This guide covers how to reach your team, what to expect month to month, and the key deadlines you'll hit in your first year as a Collective member.
Getting in Touch
The easiest way to reach us is by sending a message through the Message Center in your Collective Dashboard. Prefer to talk live? Use the “Schedule a call with us” button in the Message Center to book a Zoom or phone call. Calendars are kept up to date, so if you have an urgent need to meet, just let us know in the Message Center.
You can also browse or search our Help Center any time you have a question.
Paying Yourself
Run payroll on the schedule you picked consistently. Monthly tends to be the smoothest setup for most members, but the frequency of your payroll depends on your preference. See running payroll at Collective for a walkthrough.
Set a reasonable salary. Use this guide on choosing a reasonable salary as a reference.
Understand shareholder distributions. Shareholder distributions are a less formal way to take profit out of your business for personal use, they aren’t a business expense and don’t reduce taxable income. As an S Corp, you’re taxed on total business profit rather than on the distributions themselves. Distributions don’t need to be consistent each month, but avoid draining the business account. As a best practice, keep at least two months of salary plus typical business expenses in the business account as a cushion for payroll, taxes, and surprises.
Monthly Rhythm
Bank and credit card statements. Providing your bank and credit card statements is the most important monthly step in keeping your books up to date. Many banks support automatic statement uploads through your Dashboard. If available, you can enable this feature in the Settings section of your Dashboard. If your bank does not support automatic uploads, or you choose not to enable them, you'll need to manually upload your statements each month so our Accounting Team can reconcile your accounts and keep your books accurate. Important: Only connect your business bank and credit card accounts. There is no need to connect personal accounts.
Complete Accountable Plan reimbursements. If you have mixed-use or out-of-pocket expenses (business use of home), completing your Accountable Plan reimbursements in the Reimbursements tab is the other key monthly item. Receipts usually aren’t needed unless a single expense is around or over $2,500.00, or it’s something you’d like documented for extra support.
Quarterly: Estimated Tax Payments
Self-employed individuals must make quarterly estimated tax payments toward personal income tax if they expect to owe $1,000 or more in taxes for the year.
Payments are made under your name and SSN, from your personal account, as these are not a deductible business expense. We recommend setting up an Individual Account online with the IRS to make things easier and to view your account details and history.
The Quarterly Tax Estimate tool in the Taxes tab of your Collective dashboard helps you calculate and track what you owe. Your team is happy to walk through it with you if anything looks confusing.
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Payment is typically due on the following dates (unless the date falls on a weekend, then it is due the following business day):
Q1 — April 15
Q2 — June 15
Q3 — September 15
Q4 — January 15 of the following year
Yearly Milestones
Depending on your state, you may have an annual LLC renewal or annual report requirement. Your registered agent typically sends reminders when it’s due, but if you’d like a second set of eyes on what you’re seeing, just reach out.
Collective will prepare your S Corp business tax return by the 3/15 deadline (or file a 6-month extension if needed).
Personal returns are due by 4/15 (or a 6-month extension can be filed if needed). Personal tax return preparation is offered as an a la carte service add-on service, and you can opt in directly from your Collective dashboard when the time comes.
Common Expense Questions
Unsure whether something is typically deductible or where it usually falls? This is a great starting point.
Had business activity before your S Corp start date and need to report Schedule C income/expenses for part of the year? This article explains how to handle it and includes a workbook to make it easy.
Accidentally paid a business expense personally? It’s fixable, just be sure to log it in the “Reimbursements” section of your Dashboard in the section labeled “Out of pocket” and our Accounting Team will manually add the expense to your S Corp’s books. If you accidentally paid a personal expense from your business account, please make a note in the transactions section of the Accounting section of your Dashboard, or send us a message and we will be sure to mark it as a Shareholder Distribution.