Business Entity Comparison Calculator
Compare LLC vs S-Corp vs C-Corp tax obligations to find the optimal structure.
Legal Disclaimer
This calculator provides general estimates only and does not constitute legal advice. Laws, regulations, and court procedures vary significantly by jurisdiction. Consult a licensed attorney in your area for advice specific to your situation.
Inputs
Results
S-Corp Total Tax
$60,240.00
≈ 5 years of state college
S-Corp Savings vs LLC
$8,954.33
≈ 9 smartphones
How to Use This Calculator
- Enter net business income and a reasonable owner salary for S-Corp comparison.
- Set your personal marginal tax rate (%) and state filing fee.
- Review LLC/Sole Prop Total Tax, S-Corp Total Tax, C-Corp Total Tax, and S-Corp Savings vs LLC.
- Use the comparison to evaluate which entity structure minimizes your overall tax burden.
How the result changes with Net Business Income
| Net Business Income | S-Corp Total Tax | S-Corp Savings vs LLC |
|---|---|---|
| $1,000,000.00 | $332,240.00 | $13,555.80 |
| $3,500,000.00 | $1,132,240.00 | $13,555.80 |
| $6,500,000.00 | $2,092,240.00 | $13,555.80 |
| $9,000,000.00 | $2,892,240.00 | $13,555.80 |
What each input means
- Net Business Income
- Annual net income from the business.
- Reasonable Owner Salary
- Reasonable salary for S-Corp owner (IRS requirement).
- Personal Tax Rate
- Your marginal personal income tax rate.
- State Filing Fee
- Annual state filing or franchise tax fee.
How this is calculated
Worked example, using the default values
- Identify Input Parameters4 parametersNet Business Income = 150000, Reasonable Owner Salary = 80000, Personal Tax Rate = 32, State Filing Fee = 500 = 4 input(s) provided
- Calculate S-Corp Total TaxS-Corp Total Tax60240 = $60,240
- Calculate S-Corp Savings vs LLCS-Corp Savings vs LLC8954.33 = $8,954.33
- Calculate LLC/Sole Prop Total TaxLLC/Sole Prop Total Tax69194.33 = $69,194.33
- Calculate C-Corp Total TaxC-Corp Total Tax59703 = $59,703
Engine last updated .
Related Calculators
The questions that sit next to this one — chosen by subject, including calculators filed under a different category.
Stock Option Value Calculator
Calculate intrinsic and estimated total value of stock options including tax impact.
Business LawFounder Equity Split Calculator
Calculate fair equity division between co-founders based on contributions, time, and investment.
Business LawBusiness Dissolution Calculator
Calculate asset distribution and costs when dissolving a business entity.
More in Legal & Professional.