2026 tax rates and limits. No signup, no email — just your answer in seconds.
LLC vs. Sole Proprietor Tax Calculator
LLC or sole proprietor? This calculator shows the actual tax difference — including self-employment tax, liability protection value, and filing requirements — for your specific income level.
S-Corp Tax Calculator
An S-Corp can save you thousands in self-employment tax — but only if the numbers work. This calculator shows your exact savings after FICA, salary, distributions, and state taxes.
Business Entity Tax Comparison Calculator
Sole proprietor, LLC, S-Corp, C-Corp — which entity saves you the most? This calculator compares all four side-by-side with your actual numbers.
S-Corp Reasonable Salary Calculator
The IRS requires S-Corp owners to pay themselves a "reasonable salary" before taking distributions. This calculator uses industry benchmarks to find your optimal salary.
LLC Tax Savings Calculator
How much can an LLC save you on taxes? This calculator compares your current tax burden as a sole proprietor vs. an LLC with S-Corp election — showing the real dollar savings.
C-Corp vs. S-Corp Tax Calculator
C-Corp or S-Corp? This calculator compares both structures side-by-side — including double taxation, QBI deduction eligibility, and the optimal salary/distribution split.
Business Entity Formation Cost Calculator
How much does it cost to form an LLC or corporation? This calculator shows the total cost including state fees, legal, registered agent, and annual compliance — by state.
Payroll Tax Calculator for Small Business
Hiring employees? This calculator shows the true cost of payroll — employee take-home, employer payroll taxes, FUTA, SUTA, and the total employer cost per employee.
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Frequently Asked Questions
Does an LLC save me taxes compared to a sole proprietor?+
A basic LLC (single-member) doesn't change your taxes — the IRS treats it the same as a sole proprietor. You still pay self-employment tax on all net income. The tax savings come when you elect S-Corp taxation for your LLC, which can save 15.3% on income above a reasonable salary.
When should I convert from sole proprietor to LLC?+
Form an LLC when: (1) you want personal asset protection (separates business and personal liability), (2) you're earning enough that the filing fees ($50-500/year) are worth it, (3) you want to appear more professional to clients, or (4) you plan to elect S-Corp taxation later.
How much can I save with S-Corp taxation?+
S-Corp saves you SE tax (15.3%) on distributions above your reasonable salary. Example: $200k net income, $100k salary → $100k in distributions avoids SE tax → saves about $15,300/year. But you're also paying yourself a salary, so the net savings is the SE tax on the distribution portion.
What is a reasonable salary for S-Corp?+
The IRS requires a "reasonable" salary based on your role, experience, and industry. Paying yourself $20k when you should earn $100k invites an audit. Most tax professionals recommend 40-60% of net income as salary. Too low = IRS risk. Too high = no SE tax savings.
Which business entity pays the least in taxes?+
It depends on your income level. Below $50k: sole prop or LLC is simplest. $50k-$150k: LLC with S-Corp election often saves the most. Above $150k: S-Corp usually wins. C-Corp (21% flat rate) can work for high-income businesses reinvesting profits, but double taxation makes it rare for solopreneurs.
What are the filing requirements for each entity?+
Sole Prop: Schedule C on 1040, self-employment tax. LLC: State filing + Schedule C. LLC (S-Corp): Form 1120-S, K-1, payroll. C-Corp: Form 1120, double taxation. S-Corp has the most compliance requirements: payroll, separate return, and annual state filings.
Why Use LLC & Business Entity Tax?
Sole proprietor vs. LLC vs. S-Corp — which saves you the most on taxes? These calculators show the real difference, not the marketing pitch. Every calculator is free, runs in your browser, and stores no data. Get instant, actionable results with detailed breakdowns and explanations.
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