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The Payoff

Can giving more to yourself or your employees mean giving less to Uncle Sam?

When business is good and sales are pouring in, life couldn't be better--except when it comes to taxes. Because now, of course, you're shelling out more to the IRS and keeping a smaller slice of that hard-earned cash for yourself. The good news is there are ways to reward yourself and your employees that can actually save you money in taxes. And it's not just during a boom that it's helpful to look at your compensation arrangements to make sure your strategy makes the most sense taxwise. When it comes to tax dollars, any time is the right time for a checkup.


Joan Szabo is a writer in Great Falls, Virginia, who has reported on tax issues for more than 13 years.

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This article was originally published in the August 1999 print edition of Entrepreneur with the headline: The Payoff.

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