Because you ONLY pay self-employment tax on your net income (or net salary), and you do not pay self-employment tax on the money that you distribute to yourself as an owner draw.

what if someone is self employed or become become self employed later after closing here says at least 25% ownership in the businesshttp://www.fhahandbook.com/blog/fha-self-employed-income-guidelines/

In coastal markets, this (little to no cash flow) strategy, is often employed.

Cashflow is my number one goal but to gauge appreciation potential/rent growth I look at:Location (market) - Census trends, average price to rent ratios, employment rates, landlord/tenant laws, tax rates (1% in CO is very different from 4.3% in upstate NY)Location (submarket) - Schools, crime, walkability, "path of progress" trends, distance to downtown/jobs, public transportation, commercial development

This particular company had a little cartoon presentation that was easy on the eyes with stats on it including its largest employers like Progressive, Sherwin Williams etc as well as the 2nd Best Hospital in the US and some other things.

I can look at employment statistics and labor all day and see that there has been some growth in median income year over year but nothing mind blowing.

Or increased job security due to the density of employment.

I would use an accounting software like Quicken or QuickBooks self-employed.

The bad news is that all partners in a GP are subject to not only income taxes but also self-employment taxes if the activities of the partnership generate self-employment income. 

Just a random question...has anyone ever approached someone from their “full-time” employer (officer or above) about investing/partnering with them on a real estate deal??