I am looking to set up an LLC so I can become a CME ECM-H member. If I elect to be taxed as a sole proprietor my income will still be taxed as unearned income and I will not have to pay self employment taxes correct? If there is anything else tax wise that I should be aware of please tell. Thanks
You really need to ask an accountant, ideally the one specialises in traders. Tax treatment may be different depending on whether trading is your main occupation, whether the company has any business besides doing trading that otherwise you would do on personal account, whether it employs anyone besides you etc...
i've looked into this exact same thing and i'm pretty sure you WILL have to pay SE taxes. so it's a trade off - you get lower commissions but you have to pay much higher taxes on top of the membership. just make up an excel spreadsheet showing you in black and white if it's worth it. and if you're not leasing a seat there's the matter of unloading it to get your money back.