There are businesses dedicated to assisting S-corp owners in determining reasonable compensation. While $54,000 is not a ridiculously low number, there is no "m

There are businesses dedicated to assisting S-corp owners in determining reasonable compensation. While $54,000 is not a ridiculously low number, there is no "magic number" that makes the IRS happy. Remember, you are working for the corporation. The requirement is for a reasonable salary, based on the work performed and local market conditions. What would it cost to hire someone else to do the same work?