Construction business owners at $5M-$10M in revenue face a hidden profit drain that has nothing to do with material costs, labor shortages, or project delays. It's self-employment tax and most contractors are paying far more than necessary. Self-employment tax hits sole proprietors and LLC members at 15.3% on all net business income. On $200,000 in net profit, you're paying over $30,000 in self-employment tax alone before income tax even enters the picture. Every dollar unnec