how can I estimates the costs of running an LLC with S corp status

matisoff · #1 (**permalink**) 01-22-2009, 10:04 PM

Is is possible to estimate the costs of running (not forming) an SMLLC with S corp status based on the salary I am planning on paying myself and the amount of annual gross income. I want to know if it is worth the expense and effort to maintain a payroll and all other factors. I am planning on doing this myself although I would use a payroll service that charges about 15 / month.

My gross receipts are usually around 50,000 and I am planning on a salary of 30,000.

Thank you

TaxGuru · #2 (**permalink**) 01-23-2009, 11:12 AM

The cost of filing your tax return would be the most significant cost in my opinion but this may vary depending from State to State and your relationship to your CPA. However, it may range from $450 to $750.

The cost of an annual report may be as high as $50 such as in New Jersey.

It seems that you have filed to be treated as an S corporation, which is why I suspect that you are taking a salary. This would subject you to the minimum S Corporation tax that is applicable to your particular state, for instance in New Jersey State it is currently $520.