Potential benefits of a PLLC

Let's start off by reminding readers that Reliable LLC Filings is a document filing company and does not dispense legal or tax advice. That said, Realtors are our life. We work with you on a daily basis, counsel you when we can and answer questions that come up. We share with you, here, information that you are bound to want to know.

Namely, why would I want a PLLC?

It is our understanding that the benefits can be huge.

1. There is the whole initial thing that you Realtors having going on. Why not add PLLC to your title and business card. Along with the other designations that Realtors collect, this can help you with credibility with your clients.
2. Again, not dispensing tax advice but it is our understanding that the tax benefits can be huge. To quote my client Bruce, "I got my PLLC because I thought I had to. Now I pay myself a salary from my PLLC. Any income over my salary gets taxed differently because I'm not taking the income under my social security number. This saves me big time."
3. I've read that the IRS prefers that small business owners (read Realtors here) operate under a legal business structure instead of a sole proprietor. One could argue that this would potentially cut the risk of an audit because all income and expenses would be running out of the same LLC.

In all fairness, we must point out that the limited liability inferred in the name "Professional Limited Liability Company" is not going to protect you against any professional errors you make that a client might sue you for. So, you're still going to need your E & O insurance.However, it may prevent a judgment from stretching into your personal assets and equity.

We have helped lots of agents create their PLLCs. We save you the time and hassle of driving downtown to do the filing, figuring out the publishing and navigating through transferring your license to the PLLC. Plus, we've met with the ADRE and know what specific language needs to be on the Articles of Organization so that your forms are filed right the first time!

Otherwise, we have helped lots of agents create their PLLCs. Armed with a PLLC and a good accountant, it's possible to get some huge tax savings as opposed to being paid as sole proprietor under your social security number.