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    4 Replies Latest reply on Mar 2, 2010 11:14 AM by wQk3.H.o

    Owner salary

    wQk3.H.o Newbie
      My husband has a small restaurant. Should I run a W2 for him? how much should I consider pay him? So he can show the income.
        • Re: Owner salary
          amspcs Ranger
          It is the responsibility of everyone to pay their fair share of taxes from their lncome,. So of course he should pay himself, and of course he should account for it properly in a business-like manner.
          You need to speak to an accountant and attorney in order to set up your business structure, accounting and payroll systems properly.
          If you derive income from the business and fail to declare it, eventually you'll need to talk to another kind of attorney.
          • Re: Owner salary
            dublincpa Scout


            1. a C Corporation or S Corp
            2. AND profitable
            3. AND draws/dividends/distributions are being taken
            then all but definitely.
            If no to #2 or #3, then maybe not.
            If no to #1 definitely no W-2 for sole proprietors, partners in a partnership or any LLC not taxed as corp or S corp.

            amspcs is correct though that taxes need to be paid one way or another. You should get professional assistance.
            • Re: Owner salary
              martin8558 Wayfarer
              I run a payroll firm we do payroll for up an coming small business we have the lowest rates in town we can process your payroll for 100 dollars a month