Compensation for single member

How does the single member take compensation? Is he or she an employee of the llc or do they take draws similar to a sole proprietor?

Answer

The sole member of an LLC not taxed as a corporation should take draws similar to a sole proprietor and not as a W-2 employee.

Comments for
Compensation for single member

Average Rating starstarstarstarstar

Click here to add your own comments

Apr 02, 2009
Rating
starstarstarstarstar
SINGLE MEMBER PAID AS EMPLOYEE
by: Anonymous

what happens if the single member has been paid as an employee as well as takes draws

Click here to add your own comments