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  • Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018
    Splash Refinancing Bonus

    Figure out the marginal tax rate on your potential extra earning. I bet it’s not worth it. If going full time only gets you $30k more, I’m guessing you’re still paying full 7.65% FICA on that. Plus state and federal income tax at your top marginal rate.

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: Is time with my kids worth $1M? #254094 Reply
    Liked by childay, Peds
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    ^^^ good post. I would like, but that function is broken

    You could just form an LLC that has its own fancy and professional sounding legal name and EIN and maintains default sole prop taxation, and fill out a new W4 and pretend like you’ve jumped through their hoops. Plead ignorance if they actually try to dig deeper.

    But maybe LLCs also pay extra entity taxes in CA even without an S election? I’ve no idea.

    I’m kinda with you that I’d be bothered by the unnecessary S Corp hassle and would lean toward walking away if I could replace the income

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: Need to form S-corp or leave side gig – advice? #254093 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    as in, we’re still working on it?

    still largely broken for me

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: Dead forum? #254073 Reply
    Liked by snowcanyon
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018
    in reply to: Vanguard backdoor Roth IRA – am I screwing this up? #254071 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
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    just to be clear, what you want is better termed an administrator

    do you have a 401k-profit sharing plan? usually you would use the same administrator for 401k and CBP.

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: I’m seeking a cash balance plan advisor #254070 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    regarding structure, specifics matter. If potentially eligible for 199a deduction partnership likely to be better. If income high enough 199a deduction is not possible, S corp probably better. Partnership has more flexibility in compensation, if pay might be unequal. Pluses and minuses to both. You’ll need to consult professionals to help (lawyer, CPA)

     

    specifics also matter regarding the transition. If there is an existing entity, is that being dissolved? If this is the case, that may mean all new contracts. Do you want to renegotiate payer contracts?

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: Forming a small EM democratic group: how would you do it? #254069 Reply
    Liked by DavidGlennCPA
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
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    Joined: 03/01/2018

    forum still broke for me

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: Dead forum? #253910 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    let us know when you sell your leveraged equity funds, unless you’re planning to just ride them down

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: Market Timer thread #253493 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    still broken for me. I was going to clear a bunch of off topic posts from another thread, which I can see on my phone in Chrome Incognito. Desktop Chrome two whole pages of that thread are not visible even after clearing cache etc.

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: Dead forum? #253443 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    @davidglenncpa thanks for your help

    the recurring reimbursement setup is less than ideal because to change the amount you have to go edit each shareholder, you can’t add some additional amount while running payroll, any additional amounts are not able to be categorized with the “Distribution” but rather go as “additional reimbursement”

    do you think handling distributions as an off cycle payroll with these amounts entered as a reimbursement would cause problems? With the off cycle setup they can’t be labeled as “distribution”. I would assume as long as one is tracking things correctly with bookkeeping, such a setup would be fine?

    Paper checks would work ok also, but handling this through Gusto would be preferred since direct deposit is already setup.

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: How many of you do your own payroll? #253351 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    Disappointed to learn that Gusto doesn’t have a means to handle distributions for S Corp shareholder-employees through their payroll platform.

    Their recommendation is to handle S Corp distributions outside of payroll.

    @davidglenncpa has this been your experience? Do you just have S Corps write shareholders checks, instead?

    Gusto can set up an “owner’s draw” but can’t do this for an owner who is also an employee that receives wages.

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: How many of you do your own payroll? #253238 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    the other question would be, is OP certain that the “match” is actually taken from salary, as in a true dollar for dollar reduction in W2 wages?

    Depending on the practice setup, and whether OP is a shareholder / partner, the “match” could be taken from OP’s total compensation – their “slice of the pie” – of which salary is only one part.

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: 401 K match #253218 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    Compensation limit for these purposes is 280,000. So lets say your comp is that

    Maximum deferral is 19,000 which is 6.79% of comp

    so then you would get 3% match = 8400

    so then you can look at the vesting schedule and run some calculations and see how much is “at risk”

    if your comp is lower, you can do the math

    it’s a strange setup and obviously not a safe harbor plan – safe harbor contributions are always 100% vested. It’s probably allowed because you’re an HCE

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: 401 K match #253199 Reply
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    ^^^ I would like the post but that function is broken for me

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: Sub 2 hour Marathon #253177 Reply
    Liked by ENT Doc
    Avatar jacoavlu 
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    Status: Physician, Small Business Owner
    Posts: 2461
    Joined: 03/01/2018

    what is the match percentage, that really matters in the decision process here because that’s the only way to know how much you stand to lose if you were to leave

    The Finance Buff's solo 401k contribution spreadsheet: https://goo.gl/6cZKVA

    in reply to: 401 K match #253158 Reply
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