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BizTaxMetrics

NY · Tax year 2026

LLC vs S-Corp in New York. A localized number.

At $100,000 net profit with a $50,000 W-2 salary, the federal payroll tax delta is $7,680. Adjusted for New York's $9 annual franchise/report fee, the estimated net modeled benefit (yr 1) is $7,671.

LLC Filing Fee

$200

one-time, New York Secretary of State

Annual Franchise / Report

$9

recurring, every year

State Income Tax

Yes

ordinary rates apply · not modeled

Estimated Net Modeled Benefit (yr 1)

$7,671

federal delta minus the annual fee

01 · New York model

Tune the inputs. Numbers update live.

$100,000
$20,000$500,000
$50,000
$10,000$100,000

New York annual fee (deducted from savings)

$9

LLC

Federal payroll tax

$14,130

S-CORP

Federal payroll tax

$6,450

Estimated Net Modeled Benefit (yr 1)

$7,671

Federal SE tax saved (LLC vs S-Corp) minus New York's $9 annual fee. The $200 filing fee is not included — it's a one-time setup cost. Income tax, QBI, health insurance, and retirement contributions are not modeled.

02 · Why New York specifically

The state-level numbers that move the answer.

An S-Corp election only pencils out when the federal payroll tax saved outpaces the recurring cost of running a corporate entity. New Yorkcharges $9per year to keep your entity in good standing and assesses ordinary state income tax on top of the federal figure.

At the calculator's default $100K / $50K inputs, the federal delta ($7,680) is what an LLC owner gives up in self-employment tax on net profit. After the New York annual fee, the estimated net modeled benefit is$7,671.

State-specific note: New York requires a $9 biennial statement (≈$4.50/year). LLCs formed in NY must also satisfy a county-level publication requirement within 120 days of formation, which can cost $200–$2,000 depending on the county. This publication cost is NOT included in the modeled annual fee.

Localized formula

// New York adjusted
llcTax   = netProfit × 0.9235 × 0.153
scorpTax = salary × 0.153 − 1200
savings  = llcTax − scorpTax − 9
  • LLC filing: one-time $200 to form the entity in New York.
  • Annual franchise / report: $9/yr to maintain good standing.
  • State income tax: applies on top of federal ordinary rates; not modeled.

03 · Next

Run the model against another state.