Becoming Incorporated as a realtor

[Cory Magnus]

My wife is a new realtor and we are trying to figure out how she should set up her business and start paying for expenses. Should she become incorporated? If so, an S-corp or LLC etc.? Should she use a debit card or open a business credit card? We just want to know the best way to set up an account for tax and liability purposes. Thanks!

[Laura Richards]

You need to speak to an accountant regarding tax liability because the answer to which LLC to form will depend on your return as a whole.

If your wife just became a realtor she must hang her license under an existing brokerage first. She is not allowed to own her own company until she becomes a broker herself. I believe she must be an agent for three years then take her brokerage license test.

Also, FREC and ORA have legal hotlines for realtors to call and ask these questions for free.