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by loumf
4145 days ago
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Establish a solo 401k and SEP (I believe it's too late for 2014, but hopefully you will have this "problem" in 2015). You can sock away money pre-tax, which will lower your bill now. I am not an accountant, but my wife is, and she thinks you could do a SEP for 2014 (but this is not accounting advice). http://www.irs.gov/Retirement-Plans/Plan-Sponsor/Simplified-... -- if she's right, you have until 4/15. You could also max out a Roth IRA. Go through your expenses for 2014 very carefully and think about what is a business expense. I very much doubt that forming any kind of corporation will help you tax-wise, especially if you make a decent regular salary. Most of the benefit comes from avoiding FICA on a portion of your salary, but you might already be maxing FICA in your day job, so this is meaningless. It's also going to be hard to claim that the "reasonable salary" for what you do is less than you make in your day job (rate-wise). |
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