For s-e couples who work together in the massage business

[Erin]

How is your business structured? Sole proprietorship seems "out", unless one is considered an employee. So what are the other options? Partnership? dual-member LLC? S-corporation? Or...???

With every other sole proprietorship/business we've ever had, I have never "officially worked"- more like "volunteered". As a licensed MT, I won't be able to do that. What are the most reasonable options for us? I am thinking that we should set up a dual-member LLC, but that *might* not be the best options. Any input?

 

[Boba Fett]

Anyone? Surely there are some couples who work together in the massage world. Please don't tell me that what my dh and I want to do is "impossible"!

 

[Ritchellei]

Maybe it is just because many of the members here that do that are currently dealing with other issues.
Jyoti and her hubby both do MT. (TX)
Pueppi and her hubby I think too. (TX)
Mush and her hubby... (FL)
Um, JasonE and his spouse... right?
There may be others..., not sure...

 

[Pompal 09.]

My husband does not do massage with me, but from what I have studied (and my understanding is minimal) it seems like you would be able to form an LLC with 2 members. Then if you want to upgrade to an S-corp later, it's fairly easy to do.

I am currently an LLC and did so because it seems I could upgrade later. I don't think the number of members has much to do with it at our level. Even an s-corp can be a single member (i think!?!) because it seems like I could do that if I wanted to, in the future.

R&R is usually our business guru. Maybe s/he will give you a response.

 

[Chad Warden is ballin]

I don't know what s-e means.....

 

[Lucy Blue]

You can be either an LLC -- which you can elect to be treated for tax purposes as an S corp -- or an S Corp.

Much will depend on whether or not you will reap the benefits of being an S-Corp, such as retirement contributions etc. Unfortunately, S-Corps do not permit deduction of health insurance expenses for anyone who owns more than 2% of the shares, so if you and your spouse are co-owners, both insurance premiums are excluded as a business expense. You could just put the business in one person's name and deduct the expenses of the other.

LLC may offer other benefits such as deductible health insurance expenses, all depends on how it is structured.

 

[aaliyah]

We are an LLC - mainly because not only are we both in the same profession (massage therapists), but because I have another profession which is handled within our office walls as well.

As I recall (it's been some years now), when we checked into a PC, it required we both be practicing exactly the same professions without any extras for one or the other, which is why we went the LLC route.

 

[thecused1]

Ok, it sounds like the LLC is the way we will want to go then. Thanks for the replies, y'all!

 

[jennystuart64]

We are an LLC - mainly because not only are we both in the same profession (massage therapists), but because I have another profession which is handled within our office walls as well.

As I recall (it's been some years now), when we checked into a PC, it required we both be practicing exactly the same professions without any extras for one or the other, which is why we went the LLC route.

What is this "PC" you checked into, pueppi?

 

[Vincent Van Go]

Kelly and I are set up as an S-corp. We both own shares, manage the business, and work as MTs. We chose the S-corp option because it gives some tax advaneforum.xxxes and a small extra hedge against some potential liabilities.

We consulted with several other owners and several business advisors on the best option for us, and the S-corp option seemed optimal. The LLC option was our second choice. Discuss the options with your lawyer and your accountant to find out which is the best fit for you.

 

[Jb2]

We are an LLC - mainly because not only are we both in the same profession (massage therapists), but because I have another profession which is handled within our office walls as well.

As I recall (it's been some years now), when we checked into a PC, it required we both be practicing exactly the same professions without any extras for one or the other, which is why we went the LLC route.

What is this "PC" you checked into, pueppi?

Private Corporation