Posts by Nathan Rogers32

Does anyone know of a service or company providing virtual office space for registering a small business in San Francisco (or the surrounding area)?

Given my current circumstances, paying a monthly fee for a virtual office seems like the most logical way to handle my business registration. If anyone here has experience with this—or better yet, some solid recommendations—I’d love to hear them.

Best,

As I’ve already mentioned to everyone—since our current employers are all paying into Social Security—does that mean once we start paying into it through a new firm, the old one is off the hook? Or are both companies required to keep contributing...

Thanks for the answers, casualstag4!

Could I get some clarification on this part:

casualstag4 said:1. It’s a "yes and no" situation. If you're currently employed and making at least $1989 the standard threshold, you can act as directors of a company without being required to draw a specific salary or pay certain payroll taxes. If you're making less than that, the smartest move is to appoint one person who meets that salary requirement as the director, while the rest of you serve as officers. That way, you avoid the rule where if an officer's pay is lower than the director's minimum, they have to bridge that gap with extra tax contributions. You need at least one director because, legally speaking, a company can't function without one.

If you start this thing and everyone is technically unemployed, you need to be careful. At least one person needs to be registered for at least one hour of work per week. The IRS recognizes companies with unemployed directors, but they get twitchy when they see "unemployed" directors performing full-time labor for the company without paying the necessary taxes. If an audit catches you doing regular work without paying into the system, they'll hit you with retroactive tax bills. And trust me, they do that all the time.

2. Not really. Starting a business doesn't change your legal standing with your current employer if you're already employed elsewhere.

Does that mean our company would need to pay at least one of us a partial wage and cover the payroll taxes? If we all already have full-time jobs where our current employers handle all our taxes, why on earth would we need to pay any contributions for this new venture?

Greetings.

A few of us are considering launching a firm to tackle weekend projects—primarily web development—and I’ve hit a wall trying to find answers to a couple of specific questions online:

1. Is it possible to set up an LLC and essentially forgo drawing a salary during that first year—or some variation of that—until we’ve built up enough capital to secure a proper office space and perhaps hire someone to help execute our ideas?

2. Can we continue with our current day jobs? Essentially, how would spinning up this business affect our existing employment status?

Thanks for reading.