I am a recent graduate starting 2 part-time associateships soon. One of them is paying me as an employee and the other one is paying me as an Independent Contractor.
Are there any ways to structure the IC contract to give me any advantages as far as tax savings?
Maybe. You can certainly structure the employment contract to save taxes, both income and payroll. I would rather get that under wraps first then move onto the IC contract.
Is it worth it to create an LLC / S-Corp to have the IC contract directly with the corporation so I can deduct my travel and auto expenses, professional liability insurance expenses, CE expenses and so forth...
I’m not sure I fully understand what you're asking. You need to make a lot of money (in excess of $200k gross) as an IC to warrant an S-Corp due to the costs to create and maintain. Generally an LLC or PLLC is all you need and report taxes as a sole prop.
This first appeared on Dentaltown.
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