I suggest putting birddogs in your LLC as a restricted member with an interest in management activities and pay them, however, as a member rather than as a contract employee or independent contractor.

One rule of thumb you can use is 10% of the gross spread.

While working as a residential rental agent from May-August I grossed over $30,000.  

And I was assuming you'd be self managing so no PM fee.There's 850/mo in expenses there so your gross profit is roughly 650/month.At that price, you should make money providing your screening is good and your rehab includes anything that has a short lifespan (btw I replace water heaters on every house I get - no matter how good they look.

But you can be nice to the tax department employees and they can print it off for you.

Now I want to hire him as an employee.

.- VA - no equity in the primary residence is required to use rental income offset and depending on who the investor is on the note you should not require 2 year land lord experience as well (documented by tax returns or third party verification).The key distinct advantage of VA rental income offset is that its not discounted which means you can use 100% of the monthly gross income to offset your current PITIA (monthly principal/interest/tax/insurance/assessments of your current residence).

A great avenue for steady work for my employees. 

$1m cash = $4m in vacation rental properties leveraged, $800k+ gross, $400k+ NOI, $200k+ after debt service assuming full management.  

In addition to risking vandalism while the house is empty and paying for property taxes, they also have to pay a property manager to take care of the house and various bank employees are involved in reviewing offers and deciding what to do with the house.