Write Yourself a Paycheck

Many LLC partners wince at the idea of drawing a salary. But taking compensation can actually make the business more valuable

Q: My partners and I recently formed an LLC (limited liability company). What's the best way for us to pay ourselves? Should we take occasional "draws" or monthly salaries? We are very confused about all the options and their tax implications.

--J.C., San Francisco

Before it's here, it's on the Bloomberg Terminal. LEARN MORE