There seem to be a ton of LLC related questions and I've been through most of them but I don't see anything that answers my question directly.
Right now I'm on a 1099 and it was suggested that I get an LLC for tax benefits. I've setup an LLC. My question is, what is my actual tax rate?
I live in California. I make $103k/yr. On W2 I think my tax rate was 25-28%. What is my tax rate on a 1099 and what will my tax rate be when I'm under the LLC?
I keep seeing ~15% self employment tax. But I've read it's only to cover the medicare/disability portion that an employer would normally cover under a W2. So is that a 15% in addition to my normal 25-28%?
Additionally, I have a 1099 contract that makes about $17k/yr. I want to move that under the LLC as well. Would the change anything as far as the tax bracket?
I'm paying ~$28K in taxes a year with W2 and my additional 1099 work. What would I be paying while under self employment using an LLC?
As an LLC, do I still have to take out my own taxes or are they withheld like a W2? I'm assuming I have to manage that and that's why I need to understand my tax rate.
LLC was setup as a sole proprietor and is a pass-through. I added both myself and my wife.