2026 Form 1120-S · Reasonable Salary & 20% QBI

2026 S-Corp Reasonable Salary & 20% QBI Calculator

Compare an LLC against an S-Corporation for 2026, optimize your W-2 salary, and download your Board Minutes PDF.

15.3% FICA Tax ShieldS-Corp K-1 distributions skip Social Security & Medicare tax.
20% QBI DeductionPermanent Section 199A pass-through write-off on net K-1 profit.
Audit-Ready Minutes PDFPrints your signed IRS Reasonable Compensation Board Resolution.
Part I · Business Entity, Net Profit & Officer Reasonable Salary
Printed on Corporate Minutes Resolution PDF Enter a company or taxpayer name.
Sets BLS/IRS occupational salary benchmark
Sets 2026 QBI phase-out & federal tax brackets
Gross revenue minus operating expenses ($20k to $5M) Enter net profit between $20,000 and $5,000,000.
Form 1120-S Line 7 Officer Compensation Enter a W-2 salary between $10,000 and $2,000,000.
Tax-free Home Office + Business Mileage deduction Enter $0 to $100,000 in accountable plan reimbursements.
Part II · Solo 401(k) / SEP, 2% Shareholder Health Insurance & State PTET
Added to W-2 Box 1 (FICA-exempt!) & Form 1040 Sch 1
Up to 25% of W-2 salary ($72,000 total 2026 415(c) cap)
Enacted Public Law 119-21 permanent 20% rate ($400 min floor)
Build IRC § 62(c) Accountable Plan PDF