Agents are independent contractors with huge deductions — and once you're earning well, an S-corp can save you thousands.
Almost all real estate agents are 1099 independent contractors, not employees, so you owe self-employment tax on your commissions and nothing is withheld. The upside is a long deduction list, led by your vehicle and your marketing spend.
Once your net income climbs, electing S-corp status can cut your self-employment tax meaningfully — it's one of the highest-value moves we look at for agents.
Income you’ll report on: 1099-NEC.
Most people in this line of work leave money on the table. Here's what we make sure to capture:
If you earn as an independent contractor, yes — self-employment tax is 15.3% (Social Security and Medicare) on your net profit, on top of regular income tax. You deduct half of it, and every business deduction lowers what you owe. We handle the calculation on Schedule SE.
Common write-offs include vehicle / mileage driving clients and to listings, marketing, advertising, signage, and photography, mls, board, and association dues, e&o insurance, plus a share of your phone and any home-office use. We go through your year line by line so nothing legitimate gets missed.
If you expect to owe $1,000 or more for the year, the IRS generally wants quarterly estimated payments to avoid an underpayment penalty. We calculate them so next April isn't a surprise.
Yes. Your income is taxable whether or not a client or platform sent a 1099. We report it correctly and offset it with every deduction you qualify for.
Tell us what you've got and we'll come back within one business day with the plan and the price · from a preparer who knows your line of work.
Tell us what you’ve got