Need to get some feedback on a concept that a friend of mine is
considering.  He's a graphic designer working for a company right now and
is considering switching to contract work.  Someone suggested that it would
make more sense tax-wise to form a S-Corp, pay himself as a W2 employee and
then claim the rest as corporate dividends.

Anyone else do this before?  I'm not an accountant and have suggested he
talk to one.  Unfortunately my own experience in the contract world is out
of date and I mainly did it as a 1099.

He's a good friend and I don't want to see him mess himself up.

Until Later!
C. Hatton Humphrey
http://www.eastcoastconservative.com

Every cloud does have a silver lining.  Sometimes you just have to do some
smelting to find it.


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