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Old 08-06-2010, 04:55 AM  
LaoTzu
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Join Date: Feb 2004
Posts: 350
S-Corp. Pay yourself a small but reasonable salary, but take dividends too. Do not take dividends too regularly or it can be considered regular compensation subject to social security and other taxes you can legally circumvent. You pay income tax on dividends since everything in the company goes to your personal finances at the end of the year.

Always work with a CPA.
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