WP166 | What Should I Pay Myself as a Practice Owner with Barry Roach
Hi friends! Whitney here — and today’s Wise Practice episode is one every single practice owner needs in their back pocket. Whether you’re brand-new to private practice or scaling into a thriving group, the same question always surfaces: “What should I actually pay myself?”
It sounds simple… until taxes, entity types, self-employment rules, “reasonable salary” requirements, and quarterly payments make your head spin. That’s why I brought on someone who makes money talk feel human — Barry Roach Jr., enrolled agent and owner of Core Accounting & Consulting Group.
Barry has spent years helping therapists understand their numbers, strengthen their financial foundation, and navigate tax decisions with confidence. And in this episode, he breaks down:
✨ When (and when NOT) to elect S-Corp status
✨ What “reasonable salary” really means — no guesswork
✨ The mistake new practice owners make when paying themselves
✨ How to avoid a painful April tax bill
✨ The simple formula for deciding what to take home today
If you’ve ever wondered whether you’re paying yourself too little, too much, or totally wrong… this episode will save you stress, money, and confusion.
Trust me — you’re going to walk away feeling empowered and clear on your next steps.
You Can’t Always “Pay Yourself a Salary”
Early in private practice, most owners operate as sole proprietors or single-member LLCs. In both of these structures, the business is taxed the same way — through your personal tax return.
In this stage:
You cannot pay yourself a salary
You pay taxes on your net profit, not on what you withdraw
Any money you take from the business is considered an owner distribution
This means you owe taxes on your profit, whether or not you actually move that money into your personal account. This is often where new practice owners feel confused or caught off guard.
Understanding Self-Employment Tax
In addition to regular income tax, practice owners pay self-employment tax, which covers Social Security and Medicare. This tax is 15.3% and is paid on top of income tax.
When federal, state, and self-employment taxes are combined, it’s common for practice owners to owe a significant portion of their profit in taxes. This is why planning ahead — and setting money aside consistently — is so important.
A conservative and commonly used approach is to save around 40–45% of your profit for taxes. This isn’t exact for everyone, but it helps prevent under-saving and year-end stress.
When an S-Corporation Can Make Sense
As your practice becomes more profitable, you may have the option to elect S-Corporation status. This is not a new business entity, but a tax election that allows owners to pay themselves differently.
An S-Corp can be beneficial when your practice is generating consistent profit, typically somewhere in the $60,000–$80,000 range or higher. Before that point, the additional costs often outweigh the benefits.
With an S-Corp:
You pay yourself a reasonable salary through payroll
Remaining profit can be taken as distributions
Distributions are not subject to self-employment tax
This structure can result in meaningful tax savings, but only when implemented at the right time.
Why “Too Early” Can Cost You Money
Electing S-Corp status too soon can actually increase expenses rather than reduce them. Payroll services, additional tax filings, and administrative costs can quickly cancel out any potential tax savings.
This is why S-Corp elections should always be evaluated based on profit, not revenue — and ideally with guidance from a tax professional.
How to Determine a Reasonable Salary
One of the most misunderstood parts of S-Corporations is the idea of a reasonable salary. The IRS doesn’t provide a single formula, which leads many owners to guess — or rely on oversimplified rules.
A more thoughtful approach is to look at the many hats you wear as a practice owner.
Most owners spend time in multiple roles, such as:
Providing therapy services
Administrative work
Marketing and outreach
Bookkeeping or payroll
Leadership and management
Each role has a different market value. If you were hiring others to do this work, you wouldn’t pay the same rate for every task. A reasonable salary reflects a blended rate based on how your time is actually spent.
This approach is not only more defensible, but often results in lower payroll costs and better tax outcomes.
Quarterly Taxes and Safe Harbor Rules
Unlike W-2 employees, self-employed practice owners don’t have taxes withheld automatically. To address this, the IRS requires quarterly estimated tax payments.
The goal is to pay taxes throughout the year rather than all at once. If you don’t pay enough, you may face penalties.
One way many owners manage this is by using safe harbor rules, which allow you to avoid penalties if you pay:
90% of the current year’s tax, or
100% of the prior year’s tax liability
Understanding these thresholds helps owners plan with more confidence and avoid surprises.
Partnerships Are Different
If your practice has more than one owner and has not elected S-Corp status, the business is typically taxed as a partnership.
In this structure:
Owners still cannot be paid a salary
Compensation is handled through guaranteed payments
Taxes are paid based on profit allocation
Partnership taxation adds another layer of complexity, making professional guidance especially important.
Paying Yourself Is a Leadership Decision
How you pay yourself isn’t just a tax decision — it’s a leadership one. Paying yourself appropriately supports sustainability, reduces burnout, and allows you to lead your practice with clarity instead of anxiety.
When owners understand their numbers, they can make decisions rooted in wisdom rather than fear — and that impacts everything from hiring to growth to long-term stability.
Barry Roach’s Resources
Links and Resources
Join the Wise Practice Membership Community
Learn More about Wise Practice Consulting
Connect with Wise Practice on Instagram
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What Should I Pay Myself as a Practice Owner with Barry Roach _ WP 166
[00:00:00] Whitney Owens: Hi, I am Whitney Owens. I'm a group practice owner and faith-based practice consultant, and I'm here to tell you that you can have it all. Wanna grow your practice, wanna grow your faith, wanna enjoy your life outside of work, you've come to the right place. Each week on the Wise Practice Podcast, I will give you the action steps to have a successful faith-based practice while also having a good time.
[00:00:25] Now, let's get started.
[00:00:29] Jingle: Where she grows your practice and she don't play. She does business with a twist of faith. It's Whitney Owen and Wise Practice Podcast. Whitney Owen and Wise Practice Podcast.
[00:00:48] Whitney Owens: Hey friends, and welcome back to The Wise Practice Podcast. I'm your host Whitney Owens. We are on our final episode of 2025. It has been a year, at least it's been a year for me. I hope that you've had a good year. I am greatly looking forward to 2026, uh, as it's been a year transition for me in my practice.
[00:01:06] So I am happy for new beginnings, but I hope that you have enjoyed your year. You might be traveling today. You're taking the time to listen to the show, so I greatly appreciate it. Or maybe you're getting back and caught up as you're cleaning your house and putting away decorations, whatever it is you're doing.
[00:01:23] I really appreciate you taking the time to listen to this show. Probably the same with you as it is for me. The end of the year always just kind of brings me back to the things that matter, right? It's a time of reflection. Time is slowing down. You know, not just focusing on did I hit my revenue and what were my goals, but really thinking about the people that matter, the conversations that were important, the ways that I was transformed through my work.
[00:01:47] And as I look back on that, I just wanna give appreciation here at the beginning of this last episode to say how much I've loved the Wise practice community, how much you guys mean to me, and how grateful I am to have you in my life, and to be able to lead this community. A dream that I had a long time ago, and if it weren't for each of you, it wouldn't be where it is.
[00:02:07] And you take the time to listen to the podcast, read the emails. Maybe you're in the membership community, maybe you've come to the summit. Thank you for all the ways that you invest in yourself, in your practice, and in this community. So as we get into this last episode, I thought a good year to close out the year would be talking to an accountant.
[00:02:25] Right, because we're thinking about our money as we make decisions when we're ending a year, we're going into the new year. So today's episode is gonna tackle a really important question that I hear from practice owners, which is, what should I pay myself? Right? So this question comes up for solo owners just trying to figure out what to pay themselves.
[00:02:42] I also hear it from group owners that are scaling, like, what should I be paying myself as my group grows? And just all the transitions. So it's rarely a simple answer, as you know, and everyone has a different way of thinking about it, because the right approach really does depend on your own income desires, what your budget is for your family, what phase of practice you are in, the structure of your practice.
[00:03:04] W twos 10 99. Your goals and how you think about stewardship and sustainability. And we also are gonna get into the episode a little bit about S corp. So that might be something else that you think about. And business entities and all those things are gonna impact the way that you pay yourself. So today you're gonna enjoy my interview with Barry Roach.
[00:03:23] He is an enrollment specialist in an accountant, so he is really gonna bring it home for us as therapists and talk a lot about compensation, taxes, financial structures, all that kinda stuff. So you were in. For learning a lot. But before we get into that, I wanna give you a little sneak peek into January.
[00:03:39] 'cause I'm excited about what I'm gonna be doing on the podcast for the month of January. I know that the last. Few months really have been a lot of interviews. In fact, I have to really stack 'em up as I go through the summit, which was back in October, so that I have a time of recovery. So I had a lot of interviews I did, and they were all really great.
[00:03:58] But I realized that I haven't come and spoken in your ears by myself in a while. So I want January to be a season where we slow down a little. And I'm gonna bring four episodes really focused on you, faithfulness, leadership, marketing, and money. These are the topics that I hear from you guys a lot. And so I kind of wanna bring it home for, so I'm gonna be doing a four part series, stay in the course, faithful leadership in a practice that ebbs and flows.
[00:04:29] So this is gonna be for anyone where they are in their season of practice. 'cause all of us have big decisions to make. Things definitely ebb and flow. You know, as a business owner and as a therapist, you never know what kind of day you're really gonna have. So we're gonna focus on leadership, stability, faithfulness, decision making, financial, and others, especially in seasons when things feel uncertain.
[00:04:52] So I'm looking forward to having that series and that time with you. So be on the lookout for those coming up in January. So this conversation with Barry though is gonna fit beautifully as we kinda move into how to pay ourselves and thinking about that. So I'm excited to bring you episode number 166.
[00:05:10] What should I pay myself as a practice owner?
[00:05:19] Hello friends, and welcome to the Wise Practice Podcast. I have got Barry Roach Jr. Here with me today. He's an enrolled agent and owner of Core Accounting and Consulting Group. He's worked in accounting since a young age and now focuses on helping therapy practice owners build understanding of their finances and navigate the complexities of tax planning and compliance.
[00:05:40] Barry combines years of hands-on experience with the practical approach style to make financial topics clear and less intimidating for us business owners. His goal is to provide education and insight to empower therapists to run healthier, more sustainable practices. Well, Barry, thank you for taking the time to be on the podcast today.
[00:05:58] Barry Roach: Oh, thank you for having me.
[00:06:00] Whitney Owens: Yeah. And so before we got going, you were telling me a little bit about your backstory that you've been in accountant for some time and more recently became, you know, in love with great therapists in the work they're doing. So could you talk a little bit more about how you kind of got pulled into the world of therapy as an accountant?
[00:06:16] Barry Roach: Yeah, so I've been doing accounting since a very young age, and I've been working with a multitude of different businesses, individuals over the years, and I've been trying to find a particular area to kind of niche down into in order to find a group that I can really focus on and really help. And you know, my son is actually in therapy, so I will see his therapist each and every week.
[00:06:41] So it. Kind of seemed like a good fit, you know, after talking to him how I could maybe benefit different practice owners throughout the country. So it seemed like a very great opportunity for both myself and the business owners that I can help.
[00:06:58] Whitney Owens: Yeah. Awesome. Awesome. And if you could share just kind of a little bit about yourself.
[00:07:02] Where are you located? Just so we get to know you.
[00:07:05] Barry Roach: Sure. So I am from central Pennsylvania. My, I live just north of Harrisburg and the office is towards the southern part of Pennsylvania, so right above the Maryland border. Um, I went to Susquehanna University, central Pennsylvania. I'm local. I don't really travel too far, so I stay close to home.
[00:07:26] Whitney Owens: Yeah. Well, hey, sometimes that's a good thing, right?
[00:07:29] Barry Roach: Yep.
[00:07:30] Whitney Owens: Yeah. Well, the question we're really gonna tackle today, which has got some complex parts to it, is what should therapy practice owners pay themselves? And I actually got that question this week from a practice owner, and I was like, oh, this is the perfect time for Barry to come on the show and talk about this.
[00:07:48] So how, how do you wanna start with tackling this topic?
[00:07:52] Barry Roach: So there's a lot of different ways that you can go at this and you can go at the simplest form, if they are not an S-corp, if they're just a sole proprietor or a single member, LLC, they technically can't pay themselves. So we can start there and then, you know, upgrade to when they can actually pay themselves a salary if you'd like.
[00:08:12] Whitney Owens: Yes. I'm actually already interested, so go ahead and tell me.
[00:08:15] Barry Roach: Okay. Part. Okay. So you have different designations when you start your company. At the simplest form, you can be a sole proprietor. It means you're just operating as you, as your business. You, I recommend having a separate bank account, but you don't have a separate entity.
[00:08:30] You're not an LLC, you're not a corporation. Uh, you also have where you can step up into a an LLC, and most people would start as a single member, LLC. Those two types of businesses are taxed the same. It's gonna be on your Schedule C, on your personal tax return. So when you file your taxes, you're gonna claim all your income and expenses.
[00:08:50] You are not going to be eligible to pay yourself a salary at this point in time. You pay income tax on what your business profit is. You're going to pay both income tax, which is gonna be, you know, 10%, 12%, 22%. But then you get that pesky little self-employment tax, which is your social security and Medicare.
[00:09:11] That's a big one that people get hit with and they're surprised with in their first year. It's 15.3%, so grand total. You know, when you run through and you see business owners, when you include state and local taxes, around 43% in income tax when you throw that in there. So it, it ends up being a rather large amount.
[00:09:33] So that's your most simplest form. Now, if you are incorporated or if you are an LLC. You have the option to be taxed as an S corporation if you make that election. That's not necessarily, that's more of an election as an LLC. You don't have to do any new types of filings. You fill out a form and you say, Hey, I'd like to be taxed as an scorp.
[00:09:56] The reason that that is beneficial is you get to kind of bypass some of that self-employment tax, that 15.3%, and you're now able to start paying yourself a salary. You're no longer taxed just on those business profits. So basically what happens is under that lower level as a single member, LLC or a sole proprietor, your tax on, say your business has a hundred thousand dollars in profit, you're taxed on net full hundred thousand dollars.
[00:10:24] Now, if you are being taxed as an S corporation, say your business has the same a hundred thousand dollars profit. You can go through and if we determine that you are reasonable salary, the IRS doesn't give you an actual definition of reasonable salary. There's many ways to go about it, but if your reasonable salary is, say, $70,000 for the year, you would pay yourself with a paycheck, $70,000.
[00:10:49] You would pay your regular income taxes just like you would have withheld from any other paycheck if you're working for another employer, but then you have the ability to take out. What are called distributions, and they're basically distributions of your business profit. Those are only subject to income tax.
[00:11:06] They are not subject to that 15.3%. So the real benefit on that is at $30,000 a year in a salary in this situation, you're saving yourself $4,500 in that self-employment tax by taking it out as a distribution and being taxed as an ES corporation. And that's every year, not just one time.
[00:11:28] Whitney Owens: Hmm. That's, that's big.
[00:11:31] All right. I've got lots of questions for you. Sure. This is great. Okay, so let's go back a few steps and how, let's say there's a practice owners newer in private practice, they have their own business, and let's say the business is bringing in $60,000 a year total. Right. How, how would you recommend them figuring out what to pay themselves as the practice owner?
[00:11:56] Barry Roach: So are we saying that's their gross revenue or that's what's coming in as a profit?
[00:12:00] Whitney Owens: Gross revenue, small practice, you know, growing. Okay. Yeah,
[00:12:05] Barry Roach: so when you're seeing, I normally see that it's beneficial to start looking at an S Corporation election around 60 to $80,000 in profit depending on what your, your state regulations are and your additional filing costs are.
[00:12:19] So at $60,000 in gross revenue. You're probably still going to be an individual being taxed as a sole proprietor or as a single member, LLCI most likely wouldn't make the recommendation to make that S corporation election that can actually harm you because you could have to pay more in tax that way.
[00:12:38] Whitney Owens: So what would be the re, do you have any kind of recommendation on what they should pay themselves? Because they're like looking at their expenses, I gotta pay for taxes. Like they don't know what to walk away with.
[00:12:48] Barry Roach: So any money that they take out of that business. Is going to be called distribution. So they're not necessarily paying themselves a salary that ends up having some type of tax consequence.
[00:12:59] So if they have a gross revenue of $60,000, but they have expenses of, let's call it, you know, $10,000 because they're working from home, you know, doing the TE telehealth. So they have $50,000 in profit, they're paying tax on that $50,000. Whether that money comes out of the bank account or not, that's what they pay tax on.
[00:13:19] So they can distribute whatever they need to in order to pay their, you know, their bills personally, financially, whatever they want to deem as their, you know, quote unquote salary, but it's not legally a salary. So they have the option to pull what they want out of there.
[00:13:36] Whitney Owens: Yeah, I think some practice owners feel uncertain how much to pull out, like, and as I kind of am listening to you, it sounded like decreasing your expenses is helpful and then kind of taking that amount and maybe doing like a 50 50, that way you're saving for your taxes.
[00:13:51] 'cause it sounds like taxes would be high.
[00:13:53] Barry Roach: Yeah, I would say in this scenario, you probably want to save about 43% of your profit. As a safe estimate to pay taxes. And then after that you kind of have that leftover and that's what you have left to potentially pay yourself or keep in the business in order to invest it.
[00:14:10] So, you know, if you're saying $50,000 in profit there, you know you're putting away $20,000 ish for taxes. So you have another $30,000 to either invest back into the business or to put in your pocket to pay for your personal expenses.
[00:14:26] Whitney Owens: Great. Okay. And let's go back to the idea of the S corp. 'cause I always find it, I kind of feel like I understand, but I find it confusing still.
[00:14:34] Well, you said you would recommend an S corp. When you're at 60 to 80,000, are you saying profit 60 to 80,000 or like gross revenue? 60 to 80,000.
[00:14:44] Barry Roach: Yes. So this is a profit based, that's where you end up saving that. So somewhere between 60 and $80,000 worth of profit is where we start to see it be a benefit.
[00:14:54] For a tax saving standpoint for people to make that election? Yes.
[00:14:57] Whitney Owens: Mm-hmm. And when you say profit, does that include the money that the owner's paying themselves?
[00:15:03] Barry Roach: So that's before the money that's being paid to themselves. So just strictly your gross revenue that you're bringing in for your services, minus your expenses that you're paying, such as rent or utilities or anything like that.
[00:15:16] Whitney Owens: Okay. And then you said it wouldn't be good to do it too early. What's, what's the problem with doing S Corp when you're not making as much?
[00:15:26] Barry Roach: So you can actually lose some tax benefits as when you make that S Corporation election and you have additional costs that end up outweighing any potential benefits.
[00:15:38] You have an additional filing fee for another tax return, you have to run payroll. Either you're doing it yourself or you're paying a third party service to run that payroll for you, so you have additional out-of-pocket expenses that really chew through those potential savings as well.
[00:15:53] Whitney Owens: Mm-hmm. Okay. All right, so then let's say you've got a owner who's an S corp.
[00:16:00] They've already done their election. Let's talk about how do you determine a reasonable salary, you know, for the words of the government.
[00:16:08] Barry Roach: Yep. So they don't wanna tell you exactly how to do that. And in practice, a lot of accountants will tell you, look at your profit, and then let's say 40 to 60% of that, depending on how aggressive you wanna be, we're gonna call that your salary.
[00:16:23] That's not necessarily how you wanna do that. It's not an IRS rule, even though that's what a lot of people do in common practice. The best way to do that is actually something we refer to as a many hat strategy. As a business owner, you do many different job tasks throughout the week, so you can handle the work, your primary work as a therapist.
[00:16:46] You're also going to be dealing with maybe some marketing you're gonna be doing, dealing with some customer service, some administrative, some bookkeeping, some payroll, all of those different things. And if you were to hire different people to do those different jobs, you wouldn't pay them all the same salary.
[00:17:05] Jingle: Correct. So
[00:17:05] Barry Roach: each, each one of these jobs is gonna come with a different rate of pay. So you are limited to up to 2080 hours per the IRS rule. And what we would do is we take what you do in a given week, as long as your weeks kind of run the same throughout the year. And we do this on a percentage base. So you know, if you're doing 25% of the, well, let's call it 50% of the work of your actual week is in session, you know, 50% of that we're going to allocate.
[00:17:33] 50% of your total wage to a therapist wage, and then if you're doing other things in smaller batches of payroll or bookkeeping or marketing, we're going to allocate a dollar figure to that as well. You can try and come up with this by doing a little bit of research. You can do national averages, you can do local, local averages for these different things.
[00:17:58] But that's how we go through. And then we do a calculation and kind of annualize that. So if you're paying yourself, I don't know, let's say $40 an hour would be reasonable in your area as a therapist, 2080 hours a year, call that $80,000 a year for a therapist salary, you know, for a full year. But only 50% of the time is being spent as a therapist doing the actual in session.
[00:18:24] Let's save $40,000 of your salary. Is a therapist salary. And then let's say everything else, we're gonna pay you at, I don't know, $20 an hour for the administrative tasks that you're doing. So we have another half a year at that, another thousand hours a year. So another $20,000 there. Your salary is $60,000 instead of $80,000 as a therapist, because you have those smaller, less expensive tasks that are being handled.
[00:18:53] Whitney Owens: Yeah. You know, I've never really thought about it like that, but I appreciate you saying that because it's definitely different things. And even as I've grown as a practice owner, I often time audit where I go look at my time and I look at what am I spending on, and I'm really into traction, which is a EOS model of running a business as you grow.
[00:19:14] And one of the things it says is, as the business owner, if you're at that phase, don't do anything less than $25 an hour. Like you need to hire out for that. And so hearing that example that you're using, it kind of brings me back to that, of me thinking about all the hats I'm wearing and what are the ones I need to delegate out, and what are the ones that I should continue doing?
[00:19:33] And yeah, you're really paying yourself for all those different levels.
[00:19:37] Barry Roach: Absolutely. Mm-hmm. And that's, that's where your tax savings can come in first. You have compliance, you have to make sure you pay yourself the right amount. But if you overpay yourself. You end up costing yourself extra money in taxes that you don't need to, you can put that in your pocket and send it instead of sending it to the IRS.
[00:19:54] Whitney Owens: Mm-hmm.
[00:19:55] Barry Roach: So, you know, identifying that will end up benefiting
[00:19:59] Whitney Owens: you. Yeah. Well, let's talk a little bit about self-employment tax in quarterly taxes. Like why do we do quarterly taxes?
[00:20:10] Barry Roach: So the IRS wants to collect their money throughout the course of the year. They don't want you to hold onto it because if you hold onto it, you have use of it and you can do something with it.
[00:20:20] You can create interest or anything you wanna do with it. So if they have it in their pocket, they get to utilize it. So when you are working for somebody else and collecting a paycheck, getting paid as a W2 employee, those taxes are coming off of your paycheck every week, every two weeks. When you are self-employed, you don't.
[00:20:38] They don't get anything from you until you send them a payment, and if you don't send them a payment until April 15th, they haven't had their money for a full year. So what the IRS and the individual states have done is said, Hey, we want our money sooner, so we're going to set this up that you pay us on a quarterly basis so we can have that in our pocket.
[00:20:57] If you fail to pay them their percentage that they need, they are going to charge you what is referred to as an estimated payment penalty. So you don't have to, but they will charge you a penalty on it.
[00:21:11] Whitney Owens: Mm-hmm. So when do you decide to start paying self-employment tax? Like if somebody's setting up their practice for the very first time, are they supposed to be paying it immediately, or how do they know?
[00:21:24] Barry Roach: So you have something that's called a safe harbor, where you don't have to pay in any amount. If you pay a hundred percent of the tax that you owe for the year, you're not required. You're not required to make a quarterly estimated payment. The, the bigger one is gonna be if you pay, I'm sorry, it's 90% of the current year.
[00:21:47] If you pay 90% of the current year's balance owed, you didn't have to pay an estimated payment time. The big safe harbor that most people are gonna find is if you pay a hundred percent of what you owed last year, you do not have to pay in anything more than that. So if you're just starting out, you can look and see what your tax.
[00:22:04] Your income tax balance owed for the prior year was, and then you can make sure you pay in at least that amount. Now, if for some reason you're showing less of a profit and you're not expecting to get to that, that amount, you don't have to pay that much in. But if you can at least schedule yourself to pay that much, that's one way to kind of help yourself out.
[00:22:25] Whitney Owens: Hmm, that makes sense. Yeah. As you grow and profits become more, would, is it good to kind of get that looked at every quarter by your accountant to see what you have? So it
[00:22:37] Barry Roach: depends on how proactive you wanna be. If you've already found what that safe harbor is and you are on track to pay that, you don't have to pay any more in than that.
[00:22:47] You absolutely can. But you can also just set that aside in a savings account if you would like. So it's there at the end of the year. So that really depends on what you and your accountant would like to do and how frequently you would like to make those adjustments.
[00:23:00] Whitney Owens: Mm-hmm. Yeah. All I want is to not owe a bunch of money at the end of the year.
[00:23:06] That's stressful. That's, that's a,
[00:23:08] Barry Roach: that's a lot of people's goal.
[00:23:10] Whitney Owens: That's right. That's right. Well, is there anything else that you see as. Kind of things therapists need to consider with taxes or paying themselves that we haven't covered. We covered a lot of good stuff.
[00:23:22] Barry Roach: You know, I, I think that's a really large part of it.
[00:23:25] You know, it'll end up saving them taxes and it'll allow them to, to be compliant. And hopefully the difference between the initial conversation of the single member, LLC and the scorp really kind of put some guidance. Maybe one more thing I should mention is another type of entity structure. If they are an LLC and they have more than one owner, so you've started up in a partnership.
[00:23:46] Mm-hmm. But you haven't made an election for an S corporation. You're kind of taxed the same way as a single member, LLC, where it's done on profits. And if you want to pay two owners separately, that's something called a guaranteed payment. So that is a whole different ballgame just. For your listeners, the best thing to realize is you still can't be on a salary or pay yourself with a paycheck and have stuff withheld at that point.
[00:24:13] I don't wanna go too deep into that topic, but partnerships can't pay a salary for their owners yet.
[00:24:19] Whitney Owens: Okay. Well, it's good to hit on it so that people understand and know where to go ask questions. Yeah. So speaking of that, can you share a little bit more about the work you do with therapists? How to get in touch with you and I think you've got a special deal for us today.
[00:24:33] Barry Roach: Yeah, so we go through and we can do your, your full accounting for you from, you know, your monthly bookkeeping to your payroll, to your annual taxes, tax planning. We offer that in different tiers depending on how much, how much you wanna be in contact, how deeply involved you want to be, either on a monthly basis, quarterly basis, or strictly just an annual basis so we can help with all of those different pieces.
[00:24:59] This special offer for your listeners here is if they would like to get set up with us and have a conversation, if they would sign on. We're offering a 10% discount over the course of their first 12 months, so it's gonna be a little bit more than one month off. And that offer is good for up to six months, um, from the time that this airs.
[00:25:20] Whitney Owens: That's great. Well, we appreciate that offer. And then Barry, how's the best way for people to learn about you, connect with you? What should they do?
[00:25:29] Barry Roach: Yeah, so you can go to our website, www.coreaccountinggroup.com, and then we are also on several different social media platforms. I think you might include those in the show notes.
[00:25:40] Yep. If I'm not mistaken.
[00:25:42] Whitney Owens: Mm-hmm.
[00:25:43] Barry Roach: Yeah, so you can find us there as well.
[00:25:45] Whitney Owens: Well, thank you. Well, you've given us a lot of good information today. Again, I'll be pointing people to this podcast when they ask me, what should I pay myself? So we appreciate you taking the time to come on the show.
[00:25:56] Barry Roach: Thank you. I appreciate you for having me.
[00:26:01] Jingle: So click on follow and leave a review and keep on loving this work we do with Whitney Owens and The Wise Practice Podcast, Whitney Owens and the Wise Practice Podcast.
[00:26:19] Whitney Owens: Special thanks to Marty Altman for the music in this podcast. The Wise Practice Podcast is part of the Site Craft Podcast Network. A collaboration of independent podcasters focused on helping people live more meaningful and productive lives.
[00:26:33] To learn more about the other amazing podcasts in the network, head on over to site craft network.com. The Wise Practice podcast represents the opinions of Whitney Owens and her guests. This podcast is for educational purposes only, and the content should not be taken as legal advice. If you have legal questions, please consult an attorney.
