Can someone mention the negatives to electing an s corp?
I wouldn't call them negatives. I would call them relative disadvantages. And many of the relative disadvantages depend on the type of business activity conducted. One disadvantage is less flexibilty and capacity to save for retirement.
My cpa says that you can never go back. He also mentioned more paper work and such.
You can always terminate an s-corp, but if you do you will have to liquidate the corporation, and that is usually a taxable event, before you can form a new LLC. The administrative costs of being an s-corp are usually more since you have to file a separate tax return and there are payroll matters to deal with.
I take home about 140k, but my "salary" could be in the 80's. Saving me 15% on 60k?? Or is there a cap of 115k or something on employment taxes, so I would only save 15% on about 35k??
If you are just starting the business I think you could justify drawing less in salary than competitors might pay. Unless you have signed long-term contract(s) with customers you could lose all revenue at a moment's notice, and having a reserve to cover for such a contingency is not unreasonable. You could probably get by with a salary in the range of $60K and save on an addition $20K.