Know the ins and outs of ‘reasonable compensation’
Owners of incorporated businesses know that there’s a tax advantage to taking money out of a C corporation as compensation rather than as dividends. The reason: A corporation can deduct the salaries and bonuses that it pays executives, but not dividend payments. Thus, if funds are paid as dividends, they’re taxed twice, once to the […]
What is the right 401(k) for your business?
Most employers know the value of offering employees a tax-advantaged retirement plan, but the question is finding the right one. The most common plan of this type is a 401(k), but you may not be aware that there are a variety of types. Below is an overview of some of the most popular options: Traditional. […]