Done-for-you LLC formation, EIN, operating agreement, and S-Corp election — built specifically for traders running Apex, TopStep, Tradeify, FTMO and other prop firms. Cut self-employment tax, protect every eval-fee deduction, and stop drawing IRS attention.
Plug in net trading income and the free calculator shows the typical SE-tax savings an S-Corp election could unlock. Estimates only — every situation varies, and a CPA confirms the real number.
Running prop firm payouts through your personal Schedule C costs you self-employment tax on every dollar — and weakens every deduction you try to take.
S-Corp election lets you split prop income between W-2 salary and distributions. Distributions skip the 15.3% SE tax entirely.
Eval fees, platform fees, monitors, education — all become unambiguous business expenses paid by the LLC, not "stuff you bought."
$10K of "miscellaneous" deductions on a personal Schedule C looks like a hobby. The same expenses through an LLC look like a business.
Solo 401(k) and SEP-IRA contributions become available — sheltering tens of thousands more per year from tax.
Prices below cover TraderTax's setup work. State filing fees ($50–$300+ depending on your state) pass through to you at cost. Talk to a CPA first — we'll quote you exactly after the call, no payment until you decide to move forward.
Optional last step: most LLC clients bundle tax filing too — a TraderTax-matched CPA who already knows the entity handles the returns, quarterly estimates and all.
Probably not yet — under ~$40K in net prop income, the savings rarely beat the setup and admin cost. Where it absolutely starts to matter is when you're paying $5K+ per year in evaluation fees, generating regular payouts, or running multiple firms simultaneously. Use our free Tax Snapshot if you're not sure.
Almost always your home state. The "Wyoming/Delaware LLC" hype online doesn't apply to solo traders — forming out-of-state usually creates the obligation to register as a foreign LLC in your home state anyway, which means double fees. The exception is California, where the $800 annual franchise tax sometimes pushes traders to form elsewhere. We'll walk you through your specific situation.
That's the fee your state charges to officially register the LLC. It varies by state — Kentucky and Mississippi are around $50, Massachusetts is $500+, most states are $100–$200. We pass it through at cost and tell you the exact amount once you tell us your state in the intake.
If your net prop income is over ~$80K/year, the math typically works strongly in its favor — SE tax savings commonly run $5K–$25K+ annually, typically covering the added complexity and our fee many times over. Between $40K and $80K it's borderline; below $40K it usually doesn't make sense yet. The Premium tier includes a reasonable-compensation analysis so the salary gets set correctly, and the CPA call confirms fit before anything is filed.
Standard filing is 7–14 business days end-to-end (most of that is waiting on the state). Expedited filing (Premium tier) cuts it to 3–5 business days in most states. EIN comes through the IRS within 1–2 business days once we file Form SS-4.
Yes, but the cleaner the cutover the better. Best practice: form the LLC, get the EIN, open the business bank account, then point all new prop firm payouts to the LLC starting from a clean date. Pre-LLC income stays on your personal Schedule C; post-LLC income flows through the entity.
We do that too — Form 2553 standalone filing is included in our Premium tier or available as an add-on. There's a 75-day window after forming an LLC, plus a March 16, 2026 cutoff (the usual March 15 falls on a Sunday) for existing entities to elect S-Corp for the current year — timing is typically the piece traders miss.
Yes — that's our core service: returns handled by TraderTax-matched CPAs who specialize in trader taxation. Most LLC clients also bundle our File It / Optimize It / Strategize It tax prep packages, and the Premium LLC tier includes a 60-min CPA session to plan year-1 quarterlies and discuss whether bundling makes sense.
Updated July 2026. This page is informational only and not personalized tax or legal advice — every trader's situation varies, and a CPA confirms what actually fits. Formation work is performed by independent licensed CPAs and registered agents. Curious how client data is protected? See our security practices.
5-minute intake, then a CPA who specializes in trader entity setup reaches out within one business day. No payment now — just a real conversation about whether an LLC fits your situation.
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