Lets Get Fiscal

Payroll is back—but now it’s your problem. When your creative business grows from a sole proprietorship or single-member LLC into an S corporation, the IRS expects you to become your own W-2 employee. That means transferring money from your business checking account to your personal account is no longer a paycheck. In this episode, Anastasia and Myiesha break down when S-corp payroll kicks in, how to set a reasonable salary, why your “many hats” matter, and what happens when distributions go…

Show Notes

Payroll is back—but now it’s your problem. When your creative business grows from a sole proprietorship or single-member LLC into an S corporation, the IRS expects you to become your own W-2 employee. That means transferring money from your business checking account to your personal account is no longer a paycheck. In this episode, Anastasia and Myiesha break down when S-corp payroll kicks in, how to set a reasonable salary, why your “many hats” matter, and what happens when distributions go beyond profit. Think of your S-corp like a film crew: you’re the director, the producer, the editor, and sometimes the janitor. A W-2 salary only covers your core creative role, so we use the Many Hats Method to price all the jobs you actually do. We’ll also explain the correct order for getting money out—reimburse expenses first, run payroll second, then take distributions of profit. You’ll learn why too much salary can cost you extra Social Security and Medicare, why negative equity is a red flag, and why clean books make the whole conversation easier. Whether you’re a photographer, filmmaker, designer, or any creative running (or considering) an S-corp, this episode helps you set a salary the IRS won’t question and avoid the “I paid myself, so I’m fine” trap. ⏱️ Timestamps 00:00 Introduction 00:50 When Payroll Becomes Your Problem 02:58 I Paid Myself — Why Transfers Do Not Count 03:58 What Is Reasonable Compensation? 07:25 The Many Hats Method for Setting Salary 09:38 Distributions, K-1s, and Capital Gains 11:30 Your Equity Section and Balance Sheet Red Flags 13:10 Do Not Overpay Yourself, Either 14:40 Keep Clean Books and Get Help 15:40 Outro Why subscribe? Taxes for creatives don’t have to feel like a horror film with no script. Let’s Get Fiscal is the coffee-shop conversation that turns tax jargon into plain English, so you can run your creative business without the money anxiety. Every episode, Anastasia and Myiesha translate IRS rules into real-world scenarios for photographers, videographers, actors, filmmakers, directors, designers, and anyone building a business behind the work. Subscribe and the next money question won’t catch you off guard. Listen everywhere: Apple Podcasts: https://podcasts.apple.com/us/podcast/lets-get-fiscal/id1831050448 Spotify: https://open.spotify.com/show/08AjRNfqQJBdG1vPazii4Q?si=e625b34e37c141a8 Watch on YouTube: https://www.youtube.com/@letsgetfiscalpodcast Helpful resources: Got a question for the show? Submit it here: https://www.coterietax.com/qa Want to listen to more episodes? Start here: https://www.coterietax.com/podcast Need personalized help? Visit: https://www.coterietax.com/ What’s your biggest tax or money question right now? Drop it in the comments below—Anastasia and Myiesha read every comment and love helping with real-world situations. #SCorpPayroll #ReasonableCompensation #CreativeBusinessTaxes #SmallBusinessAccounting #SCorpSalary #LetsGetFiscal #TaxTipsForCreatives #PayrollForCreatives #BusinessFinances #CreativeEntrepreneur Produced, Edited, and Distributed by @PodBrosMedia https://podbrosmedia.com

What is Lets Get Fiscal?

Let’s Get Fiscal is the money podcast for creative entrepreneurs who want to keep more of what they earn and grow their business with confidence. Hosted by CPA and tax strategist Anastasia, each episode makes taxes, bookkeeping, and money management simple, practical, and even fun. We cover topics like tax deductions, small business finances, creative business strategies, and how to avoid costly mistakes—without boring jargon. Whether you’re a filmmaker, designer, artist, or small business owner, you’ll get actionable tips, real-world examples, and a few laughs along the way. If you want to stress less about money and focus more on doing what you love, this is the podcast for you.

[00:00] Myiesha Fisher: Guess what? Payroll is back, but now it is your problem. Let's talk about it. Let's get fiscal. [upbeat music] Mm-mm. Let's get fiscal. Make it make sense. Money moves smarter. When the numbers click. Hey. [laughs]

[00:22] Anastasia Aiello: [laughs]

[00:23] Myiesha Fisher: So payroll, it can get weird, and I think there's some mis, like, mis, like, ideas, I don't know, misdirection when you stop working for a W-2 and you go off on your own and you're like,"Ah, payroll's a thing of the past." Um, but then your business grows, and then the IRS is like,"Hey, you should be doing things about this." [laughs]

[00:45] Anastasia Aiello: [laughs]

[00:45] Myiesha Fisher: And payroll is back. How do we-

[00:48] Anastasia Aiello: Mm-hmm

[00:48] Myiesha Fisher: ... how do we even start with that? Like, how do you know when you need to run a payroll?

[00:52] Anastasia Aiello: A lot of times, you know, when you're a sole proprietor or a single-member LLC, that payroll piece is going to happen when you file your return.

[01:01] Myiesha Fisher: Okay. Okay.

[01:02] Anastasia Aiello: So that's that big payment for your Social Security and your Medicare.

[01:05] Myiesha Fisher: Mm-hmm.

[01:05] Anastasia Aiello: But then once the business grows even more and it starts to need to become its own entity, so now-

[01:14] Myiesha Fisher: Like separate of you

[01:15] Anastasia Aiello: ... it's filing-

[01:15] Myiesha Fisher: Mm-hmm

[01:15] Anastasia Aiello: ... its own tax return-

[01:17] Myiesha Fisher: Mm-hmm

[01:17] Anastasia Aiello: ... you know, which generally is going to be an S corporation-

[01:20] Myiesha Fisher: Mm-hmm

[01:22] Anastasia Aiello: ... then that's when that payroll piece needs to be handled on a W-2-

[01:26] Myiesha Fisher: Mm-hmm

[01:27] Anastasia Aiello: ... and it's no longer gonna be handled kind of within your personal return anymore. So that's kind of like the surprise. [laughs]

[01:35] Myiesha Fisher: [laughs] You still have to do payroll, but now you're in charge of both the employer and the employee.

[01:40] Anastasia Aiello: Yes. Yes.

[01:41] Myiesha Fisher: Mm-hmm.

[01:41] Anastasia Aiello: And a lot of times too, you know, people say like,"Okay, so I changed, you know, from a sole proprietor and I got myself an S corporation, so now I don't have to pay these, like, Social Security and Medicare taxes," and it's no.

[01:53] Myiesha Fisher: No. [laughs]

[01:56] Anastasia Aiello: No. [laughs] Unfortunately, they are always kind of going to be there. It's just the methodology in which they collect their money-

[02:03] Myiesha Fisher: Mm-hmm

[02:04] Anastasia Aiello: ... is going to be a little bit different. Um, you know, so-

[02:07] Myiesha Fisher: Yeah

[02:07] Anastasia Aiello: ... or at least, I mean, I guess we'll see what it looks like. But, uh- [laughs]

[02:10] Myiesha Fisher: They are always changing things, but we'll keep you up to date. [laughs]

[02:13] Anastasia Aiello: Yep. Yep. Right.

[02:14] Myiesha Fisher: Yeah.

[02:14] Anastasia Aiello: If Al Gore has been talking about it, you know, since him-

[02:17] Myiesha Fisher: [laughs]

[02:18] Anastasia Aiello: ... it's been an issue.

[02:19] Myiesha Fisher: Yep.

[02:19] Anastasia Aiello: I think it's gonna be, you know, something-

[02:21] Myiesha Fisher: Mm-hmm

[02:21] Anastasia Aiello: ... that, you know, we deal with as a society. But, um, for now, we are going to plan on continuing to pay all of the Social Security and Medicare, and so that either happens as you're a W-2 employee on your paycheck before you receive it, when you file your return if you are a sole proprietor or a single-member LLC.

[02:40] Myiesha Fisher: Mm-hmm.

[02:41] Anastasia Aiello: And then that kind of converts over to you being your own employer, and you kind of, like, circle all the way back to the beginning. [laughs]

[02:48] Myiesha Fisher: [laughs] Running that paycheck for yourself.

[02:50] Anastasia Aiello: Right.

[02:50] Myiesha Fisher: Yep. Mm-hmm.

[02:51] Anastasia Aiello: Right, and making sure. And so, like you said, a lot of people kind of get a little bit confused because, you know, um, say the,"Well, I paid myself."

[02:59] Myiesha Fisher: Mm-hmm.

[02:59] Anastasia Aiello: But really it's just transferring money from-

[03:02] Myiesha Fisher: From the business to you. Yeah.

[03:04] Anastasia Aiello: Yeah.

[03:04] Myiesha Fisher: Mm-hmm.

[03:04] Anastasia Aiello: From the business checking account to your personal checking account.

[03:07] Myiesha Fisher: Mm-hmm.

[03:08] Anastasia Aiello: And while that's okay when it's a single-member LLC or a sole proprietor, because that all gets filed within your same tax return-

[03:16] Myiesha Fisher: Mm-hmm

[03:16] Anastasia Aiello: ... that doesn't really mess anything up. Once you become an S corporation and you're filing a completely separate tax return, then we start to have some issues there.

[03:25] Myiesha Fisher: Yep.

[03:25] Anastasia Aiello: Um, and so you can still transfer money from your business to your personal checking account, but you're also gonna have to do this extra step of ensuring that you are taking care of your Social Security and Medicare requirements.

[03:39] Myiesha Fisher: Mm-hmm.

[03:40] Anastasia Aiello: So-

[03:41] Myiesha Fisher: On the... It's, it's a joint thing, right? Like, it's, like, on the amount of money that you have taken, but also we should be talking about, like, paying yourself, like, a reasonable salary.

[03:49] Anastasia Aiello: Mm-hmm.

[03:50] Myiesha Fisher: So, yeah.

[03:51] Anastasia Aiello: Mm-hmm. Mm-hmm.

[03:51] Myiesha Fisher: Like, it's kind of like a two-prong situation there. Yeah.

[03:54] Anastasia Aiello: Right. Right.

[03:55] Myiesha Fisher: Mm-hmm.

[03:55] Anastasia Aiello: So we kind of have a couple of different concepts. So when you take money out of the S corporation, the first bucket of money needs to be your reasonable compensation-

[04:10] Myiesha Fisher: Mm-hmm

[04:11] Anastasia Aiello: ... out of the business.

[04:13] Myiesha Fisher: Okay.

[04:13] Anastasia Aiello: But that also kind of implies, you know, if you don't take any money out of the business-

[04:18] Myiesha Fisher: Mm-hmm

[04:18] Anastasia Aiello: ... then there's no real requirement for the reasonable compensation because you haven't withdrawn anything.

[04:24] Myiesha Fisher: Yeah.

[04:25] Anastasia Aiello: And sometimes, you know, we have companies that are especially in a startup phase where that might be the case, or they, they're investing money into the business and they're not really taking any money out.

[04:36] Myiesha Fisher: Mm-hmm.

[04:37] Anastasia Aiello: Um, things like that are happening. So normally when we're doing the bookkeeping, we're also looking for, you know, what are the expenses that need to be reimbursed?'Cause first the business needs to pay back-

[04:47] Myiesha Fisher: Mm-hmm

[04:48] Anastasia Aiello: ... for everything that it used, then we need to talk about our reasonable compensation, and then lastly, we get into distributions.

[04:56] Myiesha Fisher: Gotcha. Yeah.

[04:57] Anastasia Aiello: Um, so that reasonable compensation piece, it is really going to be limited by how much you actually take out of the business during the calendar year.

[05:07] Myiesha Fisher: Gotcha.

[05:08] Anastasia Aiello: Um, and even if... You know, unfortunately, the way that I calculate it is, um, even if the business didn't profit that money, if you took it out, then it's gonna count towards your payroll. So that means it could be last year's profit, or it could be you taking a loan out of the business. I don't necessarily care where this money came from, but it's the fact that you took cash out of the business, and that's what's really going to, um, drive-

[05:40] Myiesha Fisher: Right

[05:40] Anastasia Aiello: ... your payroll number.

[05:41] Myiesha Fisher: Yeah.

[05:41] Anastasia Aiello: Um, and so that's one of the things to also consider because, you know, especially in businesses that have, like, large fluctuations where maybe one year they're making, you know, a million dollars, the next year they're making $300,000.

[05:52] Myiesha Fisher: Mm-hmm. Mm-hmm.

[05:53] Anastasia Aiello: You know? That's not an unusual fluctuation, but that does mean that if you're eating into that profit when you, from the prior year to fund your lifestyle for the current year- That payroll requirement is still going to be the same-

[06:09] Myiesha Fisher: Mm-hmm

[06:09] Anastasia Aiello: ... um, even if the business itself isn't necessarily profiting-

[06:12] Myiesha Fisher: Yeah

[06:12] Anastasia Aiello: ... 100% of that, so.

[06:14] Myiesha Fisher: Yeah, so just being very conscientious, conscientious, conscious-

[06:18] Anastasia Aiello: Mm-hmm

[06:18] Myiesha Fisher: ... of that.

[06:18] Anastasia Aiello: Because, I mean, even in that scenario, it's not necessarily that you're adding income tax because, you know, you're claiming income, but also claiming an expense, so they wipe each other out, but you are opening yourself up to additional Social Security and Medicare-

[06:32] Myiesha Fisher: Mm-hmm, mm-hmm

[06:32] Anastasia Aiello: ... that maybe you didn't necessarily need to pay. So that's kind of where optimizing the S corporation salary really comes into play.

[06:42] Myiesha Fisher: Mm-hmm.

[06:43] Anastasia Aiello: Um, and so optimizing the salary, I mean, I, I wouldn't necessarily, like, use that terminology because we're not optimizing anything.

[06:53] Myiesha Fisher: Okay. [laughs]

[06:53] Anastasia Aiello: We are claiming what actually is true and correct.

[06:59] Myiesha Fisher: Okay.

[07:00] Anastasia Aiello: So for example, what I like to say to a lot of my business owners is, if you were in a W-2 position, you would be working on your core competency 100% of the time.

[07:10] Myiesha Fisher: Mm-hmm.

[07:11] Anastasia Aiello: But now that you run a business, you have to do bookkeeping, you have to do sales, you have to do accounts receivable, you have to do accounts payable, you have to do... Like, sometimes if you own a studio, you have to be the janitor.

[07:23] Myiesha Fisher: Mm.

[07:24] Anastasia Aiello: You know, there's all of these other hats that you would have to wear that if you were in a large organization, there would be somebody else that would be hired-

[07:32] Myiesha Fisher: Doing those things

[07:33] Anastasia Aiello: ... to do that for you.

[07:34] Myiesha Fisher: Mm-hmm.

[07:34] Anastasia Aiello: Um, but in a lot of cases that the amount that, of money that they would be getting paid is less than what you would be getting paid at your core competency.

[07:45] Myiesha Fisher: Yeah.

[07:46] Anastasia Aiello: So we need to factor in what are all of the jobs that you're doing, and then what is that individual salary and how does that layer in? So that's sometimes where you see a salary where, you know, let's say you get paid $100,000 if you went W-2 somewhere, but only $75,000 if you have your own S corporation, and that's because we're adjusting to account for all of the different hats that you wear in the business-

[08:14] Myiesha Fisher: Mm-hmm

[08:14] Anastasia Aiello: ... and what the true replacement cost would be.

[08:18] Myiesha Fisher: Gotcha. Yeah. That makes sense.

[08:18] Anastasia Aiello: Because even if you paid yourself $100,000, the same as if you got a W-2 job, that $100,000 would replace only what your cer- You know, there would still need to be an assistant-

[08:31] Myiesha Fisher: Mm-hmm

[08:31] Anastasia Aiello: ... and a bookkeeper and all of these other things, um, you know, if you wanted to fully remove yourself from the business. So that's really what identifying your reasonable compensation looks like.

[08:44] Myiesha Fisher: Mm-hmm, mm-hmm.

[08:45] Anastasia Aiello: Um, so it's not always somebody gave me this offer, so that's what I'm gonna pay myself.

[08:51] Myiesha Fisher: Yeah, yeah.

[08:52] Anastasia Aiello: Um, or it's, it's also not, you know, I just wanna h- I wanna pay myself 50 grand so that I don't have to pay Social Security and Medicare, or I wanna pay myself $12,000 or-

[09:03] Myiesha Fisher: Mm-hmm, mm-hmm

[09:04] Anastasia Aiello: ... you know, $25,000, you know? Um, we do need to make sure that it's reasonable. It represents the services that you actually provide the company, how much you work at the company-

[09:15] Myiesha Fisher: Mm-hmm

[09:15] Anastasia Aiello: ... the location that you're in, and-

[09:18] Myiesha Fisher: Yeah

[09:18] Anastasia Aiello: ... you know. Um, but then, like you said, it's also limited by how much money are you actually removing-

[09:25] Myiesha Fisher: From the business

[09:25] Anastasia Aiello: ... from the company.

[09:26] Myiesha Fisher: Mm-hmm.

[09:27] Anastasia Aiello: Mm-hmm.

[09:27] Myiesha Fisher: Mm-hmm.

[09:27] Anastasia Aiello: Mm-hmm.

[09:27] Myiesha Fisher: Okay. So, like, let's say we have a person, they have, um, taken some money from the business, but they did, like, do the whole reasonable comp thing. They talked to their accountant. It may have been us.

[09:38] Anastasia Aiello: [laughs]

[09:38] Myiesha Fisher: Um, and, like, got all their tax planning stuff, and they did do a payroll. After they've run that payroll, or let's say that they, like, had been with us for a bit, they know how much they want, so we've been doing a payroll all year long. Once they've kind of hit that, like, payroll reasonable comp amount and the taxes based off of that, do they still need to be tracking as much about any additional distributions that they take from the business?

[10:00] Anastasia Aiello: Mm-hmm, mm-hmm, mm-hmm.

[10:01] Myiesha Fisher: Would they potentially have to pay more of that?

[10:03] Anastasia Aiello: Mm-hmm.

[10:03] Myiesha Fisher: Okay.

[10:04] Anastasia Aiello: Yep, yep. So, um, so once you breach your reasonable compensation and then that's when you get a distribution-

[10:12] Myiesha Fisher: Mm-hmm

[10:12] Anastasia Aiello: ... where you are, um, receiving profit-

[10:16] Myiesha Fisher: Gotcha

[10:16] Anastasia Aiello: ... from the company.

[10:17] Myiesha Fisher: Mm-hmm.

[10:18] Anastasia Aiello: Um, a lot of times that profit is going to be taxed as part of your K-1, so it's not an additional tax implication when you take the money out-

[10:27] Myiesha Fisher: Mm-hmm

[10:27] Anastasia Aiello: ... because you're going to be taxed on that profit at, you know, when you file your return regardless-

[10:33] Myiesha Fisher: Yeah

[10:33] Anastasia Aiello: ... of whether you took it or not.

[10:35] Myiesha Fisher: Gotcha. Okay.

[10:36] Anastasia Aiello: Um, so but you wanna hit your reasonable compensation, then we start getting distributions of profit. But again, if you take more than the profit of the company actually is, so again, in scenarios where you take out a business loan-

[10:51] Myiesha Fisher: Mm-hmm

[10:51] Anastasia Aiello: ... if you reached your reasonable compensation and then continued to take money from the company, then what you're doing is you're creating capital gains.

[11:00] Myiesha Fisher: Gotcha. So there's some other stuff going on there.

[11:01] Anastasia Aiello: Because it's, it's a return on your investment.

[11:04] Myiesha Fisher: Got you.

[11:06] Anastasia Aiello: Uh-huh.

[11:06] Myiesha Fisher: Okay.

[11:06] Anastasia Aiello: Uh-huh.

[11:06] Myiesha Fisher: Okay.

[11:06] Anastasia Aiello: Mm-hmm.

[11:07] Myiesha Fisher: Mm-hmm.

[11:07] Anastasia Aiello: And you're getting above and beyond.

[11:08] Myiesha Fisher: So you need to be careful about that too.

[11:09] Anastasia Aiello: Right.

[11:09] Myiesha Fisher: Mm-hmm.

[11:10] Anastasia Aiello: Because then you could potentially be taxed on something and then also have this capital gains tax and all of that fun stuff.

[11:18] Myiesha Fisher: Gotcha.

[11:18] Anastasia Aiello: So, um, it is one of those scenarios where you wanna be able to know what your equity section looks like.

[11:26] Myiesha Fisher: Yeah.

[11:26] Anastasia Aiello: And what is an equity section?

[11:28] Myiesha Fisher: [laughs] Yeah.

[11:28] Anastasia Aiello: You know, like at that bottom part of the balance sheet-

[11:31] Myiesha Fisher: Yeah. Mm-hmm

[11:31] Anastasia Aiello: ... that's shareholders' equity, and really understanding what those numbers represent-

[11:36] Myiesha Fisher: Mm-hmm

[11:36] Anastasia Aiello: ... making sure that they are true and correct because all of that information is going to be recorded over to the IRS at some point in time.

[11:44] Myiesha Fisher: Yep.

[11:45] Anastasia Aiello: So.

[11:45] Myiesha Fisher: Nope, that makes sense.

[11:46] Anastasia Aiello: Mm-hmm, mm-hmm, mm-hmm.

[11:47] Myiesha Fisher: I have definitely been in the, in the weeds of that, of like digging through those and being like,"No, wait a second. Some of this is actually probably a business expense," and then moving it off or, like, doing all the fun stuff. So yeah, no, that- That tracks.

[11:59] Anastasia Aiello: Mm-hmm, mm-hmm.

[11:59] Myiesha Fisher: So there's definitely some things you just wanna be careful of.

[12:02] Anastasia Aiello: But, like, you know, just-

[12:02] Myiesha Fisher: Yeah

[12:02] Anastasia Aiello: ... being able to know what it means when some of those numbers are negative.

[12:06] Myiesha Fisher: Yeah.

[12:06] Anastasia Aiello: Like that negative equity, because like I said, it's very easy to take out a business loan, and then, you know, if you're living through the business-

[12:14] Myiesha Fisher: Mm-hmm, mm-hmm

[12:14] Anastasia Aiello: ... then now all of a sudden you have all kinds of other stuff that kind of comes into play. So, um, really making sure you're understanding the ways that you can get money out of the S corporation. We also don't wanna go the opposite way, where, you know, every dollar that you take out of the S corporation is payroll, because just as much as you can get penalized for having too low of a salary, you can still get penalized for having too high of a salary-

[12:39] Myiesha Fisher: [laughs] Mm-hmm

[12:40] Anastasia Aiello: ... as well. Um, you know, because then if there's no business purpose to an expense, then it's no longer a business expense.

[12:47] Myiesha Fisher: Mm-hmm, mm-hmm.

[12:48] Anastasia Aiello: So, if it's not a business expense, then that's gonna drive up your profit. You pay income tax, but you've already paid Social Security and Medicare, and that's-

[12:55] Myiesha Fisher: Yeah

[12:55] Anastasia Aiello: ... you know.

[12:55] Myiesha Fisher: Mm-hmm.

[12:56] Anastasia Aiello: So, um, you know, it is very important to make sure that you are getting to that reasonable number that is actually true and correct, because too far one side or the other is going to kind of get you. So making sure that you understand what your salary is-

[13:13] Myiesha Fisher: Mm-hmm

[13:13] Anastasia Aiello: ... um, and also when you're required to pay that salary, because, again, we don't wanna pay anybody more than what they need at this time-

[13:21] Myiesha Fisher: Yep

[13:22] Anastasia Aiello: ... um, you know, is really going to be important when you're looking at kind of that, um, circling back to the beginning-

[13:29] Myiesha Fisher: [laughs]

[13:29] Anastasia Aiello: ... of doing payroll all yourself again.

[13:33] Myiesha Fisher: Yeah. But with more, uh, more things that you have to do.

[13:36] Anastasia Aiello: Whoo.

[13:36] Myiesha Fisher: Yeah. [laughs]

[13:37] Anastasia Aiello: But more. [laughs] But wait, there's more.

[13:40] Myiesha Fisher: [laughs] So just, like, sign it up for your W-4. Now you have to sign up as a business-

[13:44] Anastasia Aiello: Ugh

[13:44] Myiesha Fisher: ... to pay yourself, and then still do the W-4. So, yeah, no.

[13:48] Anastasia Aiello: Yep.

[13:48] Myiesha Fisher: It's like a whole thing.

[13:50] Anastasia Aiello: Yep.

[13:50] Myiesha Fisher: Um, I think, uh, we have, like, calls with, like, new clients and stuff like that, and I always, I do do, like, a,"Oh, okay," when they're like,"Yeah, I've been paying myself payroll. Like, I transfer this amount every blah, blah, blah." And I was like,"Oh, that does not count as that." Like [laughs] there's-

[14:06] Anastasia Aiello: Right

[14:06] Myiesha Fisher: ... a lot more steps here-

[14:07] Anastasia Aiello: Right

[14:08] Myiesha Fisher: ... that we're gonna need to do, and, like, let's get that dollar amount and know exactly how much you've done it and make sure that you're up to date. So I do think, like-

[14:14] Anastasia Aiello: Mm-hmm

[14:14] Myiesha Fisher: ... especially if, like, you've been doing it all yourself for a while, it's just making sure that your books are accurate, you have the accurate data, so that way when you are at this point and you're like,"Okay, maybe I throw in the towel at payroll and I get some help or whatever"-

[14:25] Anastasia Aiello: Mm-hmm, mm-hmm, mm-hmm

[14:26] Myiesha Fisher: ... you're able to give them a real good picture of what actually happened,'cause then it'll, like, like, coming to you, it'll m- help you then suggest how much they should process and then, you know-

[14:35] Anastasia Aiello: Mm-hmm, mm-hmm

[14:35] Myiesha Fisher: ... do all those things.

[14:36] Anastasia Aiello: Mm-hmm.

[14:36] Myiesha Fisher: But yeah.

[14:36] Anastasia Aiello: Mm-hmm.

[14:37] Myiesha Fisher: So again and again, we like to harp on it, but keeping it clean, keeping, like, records of everything that you got going on, and a nice, like-

[14:45] Anastasia Aiello: Mm-hmm

[14:45] Myiesha Fisher: ... somewhat easy... I w- I'll take an Excel if it has, like, the data in there.

[14:49] Anastasia Aiello: [laughs]

[14:49] Myiesha Fisher: Like, I'll take it. Just, yeah, like, just somewhat put together-

[14:52] Anastasia Aiello: Yeah

[14:52] Myiesha Fisher: ... situation so it's not a lot of guesswork, and yeah.

[14:55] Anastasia Aiello: Mm.

[14:56] Myiesha Fisher: Yeah.

[14:56] Anastasia Aiello: Mm. Mm.

[14:56] Myiesha Fisher: To kind of help out with that.

[14:57] Anastasia Aiello: Mm-hmm. Yeah. It's, um, I think the idea that everything comes with a cost.

[15:03] Myiesha Fisher: Mm-hmm.

[15:03] Anastasia Aiello: So even though all of the... there's so many tax savings-

[15:07] Myiesha Fisher: Mm-hmm

[15:08] Anastasia Aiello: ... for S corporations-

[15:10] Myiesha Fisher: Yeah

[15:10] Anastasia Aiello: ... there is still a cost to them.

[15:12] Myiesha Fisher: Yeah.

[15:13] Anastasia Aiello: Um, and so making sure that you're aware of that and able to account for that in all of your planning is gonna be pretty important.

[15:20] Myiesha Fisher: Yep, yep. Make sure it's beneficial to you before you do it- [laughs]

[15:24] Anastasia Aiello: [laughs]

[15:24] Myiesha Fisher: ... is always really good.

[15:25] Anastasia Aiello: So if you have any questions about payroll and what your reasonable compensation should be or what that is, feel free to give us a call.

[15:36] Myiesha Fisher: Bring those paper receipts with you. [laughs]

[15:38] Anastasia Aiello: [laughs]

[15:38] Myiesha Fisher: You can talk to us. [laughs]

[15:40] Anastasia Aiello: And we will talk to you soon.

[15:41] Myiesha Fisher: Bye.

[15:41] Anastasia Aiello: Bye. [upbeat music] That's it for this episode of Let's Get Fiscal.

[15:45] Myiesha Fisher: If this helped you see your business differently, follow or subscribe on your favorite podcast platform so the next episode is already waiting for you.

[15:52] Anastasia Aiello: And if a specific money question came up while you were listening, send it through the link in the show notes. Real listener questions help shape future episodes.

[16:01] Myiesha Fisher: You can also follow Let's Get Fiscal on social media for more tax tips, business finance breakdowns, and clips from the show.

[16:07] Anastasia Aiello: Until next time, keep building the business behind the work.