SCorpMath

SCorpMath is a free educational tax calculator toolkit for U.S. self-employed business owners, freelancers, 1099 contractors, and LLC owners. It helps users estimate rough self-employment tax and S-Corp payroll tax differences before discussing assumptions with a qualified tax professional. It includes S-Corp, Schedule C vs S-Corp, self-employment tax, 1099 vs W-2, and reasonable salary worksheet pages. It is not tax, legal, accounting, payroll, or financial advice.

SCorpMath estimates potential tax savings for S-Corporations by comparing self-employment tax under sole proprietorship or LLC treatment with S-Corporation salary and payroll tax assumptions. It serves as an educational tool, guiding users through potential tax implications without providing personalized tax advice. Users can input their variable business data and receive a rough estimate of tax differences to discuss with tax professionals. Users enter their annual net business profit, chosen salary assumptions, and estimated admin costs. The calculator processes these inputs to provide a rough estimate of S-Corp payroll taxes versus self-employment taxes, minus admin costs. Updates occur in real-time within the browser, and results are not stored. Transparent assumptions are displayed concerning various inputs used in calculations. SCorpMath is designed for self-employed individuals and business owners considering an S-Corp structure. It assists those needing quick educational estimates regarding tax savings implications under varying profit and salary scenarios. Users, especially those unfamiliar with tax intricacies, can benefit from the clear comparisons and useful warnings regarding assumptions.