STRATEGY 2: Pay Your Kids (Shift Income Efficiently)
What it is: Pay children through your business: Deduct expense Child pays little/no tax Who it applies to: Business owners with children under 18 How to execute: Assign real, age-appropriate work Pay up to ~$17,500/year Run payroll properly Deduct wages Key compliance points: Maintain timesheets, job roles, and payment records Risk: If work is not legitimate or documented, wages can be disallowed.