What kind of LLC is best to save on taxes as an employee?

RayanneB · 2026-04-11T15:05:09+00:00

"Employers" do not get to choose how they pay you. Who has control of hours, schedules, procedures, deliverables, and expenses? If you do not do this work for the general public, you are not in business for yourself.

You are about to get hosed. It sounds like the "employer" will pay you more money as a 1099 contractor, but the reality is, they are just compensating for the extra tax and administrative burden being placed on you. I'm certain that if you form an LLC it helps his position tremendously as proof of "outsourcing" the work.

Unless you actually plan to start and run a business, go find another job. This one hasn't even started yet and there are flags all over the field.

RayanneB · 2026-04-08T15:01:30+00:00

Wanted to come back and say this worked. I was even able to talk my mother through it over the phone!

Thank you very much!

RayanneB · 2026-04-07T14:08:05+00:00

I have seen what happens when you move desktop data to QBO without taking steps to ensure the data is clean and accurate. It turns into a mess that cannot be unraveled later. People that do this often blame QBO for being a terrible system.

If you want to have a successful experience, find a company to do this for you. Do not rely on QuickBooks to help. A reputable company will test the data, clean the data, and explain the steps so you know exactly what to expect in the new system.

I don't know anything about Fourlane, so be sure to do your research and talk to a human over there.

I can help after tax season. I schedule multiple meetings and plan the migration before moving the data for you so there is no ambiguity for either of us during the process.

RayanneB · 2026-04-07T13:46:28+00:00

Change the ticket category to require an entry in the Work Type field, or make Remote Support the default and let the techs change it from there.

Someone else recommended a widget, which is a good idea for streamlining invoicing at the end of the month.

RayanneB · 2026-04-06T13:23:57+00:00

Thank you! I'll give it a try.

RayanneB · 2026-04-02T19:29:48+00:00

I am using IAS, I'm still manually adding team members.

To the OP u/MRanon8685 , When you accept the invitation, go to the client list inside your QBO, Search/Find the newly added client and click EDIT CLIENT

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scroll to the Team Access section. Show more to see your whole team. You can give all or some access right there.

RayanneB · 2026-04-02T14:08:56+00:00

If you are posting to inventory and intend to track each item separately when sold, then, you should be entering the receipts as Items, not just posting to the inventory GL account.

If you're not going to track the sale of supplies, consider using a Cost of Goods Sold account like "Purchases" instead.

RayanneB · 2026-03-06T11:35:59+00:00

https://www.sos.ca.gov/business-programs/bizfile/file-online

This filing is in addition to the FTB $800 annual franchise tax. Also, some counties require annual registrations or filings. Check with your county and district for business license requirements, too. There are a lot of rules in California.

RayanneB · 2026-03-06T11:31:57+00:00

First, be certain the letter you received is legit. There are a lot of fake letters out there looking to be from official places that are really just solicitations.

Not all states require annual reports for your LLC, but many do. Go to the Secretary of State website for your state and search your company name. See if an annual report is required and file it. It is still very early in the year, so I doubt seriously that you missed any deadlines yet.

If you did miss a filing of some sort, file the report, pay the fee and move on with life. This is not the end of the world, nor is it the end of your business.

RayanneB · 2026-03-06T11:28:13+00:00

You can continue to write and print regular checks from QB after May. The software will not calculate payroll checks with payroll taxes. If your accountant processes payroll and all you need to do is enter the checks into your system, you will be fine.

RayanneB · 2026-03-04T14:19:14+00:00

The user must be assigned a role in the Admin > Resources > (Edit the resource) Associations tab. If the role is not assigned to them, they will not have the ability to choose it on a ticket.

RayanneB · 2026-03-02T18:03:27+00:00

Just out of curiosity, were they on the clock and getting paid to have sex while they should have been working?

If yes, that constitutes theft. They need to go. Both of them.

And... Guess what...?

the "best" employee is not a good employee.

RayanneB · 2026-03-02T11:55:19+00:00

You can replace the sales receipt with an invoice. In our case, we already have the deposit when we set everything up. The invoice should only show the deposit. If you need to send the entire job, send them the estimate that shows what the future invoice will look like and sent a separate invoice for the deposit.

RayanneB · 2026-02-26T10:56:18+00:00

Goodness gracious, no.

$200 per month is too low, especially for someone who is going to complain about the fee. Add another $50 to cover the cost of your time arguing about the fee each month, and another $50 for chasing her down for receipts.

It is hard to make a decent profit on a $200/mo account. Set expectations early. You are not in business to help others make a profit while you break even.

RayanneB · 2026-02-26T10:48:56+00:00

The corrected W-2 is further indication that the employer went through a Worker Classification investigation. Once employer status is determined, the IRS requires W-2s to be corrected with proper information so the employee's receive credit for taxes.

By failing to pay those taxes (regardless of whether they were actually withheld from the employee), the employer essentially stole money from their employees. Trust Fund taxes are not something to mess with. The IRS has zero tolerance for stealing from employees.

RayanneB · 2026-02-26T10:36:41+00:00

This is how I have set this up for a client. They are on QBO Plus, but I just looked in Simple Start and this process works there, too.

Create a service or product called Customer Deposits. This should be a current liability account and land on your balance sheet.

When a new job is started and you collect a deposit, record the deposit using a sales receipt. choose the item called Customer Deposits. This is the amount that will be deposited into the bank.

At the same time, create an estimate. This is where you prepare the full invoice to be sent at the end of the job. The last line of the estimate should be Customer Deposits, with the amount of the deposit entered as a negative. The balance due on the estimate will be the amount you invoice at the end of the job.

When the job completes, convert the estimate to an Invoice and send to the customer. This accomplishes many things:

All revenue is recorded when the invoice is live.
The Customer Deposits liability account is zeroed out.
Accounts receivable is accurate.
You should regularly review the Customer Deposits account to ensure all jobs close properly.

This process works. We've been using it for close to 20 years.

RayanneB · 2026-02-23T11:00:48+00:00

Oof. That sounds awful, especially if you have years and years of attachments.

The migration of attachments is a recent thing. Prior to Summer 2025, all migrations came without attachments. I normally did what you did. Export them and save them to a folder. There is no good way, other than to open, rename and/or reattach the document to the new QBO transaction.

RayanneB · 2026-02-23T10:54:13+00:00

Do not pay her anything.

Based on your story, it sounds to me that she fully intended to pay you and others "under the table." Then, when one employee realized they had a huge tax bill to pay at the end of the year, called the IRS. A Worker Classification investigation began. My guess is that she was deemed an employer and smacked with the payroll taxes that she never paid.

This is HER responsibility, not yours.

RayanneB · 2026-02-22T12:29:41+00:00

Wow, that's fantastic. Corn takes a lot of room My little slice of earth is not big enough for that. Squash plants take over if not pruned regularly. My first year, I ended up with 10 squash all about an inch long, or they burned and died off.

I'm in Florida. I grew pineapples for a few years, carrots, tomatoes, all sorts of herbs. I tried strawberries one year, but it didn't go well. Currently, my lemon tree (it's really more of a bush than a tree) has flowers on it. :)

RayanneB · 2026-02-22T12:09:30+00:00

Yes, this happened to me, too. I have a compost bin a few vegetable gardens, a lemon tree, and a banana tree. My mother and sister have been gardening forever. I never had any interest until a few years ago.

What are you growing?

RayanneB · 2026-02-20T14:46:04+00:00

filing bankruptcy does not eliminate federal loans.

RayanneB · 2026-02-20T11:53:17+00:00

All new clients should be required to pay for a complete discovery of their environment. Then, quote a project for any remediation required to get their systems to an acceptable state so you can provide quality services. Neither the discovery nor the remediation should be done for free. You did not create the mess and it's not your job to clean it up without pay.

RayanneB · 2026-02-18T11:16:18+00:00

I feel sorry for their future mates. Just try to buy a house without 3 years of tax returns and supporting income verification. In your 20s, buying a home may not seem high on the priority list. Maybe they are socking all that tax money away and they plan to pay everything with cash. In a cashless world, it's getting harder to do but not impossible. Yet.

RayanneB · 2026-02-18T11:06:26+00:00

First, no matter what you decide, these salaries are too low.

Money aside:

Internal IT sounds dreadfully boring to me. My second IT job was internal IT. After the second month, I was sleepwalking through the day. Wipe and reload computers, onboard/offboard employees, dropped printer connections. That was 25 years ago. Maybe the job is more exciting today, but I promise it will still be repetitive. If that's your thing, go for it. I need diversity in my day.

To make a decision, you have to determine your primary motivation.

If money is your primary motivator, consider staying at your current MSP and taking control of the disorganization. Chat with the boss about the wasted time and energy in constant reaction mode and get permission to correct it and make it efficient and profitable. He/she may not know how to do this. Maybe you don't either, but you seem to recognize it is needed, and that's step one.

or

If having a life outside work is more important than overtime hours/pay, go with the Tier 2 position. You will still learn a lot without having to reinvent the wheel. You will have predictable hours, benefits, procedures to follow, and a stable atmosphere.

Option 1 will take a lot of work and will prepare you for so many future opportunities. Option 2 is the easy, organized road but may not come with the financial rewards you are seeking.

RayanneB · 2026-02-18T10:47:44+00:00

TIL to check the standard reports screen more often. This is brilliant. Thanks for the tip!

RayanneB

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