Interactive Tool
Entity Architecture Planner
Visualize and plan your business entity structure. Choose a template based on your income level, then explore each entity type in detail.
Starter Shield
Single operating entity with S-Corp election for SE tax savings.
You → S-Corp (Operating)
├─ Salary (40%)
└─ Distributions (60%, no SE tax)
🏛️
Select an Entity
Click on any entity in the diagram to see detailed information about its tax treatment, asset protection, and suitability.
Entity Comparison Matrix
| Entity | SE Tax | Asset Protection | Annual Cost | Best For |
|---|---|---|---|---|
| 👤Sole Proprietorship | Full 15.3% | None | $0 - $100 | Testing a business idea before formalizing. Very low income side projects. |
| 🏢Single-Member LLC | Full 15.3% | Moderate | $100 - $800 | Freelancers, consultants, and small business owners wanting liability protection. |
| 🏛️S-Corporation | On salary only | Strong | $1,500 - $5,000 | Businesses earning $50K+ net profit. The sweet spot for tax savings. |
| 🏗️C-Corporation | None (corp tax) | Strong | $2,000 - $10,000 | Businesses planning to raise VC/PE capital, go public, or retain significant earnings. |
| 🏰Holding Company LLC | Pass-through | Strong | $500 - $2,000 | Business owners with $500K+ in assets or multiple business ventures. |
| 👨👩👧👦Family Limited Partnership | Pass-through | Strong | $3,000 - $10,000 | Families with $2M+ in assets planning multi-generational wealth transfer. |
| 🔐Irrevocable Trust | Pass-through | Strong | $5,000 - $25,000 | Estate planning, asset protection, and wealth transfer above $13.61M exemption. |