Tax & Compliance
Founder Personal Finance
Collated by Aparna Devalla, CPA
Curated by Rubric Financial
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Tax Obligations Most Founders Miss
- Estimated tax payments: founders with equity income, consulting income, or S-corp distributions must make quarterly estimated payments to avoid penalties
- State tax obligations: if you moved from California to Texas for tax reasons, California may still claim you as a resident for up to 18 months based on ties
- 83(b) election: must be filed within 30 days of receiving restricted stock — missing this deadline can cost hundreds of thousands in taxes later
- Self-employment tax: founders paying themselves through an LLC owe 15.3% SE tax on all net income — S-corp election can reduce this significantly
Related Resources
Tax & Compliance
R&D Tax Credits for Startups
Discover how your startup can claim R&D tax credits to offset payroll taxes or reduce income tax liability by up to $500K per year.
Tax & ComplianceWhen to Transition Your LLC to an S-Corp
How electing S-corp status can reduce self-employment taxes for profitable startups — and when the transition makes financial sense.
Tax & ComplianceSection 754 Election: Step-Up Basis for Partnerships (and Why S-Corps Can't)
The §754 election is the mechanism that lets partnerships and LLCs step up the inside basis of their assets when a partner dies, transfers their interest, or takes a distribution. S-corps have no equivalent — a real cost founders often discover too late.
