I have a question about the best way to hire my son to maximize tax savings for the both of us.
I am retired and have an S Corp from back when I used to be a travel agent. Now my only income is from rental properties (not under the S Corp) and I'm looking to grow these investments. I plan on hiring my son as a full-time IT consultant (around $20-$25/hour) to create a customized website, network, and payment portal for all my rental properties. He also plans on managing online advertising and creating/maintaining a social media presence.
What is the best way for me to hire my son so that would maximize tax savings for the both of us?
The options I am considering:
1. W2 employee of the S Corp
2. 1099 Contractor hired by S Corp
3. 1099 Contractor hired directly by me
I am even open to adding my son’s name to the S Corp if that would help maximize our tax savings somehow. I am not very knowledgeable on these things and how to maximize potential deductions, so any advice would be greatly appreciated! Thank you.