Paying your child, grandchild, or other relative can be one of the most powerful tax-saving strategies available to business owners.

Most advisors focus on putting younger children on payroll. That’s a good strategy.

But what many overlook is a lesser-known approach that can work for older children and even other family members—and in the right circumstances, it can eliminate payroll taxes entirely while shifting income into a lower tax bracket.

This article explains a little-known, high-impact strategy that, when properly structured, allows you to deduct income at your higher rate while your family member reports that income at significantly lower rates, perhaps even zero—and with no payroll tax cost. ... Log in to view full article.