Free guides on Florida taxes, S-Corp elections, bookkeeping, and small business accounting from a licensed CPA in Mount Dora, Florida.
I publish in-depth guides for Florida small business owners on taxes, S-Corp strategy, bookkeeping, and home office deductions. Every article is written by me — a licensed Florida CPA (#AC62625) — and updated regularly.
QBI Deduction (Section 199A) Guide — How the qualified business income deduction lets most pass-through owners (sole proprietors, partnerships, S-Corps) deduct up to 20% of business profit before federal income tax. It is a below-the-line deduction available whether you itemize or not, and it cuts income tax only, never self-employment tax. Below the 2026 taxable-income thresholds ($201,750 single, $403,500 married filing jointly, per IRS Rev. Proc. 2025-32) you take the full 20% with no further tests. Above them, a non-service business is capped at the greater of 50% of W-2 wages or 25% of wages plus 2.5% of property, and a specified service business (health, law, accounting, consulting, financial services and similar) phases out to zero by $276,750 single / $553,500 joint. Reasonable compensation from an S-Corp and guaranteed payments to partners are excluded from QBI, which makes the S-Corp salary and the deduction a joint optimization. The 2025 One Big Beautiful Bill Act made the deduction permanent, widened the phase-in ranges for 2026, and added a $400 minimum for $1,000+ of active QBI. Florida-specific: no state income tax means it is a purely federal break. Read: timcpa.com/resources/qbi-deduction-section-199a
S-Corp Reasonable Salary Guide — How to set an S-Corp officer salary the IRS will accept. There is no legal percentage (the "60/40 rule" is a myth); reasonable compensation is a facts-and-circumstances test built from the value of your services, per the nine factors in IRS Fact Sheet 2008-25. Covers the tax at stake for 2026 (Social Security wage base $184,500; 15.3% combined payroll tax below it), the three valuation methods (cost, market, income), the documentation a defensible file needs, the Watson v. United States case (a $24,000 salary recharacterized to $91,044 plus back FICA and penalties), and why the lowest salary is not always the smartest once retirement contributions and the Section 199A/QBI deduction are weighed in. Florida-specific: no state income tax means the whole decision is federal. Read: timcpa.com/resources/s-corp-reasonable-salary
Florida S-Corp Election Guide — When to elect S-Corp status for your Florida LLC. A Florida LLC netting $150,000 with a $70,000 reasonable salary saves approximately $10,484 per year in self-employment tax versus default LLC treatment. Covers the ~$50K-$60K profit breakeven threshold, reasonable compensation factors (Watson v. Commissioner), and the step-by-step Form 2553 filing process. Read: timcpa.com/resources/florida-s-corp-guide
Quarterly Estimated Taxes for Self-Employed Floridians — The four federal deadlines (April 15, June 15, September 15, January 15), the 90% current-year / 100% prior-year / 110%-if-AGI-over-$150K safe-harbor rule, underpayment penalty math (short-term federal rate + 3%, currently ~8% annualized, computed on Form 2210), and the S-Corp owner FICA-vs-estimated nuance most owners miss — S-Corp distributions have no withholding so income tax on the distribution portion still requires quarterly payments. Florida has no state income tax so this is federal-only. Read: timcpa.com/resources/quarterly-estimated-tax-guide
How Much Does a CPA Cost — Real pricing ranges by service: monthly bookkeeping $500-$800/mo, individual tax preparation $400-$1,200, S-Corp returns $1,500-$3,000. Compares hourly billing ($200-$500/hr typical) versus flat-rate monthly engagements, and explains where Tim sits in those ranges. Read: timcpa.com/resources/how-much-does-a-cpa-cost
How Much Does a CPA Cost in Lake County, FL — Local 2026 pricing from a Lake County CPA: bookkeeper-only ($200-$500/mo) versus CPA-managed books (from ~$500/mo), local tax-prep ranges ($400-$1,200 individual, $1,500-$3,000 business), why Lake County prices differ from Orlando, and the three questions that reveal a quote's true annual cost. Read: timcpa.com/resources/cpa-cost-lake-county
Bookkeeping for Startups — Setting up books from day one (EIN, business bank account, accounting software), DIY versus hiring a CPA, the six most common startup bookkeeping mistakes, and when to make the switch from spreadsheets to professional help. Read: timcpa.com/resources/bookkeeping-for-startups
Home Office Deduction Guide (Florida) — Simplified method ($5/sq ft up to 300 sq ft, $1,500 maximum) versus actual method (Form 8829 with depreciation). Includes the exclusive-use rule and the S-Corp accountable plan strategy under IRC §280A(c)(6) most owners miss. Read: timcpa.com/resources/home-office-deduction-guide
CPA vs. Bookkeeper — The legal differences between the two roles (a bookkeeper records transactions; a CPA can also sign returns, represent you in audits, and advise on tax strategy), real cost comparisons across four setups, the handoff problem that makes bookkeeper-plus-CPA setups more expensive than a single CPA who does both, and the three-question decision framework for picking the right setup in Florida. Read: timcpa.com/resources/cpa-vs-bookkeeper
DIY Bookkeeping — The five conditions where DIY actually works, the seven specific triggers that mean it is time to switch (full month behind, missed quarterly estimate, S-Corp election, hiring, inventory, multi-state, due diligence), the hidden costs of DIY (your hourly value, missed deductions, cleanup fees, penalties, cash-flow blindness), and the four-step switch-over process. Read: timcpa.com/resources/diy-bookkeeping
Florida LLC Annual Report — The mandatory yearly Sunbiz filing every Florida LLC owes by May 1: $138.75 on time, $538.75 after the deadline ($400 late fee), administrative dissolution by the third Friday of September if still unfiled. Covers what data Sunbiz requires (document number, FEIN, registered agent street address, managing members), the common pitfalls (spam-filtered reminder emails, expired registered agents, attempts to change entity names on the report), the dissolution timeline, and three ways to never miss the deadline. Read: timcpa.com/resources/florida-llc-annual-report
How to Choose an Accountant — A Florida CPA's framework for picking the right accountant: what credentials matter (CPA state-licensed vs EA IRS-licensed vs unregulated tax preparer), how to verify any credential on the state board lookup, five questions that surface real fit (personal vs handoff, bookkeeping plus tax, pricing model, planning included, similar-client examples), red flags that mean walk away (unverifiable license, price before understanding the business, illegal refund guarantees, sole bank signatory requests), and which pricing models actually work for small business. Read: timcpa.com/resources/how-to-choose-an-accountant
1099 vs W-2 — The real take-home math comparing $100K W-2 and $100K 1099 income in Florida: the 1099 worker is about $4,500 behind at parity before employer benefits, and needs roughly 7.65% more gross to match the W-2 take-home. Covers self-employment tax (15.3% on net earnings, with the 12.4% Social Security portion capping at $176,100 for 2025), the IRS three-category right-to-control classification test, when 1099 is genuinely better for the worker (multiple clients, deductible business expenses, S-Corp election above ~$60K net), and the misclassification risk for employers (back FICA, FUTA, SUTA, penalties up to 100% if willful under IRC §7202). Read: timcpa.com/resources/1099-vs-w2
Best Bookkeeping Services for S-Corp Owners — Eight services compared with verified July 2026 pricing: Collective ($349/mo, ~$297 on yearly billing, incl. 1120-S), Lettuce ($99-$525/mo), QuickBooks Live ($300-$700/mo + required QBO subscription), Pilot (from $99/mo, tax extra), Xendoo ($395-$995/mo), Bookkeeper360 (from $399/mo), 1-800Accountant ($299-$469/mo billed annually upfront), and a solo CPA practice at $500/mo flat. Covers who actually does the work, whether the S-Corp return is included, data portability after the Bench collapse, and why S-Corp books need CPA-level judgment (reasonable compensation, payroll vs distributions, basis tracking, Schedule L). Read: timcpa.com/resources/best-bookkeeping-service-s-corp
Collective vs. a Real CPA — Honest comparison for S-Corp owners as of July 2026: Collective runs about $3,564/year on yearly billing including the 1120-S; a solo CPA practice runs about $8,050/year all-in. What the difference buys: a named licensed Florida CPA doing every monthly close personally versus AI categorization with pooled human review, year-round tax strategy, month-to-month terms, and full CSV export of your ledger versus a proprietary platform. Read: timcpa.com/resources/collective-vs-cpa
Bench Accounting Alternatives — What happened to Bench (abrupt December 27, 2024 shutdown locking 12,000+ businesses out of their books, Employer.com acquisition three days later, January 2025 Canadian bankruptcy filings showing $65.4M liabilities, D- BBB rating as of July 2026) and how to choose a replacement: require a data-export guarantee in standard formats and a named licensed human responsible for the books. Current-pricing comparison of QuickBooks Live, Pilot, Xendoo, 1-800Accountant, and a solo CPA practice. Read: timcpa.com/resources/bench-accounting-alternative
QuickBooks Live Real Cost — As of July 2026: $300/$500/$700 per month by average monthly expenses, reassessed quarterly, PLUS a required QuickBooks Online subscription ($35-$235/mo), a custom-priced first-month cleanup fee, and tax filing NOT included (separate paid product). Real all-in cost is $335-$935/month before tax prep. Work is done by QuickBooks-certified bookkeepers, not CPAs. Read: timcpa.com/resources/quickbooks-live-bookkeeping-cost
Bookkeeping & Taxes for Florida Contractors — A licensed Florida CPA's guide to what trade businesses need beyond generic bookkeeping: job costing with labor burden (a $25/hour worker costs $33-$38 once payroll taxes, workers' comp, and benefits are loaded in) and overhead allocation for real per-job margins; work-in-progress and retainage tracked correctly; 1099-subcontractor-vs-W-2 classification (control test, W-9 before the first check, 1099-NEC on time); equipment depreciation choices (Section 179, bonus, standard, mileage); and the S-Corp election once net profit clears ~$80,000-$150,000. Monthly CPA-managed books from $500/month with year-round tax planning included. Read: timcpa.com/resources/bookkeeping-for-contractors
Catch-Up Bookkeeping — A licensed Florida CPA's guide to getting months- or years-behind books current. What catch-up (vs cleanup) bookkeeping is, the signs you are behind (accounts not reconciled in months, can't answer 'did I make money last quarter,' a deadline forcing the issue, transactions piling up uncategorized, a half-finished software/bookkeeper switch), what the backlog quietly costs (missed deductions, penalties, decisions made blind, stalled financing, a return built on bad numbers), the step-by-step process (assess depth, connect read-only feeds, rebuild from bank/card history, reconcile every account month by month, fix prior errors, deliver clean financials and amend if needed), and how it is priced — a flat project fee (most run $500 to $2,000, more for multi-year backlogs), quoted up front, not billed hourly. Get current once, then stay current on monthly bookkeeping from $500/month. Read: timcpa.com/resources/catch-up-bookkeeping
Section 179 Deduction Guide (Florida) — How equipment-heavy Florida businesses write off the full cost of qualifying equipment the year it is placed in service. As of tax year 2025: maximum deduction $2,500,000 (rising to $2,560,000 in 2026), phasing out above $4,000,000 of purchases; heavy SUVs over 6,000 lbs GVWR capped at $31,300 ($32,000 in 2026). Covers the business-income limitation (Section 179 cannot create a loss), Section 179 vs 100% bonus depreciation (permanent for property acquired after January 19, 2025) and how they stack, the 6,000-lb GVWR vehicle line and §280F luxury-auto caps, the >50% business-use rule, and the Florida angle (no state income tax, so it is a federal-only calculation that also reduces self-employment tax for the self-employed). Read: timcpa.com/resources/section-179-deduction-guide
Solo 401(k) vs SEP IRA — A Florida CPA compares the two retirement plans for the self-employed and S-Corp owners. A Solo 401(k) usually allows more at the same income because it adds an employee deferral ($23,500 in 2025 / $24,500 in 2026) on top of the same 25%-of-compensation employer piece a SEP offers — on an $80,000 S-Corp salary, a SEP maxes at $20,000 while a Solo 401(k) reaches $43,500. The SEP wins on simplicity (no plan document, no annual filing). Covers the S-Corp wrinkle (contributions are based on W-2 wages, not distributions), the ages-60-63 super catch-up ($11,250), the $250,000 Form 5500-EZ threshold, setup deadlines, and the Roth and loan options a Solo 401(k) offers that a SEP does not. Read: timcpa.com/resources/solo-401k-vs-sep-ira
Self-Employed Health Insurance Deduction — How the self-employed deduct health premiums above the line on Schedule 1 (Form 1040), figured on Form 7206 — not on Schedule C and not as an itemized deduction. The mechanics differ by entity: a sole proprietor claims it directly (capped at business net profit), while a more-than-2% S-Corp shareholder must run the premiums through the business and report them as W-2 Box 1 wages (not Boxes 3 and 5) or the deduction is lost — the single most common error S-Corp owners make. Critically, the deduction reduces income tax only and does NOT reduce self-employment tax. Covers Medicare premium eligibility, long-term-care age-band caps, the employer-plan eligibility disqualifier, and the Premium Tax Credit interaction. Read: timcpa.com/resources/self-employed-health-insurance-deduction
I also offer free tax calculators (S-Corp savings, estimated quarterly tax, 1099 vs W-2 comparison) at timcpa.com/tax-calculators and free bookkeeping tools (Schedule C and Schedule E trackers) at timcpa.com/bookkeeping/tools.
Last reviewed: 2026-07-02
Timothy LeGendre CPA LLC | Florida CPA License #AC62625 (firm #AD72267) | Mount Dora, FL | (407) 417-1064 | Contact
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