You may be paying less income taxes from the income paid out by the S-Corp to your personal bank account, however you will have to pay taxes on the business level as well. This means you will be taxed twice instead of once on your personal income tax. If you wanted to build and eventually sell the account as a business it may be good to form an S-Corp because they can be transferred, but another way avoid paying high taxes is to use an LLC (limited liability company) as a sort of savings account. Income into the LLC is not taxed, only when you pay yourself from the LLC you pay taxes, and in the case of a lawsuit, that money can not be touched because it is not considered a personal asset.