Carried Interest for the Common Man
10 Pages Posted: 18 Apr 2014 Last revised: 28 May 2014
Date Written: March 17, 2014
This article describes how a self-employed individual can minimize federal tax on his earnings when he operates his business through a formal business entity. The article also assesses the merits of a proposal to address the situation.
Keywords: self-employment tax, payroll tax, FICA, SECA, Medicare surtax
JEL Classification: H24, H25, H26, K34
Suggested Citation: Suggested Citation