EPISODE · Mar 10, 2026 · 18 MIN
Is an S-Corp Election a Smart Move?
from Freelance to Founder · host Millo
A question from Austin Church's Freelance Cake community puts tax strategy center stage: is taking an S-Corp election actually worth it? Preston and Austin break down the real mechanics behind this often-misunderstood move—how splitting your income between a salary and shareholder distributions can save you tens of thousands of dollars a year, why your state tax laws matter more than you might think, and exactly when it stops being worth the extra paperwork. If your freelance or agency revenue is approaching six figures, this is the conversation that could change how you run your business. Support our show sponsors -> https://freelancetofounder.com/sponsors Submit your own question -> https://freelancetofounder.com/ask Join Austin's Community for Advanced Freelancers -> Freelance Cake Community Learn more about your ad choices. Visit megaphone.fm/adchoices
What this episode covers
A question from Austin Church's Freelance Cake community puts tax strategy center stage: is taking an S-Corp election actually worth it? Preston and Austin break down the real mechanics behind this often-misunderstood move—how splitting your income between a salary and shareholder distributions can save you tens of thousands of dollars a year, why your state tax laws matter more than you might think, and exactly when it stops being worth the extra paperwork. If your freelance or agency revenue is approaching six figures, this is the conversation that could change how you run your business. Support our show sponsors -> https://freelancetofounder.com/sponsors Submit your own question -> https://freelancetofounder.com/ask Join Austin's Community for Advanced Freelancers -> Freelance Cake Community Learn more about your ad choices. Visit megaphone.fm/adchoices
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Is an S-Corp Election a Smart Move?
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