EP46 - LLC vs. Sole Proprietor: What Creatives Need to Know Before Filing

If you're a photographer, filmmaker, designer, actor, or any creative making money on your own terms, you’ve probably wondered: do I actually need an LLC, or is a sole proprietorship enough? In this episode, Anastasia and Myiesha break down LLC vs sole proprietor taxes for creative business owners, including single-member LLC rules, California LLC fees, the $800 franchise tax, S-corp election timing, EIN vs SSN, and when a client forces you to form a business. A sole proprietor means you and the business are one person for tax purposes. A single-member LLC is “disregarded” by the IRS, so it gets its own bank account and name but still reports profit on your personal return. The real question is whether the extra paperwork, state fees, and brand planning are worth it for where your business is headed. In This Episode We'll Cover: What a sole proprietor actually is (and why it’s the default) How a single-member LLC is taxed (spoiler: usually the same as a sole prop) The hidden California LLC costs, including the $800 franchise tax and Form 568 Why some clients won’t pay you without an LLC or EIN Employee vs independent contractor classification red flags in California When forming an LLC now saves you from a total rebrand later How DBAs work and why they don’t lock in your name statewide The S-corp election timing question and why it matters for LLCs Hobby vs business rules and why intention changes your tax bill A quick checklist to decide if an LLC is right for you today Why subscribe? Because running a creative business shouldn’t feel like you’re guessing your way through a foreign language. Every episode, Anastasia and Myiesha translate tax jargon into plain English, swap scary IRS notices for clear action steps, and treat your money anxiety like the unwelcome houseguest it is—so you can get back to making your best work. Whether you’re a photographer, filmmaker, designer, actor, or any creative making money on your own terms, this is the tax talk that finally makes sense. 🔗 Listen everywhere: Apple Podcasts: https://podcasts.apple.com/us/podcast... Spotify: https://open.spotify.com/show/08AjRNf... Watch on YouTube:    / @letsgetfiscalpodcast   📊 Helpful resources: Got a question for the show? Submit it here: https://www.coterietax.com/qa Want to listen to more episodes? Start here: https://www.coterietax.com/podcast Need personalized help? Visit: https://www.coterietax.com/ What's your biggest tax or money question right now? Drop it in the comments below—Anastasia and Myiesha read every comment and love helping with real-world situations. Produced, Edited, and Distributed by ‪@PodBrosMedia‬ https://podbrosmedia.com #LLC #SoleProprietor #CreativeBusiness #SmallBusinessTaxes #TaxPlanning #FreelanceFinance #BusinessEntity #SCorpElection #BrandProtection #CoterieTax #LetsGetFiscal