Schedule C baseline
Use annual net business profit after ordinary business expenses, before any owner salary assumption. This approximates the self-employed baseline.
Tax projection tool
Updated for 2026 assumptions
Schedule C vs S-Corp Tax Calculator
Estimate a rough Schedule C to S-Corp tax projection by comparing self-employment tax under sole proprietor treatment with S-Corp salary, payroll tax, distribution, and admin cost assumptions.
Educational projection only. SCorpMath does not provide tax, legal, accounting, payroll, or financial advice.
Rough result
$3,245
Estimated net difference after admin costs, based on your assumptions.
May be worth discussing
Assumptions used
- Net earnings subject to SE tax
- $110,820
- Estimated S-Corp salary
- $70,000
- Estimated distribution before admin costs
- $44,645
- Salary as share of profit
- 58.3%
- Break-even admin cost
- $6,245
This calculator provides a rough educational estimate only. It is not tax, legal, accounting, payroll, or financial advice. Actual results may vary based on your full tax return, reasonable compensation, state rules, QBI, deductions, payroll setup, and other facts.
S-Corp salary assumption
Enter a shareholder-employee salary assumption for the S-Corp scenario. The tool does not determine reasonable compensation.
Projection limits
The result excludes full income tax, state tax, QBI, retirement plans, accountable plans, shareholder basis, and full business return outcomes.
Schedule C to S-Corp
A first-pass projection, not a filing decision
Schedule C businesses and single-member LLCs often start with a self-employment tax estimate. An S-Corp projection separates a salary assumption from remaining profit, then estimates payroll taxes on that salary. That can make S-Corp treatment worth discussing, but it does not answer the full planning question.
For broader context, read the LLC vs S-Corp guide and the reasonable salary guide.
What does a Schedule C vs S-Corp tax calculator compare?
It compares a simplified Schedule C-style self-employment tax estimate with an S-Corp salary and payroll tax assumption. SCorpMath then subtracts estimated admin costs to show a rough net difference.
Is this a tax projection tool for accountants?
Accountants, bookkeepers, and business owners can use it to frame an early discussion, but it is not professional tax software and does not replace a CPA, EA, attorney, payroll provider, or full tax projection.
Does this calculator decide whether to move from Schedule C to S-Corp?
No. It can show how the assumptions affect a rough estimate, but eligibility, Form 2553 timing, reasonable compensation, payroll setup, state rules, and full tax facts need professional review.
Does this Schedule C to S-Corp estimate include income tax?
No. It focuses on the self-employment tax and S-Corp payroll tax difference. It does not calculate complete federal income tax, state income tax, QBI, credits, retirement plans, or Form 1120-S outcomes.