You formed your LLC. Good job.
But many business owners unknowingly make critical mistakes after formation that quietly destroy liability protection, trigger audits, and limit growth.

In this episode, Mike walks through the 10 most common LLC mistakes business owners make in 2026 and explains exactly how to fix them. From mixing personal and business finances to ignoring tax planning and misclassifying owner compensation, this episode gives you a practical framework to audit your business and protect it the right way.

If you want your LLC to survive and thrive, not just exist on paper, this episode shows you what to fix now before it becomes expensive later.

👉 Get the Free Tax Savings Starter Kit Built for Small Business Owners:
https://www.taxsavingspodcast.com/starterkit

🚀 Book your free demo call today. Click here or visit:
https://taxelm.com/demo/

Chapters

(01:00) Mixing Personal and Business Finances
Why commingling funds breaks liability protection and how to properly separate accounts without overcomplicating things.

(02:00) Failing to Maintain LLC Compliance
Annual reports, renewals, and filings business owners forget that can cause administrative dissolution.

(03:20) Ignoring the S Corporation Opportunity
How LLC owners overpay self-employment taxes by not exploring an S Corp election at the right time.

(04:10) Misclassifying Owner Compensation
The difference between owner draws and W2 payroll, and why paying yourself the wrong way creates tax problems.

(05:45) Operating in the Wrong State
Why forming an LLC in one state but operating in another requires foreign registration.

(06:40) Skipping Tax Planning
Why taxes are often a business owner’s biggest expense and how proactive planning changes everything.

(07:30) Failing to Update State Filings
What happens when partners, addresses, or business purposes change and filings are not updated.

(08:10) Treating the LLC Like a Hobby
How hobby loss rules work and why consistent losses without profit motive raise red flags.

(09:00) The LLC Audit Checklist
Simple steps to audit your LLC today, fix weak spots, and build better habits going forward.

Podcast Host:

Mike Jesowshek, CPA – Founder and Host of Small Business Tax Savings Podcast
Join TaxElm: https://taxelm.com

🚀 Visit: https://www.TaxSavingsPodcast.com

🚀 Check Out TaxElm: https://taxelm.com/

🚀 Join our Free Facebook Group: https://www.facebook.com/groups/taxsavings/

🚀 YouTube: www.TaxSavingsTV.com

👋🏼 GET IN TOUCH
You can Tweet @MJesowshek with any feedback, ideas, or thoughts about the lessons you've learned from the episodes. We want to thank you personally for tuning in 🙏

🙌LEAVE A REVIEW
If you enjoy the podcast, please leave a 5-star review on Apple Podcasts or Spotify—it helps more business owners find the show ⭐

🎙 ABOUT THE PODCAST
The Small Business Tax Savings Podcast is your go-to resource for cutting-edge tax strategies to help entrepreneurs legally slash their tax bills. Hosted by Mike Jesowshek, CPA, this show breaks down complex tax topics into clear, no-fluff insights so you can keep more of your hard-earned money.

Thinking about forming an LLC in 2026? In this episode, Mike breaks down how to set up an LLC step by step, what “free” really means, state filing costs, common mistakes to avoid, and why an LLC can act as an insurance policy for future S Corp tax savings. Perfect for new and growing business owners who want clarity without the confusion.

If you want a clean, simple business setup that protects you now and gives you flexibility later, this episode gives you the roadmap without the legal confusion.

👉 Get the Free Tax Savings Starter Kit Built for Small Business Owners: https://www.taxsavingspodcast.com/starterkit

🚀 Book your free demo call today! Click here or visit: https://taxelm.com/demo/

Chapters

(01:00) Why Form an LLC in 2026
The 3 core reasons business owners form LLCs. Liability protection, credibility, and flexibility for future tax planning.

(02:10) Why an LLC Is an Insurance Policy for an S Corp
How an LLC allows you to elect S Corp status later and why sole proprietors do not have that option.

(03:00) What “Free” LLC Setup Really Means
State filing fees, unavoidable costs, and what online “free” services actually do.

(03:55) The Step-by-Step LLC Setup Process
Choosing a business name, selecting a registered agent, drafting an operating agreement, filing with the state, getting an EIN, and opening a business bank account.

(06:05) The Biggest LLC Mistakes Business Owners Make
Why not using the LLC, mixing funds, missing renewals, and following bad internet advice cause legal and tax issues.

(07:40) Bonus Tips to Strengthen Your LLC
Operating agreements, separating finances, tracking expenses, and setting up bookkeeping the right way.

(08:30) When to Consider an S Corporation
$50,000 in profit is a common tipping point and how an LLC makes the transition easier.

(09:00) Final Takeaway
How to use an LLC to protect yourself today while setting up smarter tax planning for the future.

Podcast Host:

Mike Jesowshek, CPA – Founder and Host of Small Business Tax Savings Podcast
Join TaxElm: https://taxelm.com

🚀 Visit: https://www.TaxSavingsPodcast.com

🚀 Check Out TaxElm: https://taxelm.com/

🚀 Join our Free Facebook Group: https://www.facebook.com/groups/taxsavings/

🚀 YouTube: www.TaxSavingsTV.com

👋🏼 GET IN TOUCH
You can Tweet @MJesowshek with any feedback, ideas, or thoughts about the lessons you've learned from the episodes. We want to thank you personally for tuning in 🙏

🙌LEAVE A REVIEW
If you enjoy the podcast, please leave a 5-star review on Apple Podcasts or Spotify—it helps more business owners find the show ⭐

🎙 ABOUT THE PODCAST
The Small Business Tax Savings Podcast is your go-to resource for cutting-edge tax strategies to help entrepreneurs legally slash their tax bills. Hosted by Mike Jesowshek, CPA, this show breaks down complex tax topics into clear, no-fluff insights so you can keep more of your hard-earned money.

If you are already behind on your taxes in January, there are four tax tasks you cannot skip.

In this episode, we break down the four financial tasks every business owner needs to complete in January to start 2026 clean and organized. Mike explains why unfinished bookkeeping leads to missed deductions and unnecessary stress, how to properly review your financials, and why most tax issues begin long before filing season.

We also cover the importance of creating a simple financial summary document, meeting the January 31 1099 deadline, and building a proactive tax plan early in the year instead of scrambling in December.

If you want 2026 to be more profitable and less stressful, this episode shows you exactly where to start.

👉 Get the Free Tax Savings Starter Kit Built for Small Business Owners: https://www.taxsavingspodcast.com/starterkit

🚀 Book your free demo call today. Click here or visit: https://taxelm.com/demo/

Chapters

(00:37) Close Out 2025 Before You Move Forward
Why unfinished bookkeeping follows you into the new year.

(01:00) How to Review Your Books the Right Way
What to check in your income statement and balance sheet for accuracy.

(02:55) How to Organize Tax Documents Properly
Why storing receipts and records now saves stress later.

(03:50) The Financial Summary Document Every Owner Needs
A simple snapshot that shows assets, liabilities, and insurance in one place.

(06:36) Why Advisors Love This One Document
How it leads to better advice, faster decisions, and smarter planning.

(08:00) The January 31 1099 Deadline
Who needs a 1099, who does not, and what payments count.

(11:07) Implementing Tax Strategies Throughout the Year
Why spreading strategies across the calendar leads to real savings.

(13:24) The Bottom Line for a Strong 2026
Clean books, clear visibility, timely filings, and a tax plan that works.

Podcast Host:

Mike Jesowshek, CPA – Founder and Host of Small Business Tax Savings Podcast
Join TaxElm: https://taxelm.com

🚀 Visit: https://www.TaxSavingsPodcast.com

🚀 Check Out TaxElm: https://taxelm.com/

🚀 Join our Free Facebook Group: https://www.facebook.com/groups/taxsavings/

🚀 YouTube: www.TaxSavingsTV.com

👋🏼 GET IN TOUCH
You can Tweet @MJesowshek with any feedback, ideas, or thoughts about the lessons you've learned from the episodes. We want to thank you personally for tuning in 🙏

🙌LEAVE A REVIEW
If you enjoy the podcast, please leave a 5-star review on Apple Podcasts or Spotify—it helps more business owners find the show ⭐

🎙 ABOUT THE PODCAST
The Small Business Tax Savings Podcast is your go-to resource for cutting-edge tax strategies to help entrepreneurs legally slash their tax bills. Hosted by Mike Jesowshek, CPA, this show breaks down complex tax topics into clear, no-fluff insights so you can keep more of your hard-earned money.