10/02/2026
Pulling cash from your business ≠ a paycheck 💸
• S-corp owners who work in the business generally need to pay themselves reasonable compensation through W-2 payroll
• Additional profits may be taken as shareholder distributions
• Distributions generally aren’t subject to payroll taxes, but basis and other tax rules matter
• Proper payroll and distribution planning can help keep your S-corp compliant and tax-efficient
Message us to make sure you’re paying yourself the right way.