{
  "id": "v20-us-llc-vs-s-corp",
  "version": "20.16.0",
  "name": "LLC Versus S Corporation Payroll Worksheet — United States",
  "shortName": "LLC Versus S Corporation Payroll",
  "description": "Compare a narrowly scoped basic payroll-tax scenario only after wage base and reasonable compensation have been verified. USD planning view; stated limitations apply.",
  "category": "Finance",
  "categorySlug": "finance",
  "keywords": [
    "llc-vs-s-corp",
    "us",
    "business-finance",
    "business-metrics"
  ],
  "status": "live",
  "workStatus": "pending",
  "reviewStatus": "pending",
  "migrationStatus": "new",
  "engine": "native",
  "creator": null,
  "reviewer": null,
  "quality": {
    "availability": "live",
    "technicalReviewRecord": "/reviews/v20-us-llc-vs-s-corp.json",
    "qualifiedReview": "pending",
    "qualifiedReviewer": null,
    "qualifiedReviewDate": null,
    "formulaVersion": "20.16.0",
    "referenceCoverage": "references-listed",
    "releaseTestScope": "Catalog and regression checks are not a professional formula audit; consult release evidence.",
    "historicalMetadataDate": "",
    "historicalMetadataNotice": "The imported date is not evidence of a completed human review."
  },
  "notice": "Illustrative defaults are not local quotes or verified legal rules. Dated reference components and user-entered assumptions are explicitly distinguished. Professional review is pending.",
  "urls": {
    "page": "/us/llc-vs-s-corp/",
    "definition": "/us/llc-vs-s-corp/definition.json",
    "schema": "/us/llc-vs-s-corp/schema.json",
    "llms": "/us/llc-vs-s-corp/llms.txt",
    "legacyDefinition": "/us/llc-vs-s-corp/definition.json"
  },
  "queryExample": "https://askcalculators.com/us/llc-vs-s-corp/?businessProfit=120000&reasonableSalary=70000&socialSecurityWageBase=0&otherSocialSecurityWages=0&combinedSsRate=12.4&combinedMedicareRate=2.9&extraAdmin=2500",
  "queryParameters": {
    "businessProfit": {
      "label": "Business profit before owner compensation and incremental administration",
      "type": "money",
      "required": true,
      "default": 120000
    },
    "reasonableSalary": {
      "label": "Independently supported reasonable owner salary",
      "type": "money",
      "required": true,
      "default": 70000
    },
    "socialSecurityWageBase": {
      "label": "Confirmed applicable annual Social Security wage base",
      "type": "money",
      "required": true,
      "default": 0
    },
    "otherSocialSecurityWages": {
      "label": "Other wages using that wage base",
      "type": "money",
      "required": true,
      "default": 0
    },
    "combinedSsRate": {
      "label": "Confirmed combined employee/employer Social Security rate",
      "type": "percent",
      "required": true,
      "default": 12.4
    },
    "combinedMedicareRate": {
      "label": "Confirmed combined basic Medicare rate",
      "type": "percent",
      "required": true,
      "default": 2.9
    },
    "extraAdmin": {
      "label": "Incremental S corporation administration cost",
      "type": "money",
      "required": true,
      "default": 2500
    }
  },
  "inputs": [
    {
      "id": "businessProfit",
      "label": "Business profit before owner compensation and incremental administration",
      "type": "money",
      "defaultValue": 120000,
      "required": true,
      "min": 0,
      "max": 1000000000000,
      "step": 0.01,
      "prefix": "USD",
      "help": "Illustrative starting value; replace with your own evidence."
    },
    {
      "id": "reasonableSalary",
      "label": "Independently supported reasonable owner salary",
      "type": "money",
      "defaultValue": 70000,
      "required": true,
      "min": 0,
      "max": 1000000000000,
      "step": 0.01,
      "prefix": "USD",
      "help": "Illustrative starting value; replace with your own evidence."
    },
    {
      "id": "socialSecurityWageBase",
      "label": "Confirmed applicable annual Social Security wage base",
      "type": "money",
      "defaultValue": 0,
      "required": true,
      "min": 0,
      "max": 1000000000000,
      "step": 0.01,
      "prefix": "USD",
      "help": "Illustrative starting value; replace with your own evidence."
    },
    {
      "id": "otherSocialSecurityWages",
      "label": "Other wages using that wage base",
      "type": "money",
      "defaultValue": 0,
      "required": true,
      "min": 0,
      "max": 1000000000000,
      "step": 0.01,
      "prefix": "USD",
      "help": "Illustrative starting value; replace with your own evidence."
    },
    {
      "id": "combinedSsRate",
      "label": "Confirmed combined employee/employer Social Security rate",
      "type": "percent",
      "defaultValue": 12.4,
      "required": true,
      "min": 0,
      "max": 30,
      "step": 0.1,
      "help": "Illustrative starting value; replace with your own evidence."
    },
    {
      "id": "combinedMedicareRate",
      "label": "Confirmed combined basic Medicare rate",
      "type": "percent",
      "defaultValue": 2.9,
      "required": true,
      "min": 0,
      "max": 20,
      "step": 0.1,
      "help": "Illustrative starting value; replace with your own evidence."
    },
    {
      "id": "extraAdmin",
      "label": "Incremental S corporation administration cost",
      "type": "money",
      "defaultValue": 2500,
      "required": true,
      "min": 0,
      "max": 1000000000000,
      "step": 0.01,
      "prefix": "USD",
      "help": "Illustrative starting value; replace with your own evidence."
    }
  ],
  "outputs": [
    {
      "id": "seNetEarnings",
      "label": "Modeled sole-proprietor net earnings for basic SE tax",
      "format": "currency",
      "digits": 2,
      "currency": "USD"
    },
    {
      "id": "soleBasicPayroll",
      "label": "Modeled basic self-employment payroll taxes",
      "format": "currency",
      "digits": 2,
      "currency": "USD"
    },
    {
      "id": "sCorpBasicPayroll",
      "label": "Modeled combined basic payroll taxes on salary",
      "format": "currency",
      "digits": 2,
      "currency": "USD"
    },
    {
      "id": "difference",
      "label": "Basic payroll-tax difference less extra administration",
      "format": "currency",
      "digits": 2,
      "primary": true,
      "currency": "USD"
    }
  ],
  "formula": {
    "expression": "basic SE payroll scenario uses 92.35% of entered self-employment profit; compare applicable capped Social Security and uncapped basic Medicare with salary payroll.",
    "note": "Inputs are converted to canonical units before evaluating this stated formula."
  },
  "examples": [
    {
      "label": "Illustrative defaults; required verification checks remain unconfirmed",
      "inputs": {
        "unitSystem": "imperial",
        "businessProfit": 120000,
        "reasonableSalary": 70000,
        "socialSecurityWageBase": 0,
        "otherSocialSecurityWages": 0,
        "combinedSsRate": 12.4,
        "combinedMedicareRate": 2.9,
        "extraAdmin": 2500
      }
    }
  ],
  "sources": [
    {
      "label": "CFPB loan-estimate explanation",
      "url": "https://www.consumerfinance.gov/owning-a-home/loan-estimate/"
    },
    {
      "label": "NIST unit conversion guidance",
      "url": "https://www.nist.gov/pml/special-publication-811"
    }
  ],
  "publicSlug": "llc-vs-s-corp",
  "namespace": "us",
  "countries": [
    "us"
  ]
}