Need advice on taxes for S-Corp (good beginner lesson)

[Michael Lerch]

So I formed an LLC and opted to be taxed as an S-corp in 2012 thinking I'd save money on payroll taxes when I make a ton of money, well... like most new investors I only made a little... $1,650 I paid myself out of a $3,000 wholesale assignment and thought I could pay self-employment taxes like I would a schedule - C. Apparently not, and found out I needed to give myself a W-2, which involves payroll, which involves paying withholding qtrly, which I didn't know I was supposed to do (again, thinking I could do this at the end of the year).

My question is this... the first deal for $3,000 was in my name and not my LLC's name. Check was in my name, P&A was in my name. Can I legally claim it as personal income instead of income that went through my business? If so I'm hoping to avoid the mess of payroll taxes and penalties for not paying on time.

Let this be a lesson for newb wholesalers/investors out there doing an S-corp. It's not a schedule - C! You have a crap ton of forms, pay quarterly withholding/self-employment tax/payroll tax, give yourself a W-2, and so be prepared to spend money hiring a CPA and a payroll program/service. My advice is if you're starting out go with a simple LLC / schedule C and save yourself a lot of trouble until you start making a lot of money in real estate. I wish I had.

Any help with my question above would be great. Please explain your answer.

Thanks