Are S Corp Owners Required to Take a Salary? S Corporation Compensation and Requirements
S corps are required to pay their owners a “reasonable compensation” through payroll as employees. Your business will pay FICA payroll taxes (7.65% of your salary) and you personally will pay FICA taxes (7.65% of your salary). S corp owners can draw money from the business by using shareholder distributions instead of dividends. Qualifying for … Read more