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Anonymous

(@Anonymous)

New Member

Hello to all

I am Claudia Smith. I am new to this forum. Please keep reading me in the future also.

Have a nice day

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Posted : 14/01/2010 6:18 am

Anonymous

(@Anonymous)

New Member

Hello group, I have been a stay at home dad for several years. The kids are finally off to school and I am wanting to resume making a living.

I am sorry for posting this again, I put it in the wrong catagory about a week ago and never got a response, maybe here is more appropriate.

My wife makes a good living as a nurse and we have always filed joint on our taxes.

I am wanting to start a business, it will be ran our of our home to start. I have bought most of the tools and supplies I need to get started. It will be a electronic repair business. I have looked at some of the LLC forming sites (Legal Zoom, etc.. and they always ask if I want to be the only person forming the LLC.

My question is -- Do I use my wifes name along with mine for forming an LLC or do should I just put it all in my name. She knows nothing about repair by any means, but we have always done everything jointly. Anyway hopefullly someone will see this and offer some insite.

Thank you for your response

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Topic starter Posted : 01/09/2010 4:46 am

Anonymous

(@Anonymous)

New Member

Re: LLC information and tax filing question

If you want to keep things simple, put it all in your name.

As a single member LLC, the business activity will be reported on Schedule C of your 1040. You can still file a joint return.

If your wife is a member also, you would need to file a separate return for the LLC (Form 1065). If she isn't going to be involved in the business, I wouldn't make her an owner. It just makes things more complicated that it needs to be.

Another thing to keep in mind is that you will be paying self employment taxes on business profits in addition to income taxes. This surprises a lot of new business owners who choose the sole proprietor/LLC business structure. That's roughly an additional 15.3% tax on top of your income tax (you're paying employer and employee social security and medicare). Be sure to plan for that so you don't end up with a tax bill you can't pay at the end of the year.

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Posted : 01/09/2010 3:10 pm