Small Business Tax Savings Podcast

Are You Donating Wrong? How Donor-Advised Funds Maximize Your Charitable Deductions

If you're already giving to charity, you're leaving thousands of dollars in tax deductions on the table.  What is a donor-advised fund and why should you care? Mike sits down with Adam Nash, CEO of Daffy, to break down how Donor-Advised Funds (DAFs) work and why they can be a powerful tax strategy for business owners and high-income earners.  If you regularly give to your church, your kids’ school, your alma mater, or other charities, this episode shows you how to give more strategically, reduce taxes, and increase your impact. 👉 Ready to turn your charitable giving into a real tax strategy? Open a donor-advised fund with Daffy and start giving more strategically today: https://www.daffy.org/taxsavings/invite [https://www.daffy.org/taxsavings/invite] 👉 Get the Free Tax Savings Starter Kit Built for Small Business Owners: https://www.taxsavingspodcast.com/starterkit [https://www.taxsavingspodcast.com/starterkit] 🚀 Book your free demo call today. Click here or visit: https://taxelm.com/demo/ [https://taxelm.com/demo/] Chapters (00:00) What Is a Donor-Advised Fund? The basics: how DAFs work as a tax-advantaged account for charitable giving, similar to a 401(k) for retirement. (04:45) Tax Deduction Limits: 60% for Cash, 30% for Stock How much you can deduct from your AGI and why bonuses, windfalls, and liquidity events are ideal times to use a DAF. (06:30) Why DAF Donations Are Irrevocable (One-Way Trip) Understanding that donor-advised funds are 501(c)(3) charities and why you cannot take the money back. (09:00) The Double Tax Win of Donating Stock How donating appreciated stock gives you a full market value deduction and eliminates capital gains taxes. (11:30) The New 0.5% AGI Floor and Bunching Strategy How the recent tax law created a deduction floor and why bunching multiple years of giving into one high-income year makes sense. (15:00) How to Actually Use a DAF Day-to-Day The mechanics of contributing, distributing to multiple charities, and setting up recurring donations. (20:45) Setting Up a DAF in Under 60 Seconds The simple setup process, Daffy's flat monthly fee structure, and how it compares to percentage-based pricing models. (28:30) Investment Options and Portfolio Control How donated funds are invested tax-free and what level of control donors have over portfolios. Podcast Host: Mike Jesowshek, CPA – Founder and Host of Small Business Tax Savings Podcast Join TaxElm: https://taxelm.com [https://taxelm.com] 🚀 Visit:  https://www.TaxSavingsPodcast.com [https://www.taxsavingspodcast.com]  🚀 Check Out TaxElm: https://taxelm.com/ [https://taxelm.com/] 🚀 Join our Free Facebook Group: https://www.facebook.com/groups/taxsavings/ [https://www.facebook.com/groups/taxsavings/] 🚀 YouTube: www.TaxSavingsTV.com [http://www.taxsavingstv.com] 👋🏼 GET IN TOUCH You can Tweet @MJesowshek with any feedback, ideas, or thoughts about the lessons you've learned from the episodes. We want to thank you personally for tuning in 🙏 🙌LEAVE A REVIEW If you enjoy the podcast, please leave a 5-star review on Apple Podcasts or Spotify—it helps more business owners find the show ⭐ 🎙 ABOUT THE PODCAST The Small Business Tax Savings Podcast is your go-to resource for cutting-edge tax strategies to help entrepreneurs legally slash their tax bills. Hosted by Mike Jesowshek, CPA, this show breaks down complex tax topics into clear, no-fluff insights so you can keep more of your hard-earned money.

How Often Should S Corp Owners Run Payroll | Payroll Timing 101

When should you pay yourself? Paying yourself on the wrong payroll schedule can create IRS red flags, cash flow crunches, and painful cleanup later. In this episode, we break down monthly, quarterly, and annual payroll for S Corp owners. You’ll learn what the IRS actually expects, how reasonable salary works, why quarterly “true-ups” can create cash flow problems, and how to structure payroll to stay compliant without overpaying in taxes. We also cover catch-ups, slowdowns, bonuses, zero payroll returns, and a critical but often-missed strategy involving self-employed health insurance and HSA contributions that can reduce FICA taxes. If you’re an S Corp owner trying to pay yourself the right way and avoid IRS attention, this episode walks you through exactly how to do it.  👉 Get the Free Tax Savings Starter Kit Built for Small Business Owners: https://www.taxsavingspodcast.com/starterkit [https://www.taxsavingspodcast.com/starterkit] 🚀 Book your free demo call today. Click here or visit: https://taxelm.com/demo/ [https://taxelm.com/demo/] Chapters (01:00) The Reasonable Salary Requirement for S Corps Why S Corp owners must take W-2 payroll and why determining reasonable salary is the first step. (03:10) Payroll Software and Filing Requirements Why using payroll software matters and how missed filings create serious problems. (04:00) Monthly and Biweekly Payroll Explained How spreading your salary evenly works and why this is the most common recommendation. (05:30) True-Up Payroll. Quarterly and Annual Options & Cash Flow Risks How quarterly and annual true-ups work and how draws get reclassified as wages. Large quarterly tax payments can create cash crunches. (08:45) Zero Payroll Returns and Compliance Traps Why you still need to file payroll returns even when no payroll is run. (09:30) Catch-Ups, Slowdowns, and Bonus Payrolls How to adjust payroll when income, workload, or profitability changes. (11:45) Self-Employed Health Insurance and HSA Adjustments How S Corp owners can increase reasonable salary without paying extra FICA taxes. (15:30) The Safest Payroll Strategy for Most Owners Why consistent payroll timing protects cash flow and reduces IRS risk. Podcast Host: Mike Jesowshek, CPA – Founder and Host of Small Business Tax Savings Podcast Join TaxElm: https://taxelm.com [https://taxelm.com] 🚀 Visit:  https://www.TaxSavingsPodcast.com [https://www.taxsavingspodcast.com]  🚀 Check Out TaxElm: https://taxelm.com/ [https://taxelm.com/] 🚀 Join our Free Facebook Group: https://www.facebook.com/groups/taxsavings/ [https://www.facebook.com/groups/taxsavings/] 🚀 YouTube: www.TaxSavingsTV.com [http://www.taxsavingstv.com] 👋🏼 GET IN TOUCH You can Tweet @MJesowshek with any feedback, ideas, or thoughts about the lessons you've learned from the episodes. We want to thank you personally for tuning in 🙏 🙌LEAVE A REVIEW If you enjoy the podcast, please leave a 5-star review on Apple Podcasts or Spotify—it helps more business owners find the show ⭐ 🎙 ABOUT THE PODCAST The Small Business Tax Savings Podcast is your go-to resource for cutting-edge tax strategies to help entrepreneurs legally slash their tax bills. Hosted by Mike Jesowshek, CPA, this show breaks down complex tax topics into clear, no-fluff insights so you can keep more of your hard-earned money.

How to Pay Yourself as an LLC Owner in 2026

Paying yourself wrong can trigger IRS issues, messy books, and unexpected tax bills.  In this episode, we break down exactly how LLC owners should pay themselves in 2026 based on their entity type and tax election. You’ll learn the 3 primary ways business owners get paid: owner draws or distributions, payroll, and guaranteed payments. We explain which payment methods are legally allowed for single-member LLCs, partnerships, and S corporations, and why running payroll as an owner is prohibited unless you have an S corporation election. We walk through how each method is taxed, how it shows up in your financial statements, and why owner draws do not reduce business profit even though they reduce cash.  👉 Get the Free Tax Savings Starter Kit Built for Small Business Owners: https://www.taxsavingspodcast.com/starterkit [https://www.taxsavingspodcast.com/starterkit] 🚀 Book your free demo call today. Click here or visit: https://taxelm.com/demo/ [https://taxelm.com/demo/] Chapters (00:45) Why Paying Yourself Correctly Matters Improper owner pay can create audit risk, illegal compensation setups, and accounting problems that surface later during tax season. (01:25) Owner Draws and Distributions Explained What an owner’s draw actually is, how it works, why no taxes are withheld upfront, and why draws don’t reduce business income. (02:55) Guaranteed Payments for Partnerships How guaranteed payments work in partnerships, when they’re used, how they’re taxed, and why they’re different from draws. (04:10) Paying Yourself as a Single-Member LLC Why single-member LLC owners can only take owner draws, and why running payroll to yourself is not allowed by law. (05:05) Paying Yourself in an LLC Partnership The two legal options for partners. (06:00) Paying Yourself as an S Corp Owner Why S Corps require a reasonable salary, how payroll and distributions work together, and where tax savings come from. (07:00) How to Document Owner Pay Correctly How draws hit the balance sheet, how payroll hits the income statement, and why documentation matters for audits. (09:30) What to Do Next as an LLC Owner How to choose the right pay method, set up a system, plan for taxes, and avoid common compensation mistakes going forward. Podcast Host: Mike Jesowshek, CPA – Founder and Host of Small Business Tax Savings Podcast Join TaxElm: https://taxelm.com [https://taxelm.com] 🚀 Visit:  https://www.TaxSavingsPodcast.com [https://www.taxsavingspodcast.com]  🚀 Check Out TaxElm: https://taxelm.com/ [https://taxelm.com/] 🚀 Join our Free Facebook Group: https://www.facebook.com/groups/taxsavings/ [https://www.facebook.com/groups/taxsavings/] 🚀 YouTube: www.TaxSavingsTV.com [http://www.taxsavingstv.com] 👋🏼 GET IN TOUCH You can Tweet @MJesowshek with any feedback, ideas, or thoughts about the lessons you've learned from the episodes. We want to thank you personally for tuning in 🙏 🙌LEAVE A REVIEW If you enjoy the podcast, please leave a 5-star review on Apple Podcasts or Spotify—it helps more business owners find the show ⭐ 🎙 ABOUT THE PODCAST The Small Business Tax Savings Podcast is your go-to resource for cutting-edge tax strategies to help entrepreneurs legally slash their tax bills. Hosted by Mike Jesowshek, CPA, this show breaks down complex tax topics into clear, no-fluff insights so you can keep more of your hard-earned money.

The 10 LLC Mistakes That Can Destroy Your Business

You formed your LLC. Good job. But many business owners unknowingly make critical mistakes after formation that quietly destroy liability protection, trigger audits, and limit growth. In this episode, Mike walks through the 10 most common LLC mistakes business owners make in 2026 and explains exactly how to fix them. From mixing personal and business finances to ignoring tax planning and misclassifying owner compensation, this episode gives you a practical framework to audit your business and protect it the right way. If you want your LLC to survive and thrive, not just exist on paper, this episode shows you what to fix now before it becomes expensive later. 👉 Get the Free Tax Savings Starter Kit Built for Small Business Owners: https://www.taxsavingspodcast.com/starterkit [https://www.taxsavingspodcast.com/starterkit] 🚀 Book your free demo call today. Click here or visit: https://taxelm.com/demo/ [https://taxelm.com/demo/] Chapters (01:00) Mixing Personal and Business Finances Why commingling funds breaks liability protection and how to properly separate accounts without overcomplicating things. (02:00) Failing to Maintain LLC Compliance Annual reports, renewals, and filings business owners forget that can cause administrative dissolution. (03:20) Ignoring the S Corporation Opportunity How LLC owners overpay self-employment taxes by not exploring an S Corp election at the right time. (04:10) Misclassifying Owner Compensation The difference between owner draws and W2 payroll, and why paying yourself the wrong way creates tax problems. (05:45) Operating in the Wrong State Why forming an LLC in one state but operating in another requires foreign registration. (06:40) Skipping Tax Planning Why taxes are often a business owner’s biggest expense and how proactive planning changes everything. (07:30) Failing to Update State Filings What happens when partners, addresses, or business purposes change and filings are not updated. (08:10) Treating the LLC Like a Hobby How hobby loss rules work and why consistent losses without profit motive raise red flags. (09:00) The LLC Audit Checklist Simple steps to audit your LLC today, fix weak spots, and build better habits going forward. Podcast Host: Mike Jesowshek, CPA – Founder and Host of Small Business Tax Savings Podcast Join TaxElm: https://taxelm.com [https://taxelm.com] 🚀 Visit:  https://www.TaxSavingsPodcast.com [https://www.taxsavingspodcast.com]  🚀 Check Out TaxElm: https://taxelm.com/ [https://taxelm.com/] 🚀 Join our Free Facebook Group: https://www.facebook.com/groups/taxsavings/ [https://www.facebook.com/groups/taxsavings/] 🚀 YouTube: www.TaxSavingsTV.com [http://www.taxsavingstv.com] 👋🏼 GET IN TOUCH You can Tweet @MJesowshek with any feedback, ideas, or thoughts about the lessons you've learned from the episodes. We want to thank you personally for tuning in 🙏 🙌LEAVE A REVIEW If you enjoy the podcast, please leave a 5-star review on Apple Podcasts or Spotify—it helps more business owners find the show ⭐ 🎙 ABOUT THE PODCAST The Small Business Tax Savings Podcast is your go-to resource for cutting-edge tax strategies to help entrepreneurs legally slash their tax bills. Hosted by Mike Jesowshek, CPA, this show breaks down complex tax topics into clear, no-fluff insights so you can keep more of your hard-earned money.

How to Set Up an LLC in 2026 for Free (Step by Step)

Thinking about forming an LLC in 2026? In this episode, Mike breaks down how to set up an LLC step by step, what “free” really means, state filing costs, common mistakes to avoid, and why an LLC can act as an insurance policy for future S Corp tax savings. Perfect for new and growing business owners who want clarity without the confusion. If you want a clean, simple business setup that protects you now and gives you flexibility later, this episode gives you the roadmap without the legal confusion. 👉 Get the Free Tax Savings Starter Kit Built for Small Business Owners: https://www.taxsavingspodcast.com/starterkit 🚀 Book your free demo call today! Click here or visit: https://taxelm.com/demo/ [https://taxelm.com/demo/] Chapters (01:00) Why Form an LLC in 2026 The 3 core reasons business owners form LLCs. Liability protection, credibility, and flexibility for future tax planning. (02:10) Why an LLC Is an Insurance Policy for an S Corp How an LLC allows you to elect S Corp status later and why sole proprietors do not have that option. (03:00) What “Free” LLC Setup Really Means State filing fees, unavoidable costs, and what online “free” services actually do. (03:55) The Step-by-Step LLC Setup Process Choosing a business name, selecting a registered agent, drafting an operating agreement, filing with the state, getting an EIN, and opening a business bank account. (06:05) The Biggest LLC Mistakes Business Owners Make Why not using the LLC, mixing funds, missing renewals, and following bad internet advice cause legal and tax issues. (07:40) Bonus Tips to Strengthen Your LLC Operating agreements, separating finances, tracking expenses, and setting up bookkeeping the right way. (08:30) When to Consider an S Corporation $50,000 in profit is a common tipping point and how an LLC makes the transition easier. (09:00) Final Takeaway How to use an LLC to protect yourself today while setting up smarter tax planning for the future. Podcast Host: Mike Jesowshek, CPA – Founder and Host of Small Business Tax Savings Podcast Join TaxElm: https://taxelm.com [https://taxelm.com] 🚀 Visit:  https://www.TaxSavingsPodcast.com [https://www.taxsavingspodcast.com]  🚀 Check Out TaxElm: https://taxelm.com/ [https://taxelm.com/] 🚀 Join our Free Facebook Group: https://www.facebook.com/groups/taxsavings/ [https://www.facebook.com/groups/taxsavings/] 🚀 YouTube: www.TaxSavingsTV.com [http://www.taxsavingstv.com] 👋🏼 GET IN TOUCH You can Tweet @MJesowshek with any feedback, ideas, or thoughts about the lessons you've learned from the episodes. We want to thank you personally for tuning in 🙏 🙌LEAVE A REVIEW If you enjoy the podcast, please leave a 5-star review on Apple Podcasts or Spotify—it helps more business owners find the show ⭐ 🎙 ABOUT THE PODCAST The Small Business Tax Savings Podcast is your go-to resource for cutting-edge tax strategies to help entrepreneurs legally slash their tax bills. Hosted by Mike Jesowshek, CPA, this show breaks down complex tax topics into clear, no-fluff insights so you can keep more of your hard-earned money.