You can also go LLC. That's what I did. This is Limited Liability Corporation. LIke S corp, you go on payroll. But the biggest benefit of becoming incorporated in any capacity is you protect your personal assetts. In other words, as you are now, if a client sues you for 250,000.00 that can be taken from your home, car, anything you own at all. Including your kids savings etc..... However, by incorporating, all they can go after is the business assetts.
One little thing my old boss used to do which was ingenious... He bought everything for the business under HIS name. All of our equipment was owned personally by him (duh....but you'll see in a sec...) including cleaning equipment, vans, building, etc... Then, he leased everything to the corporation. This gives the business HUGE tax advantages because of the leasing, and if he were ever sued, the only thing anyone could go after would be the legal assetts of the corp...this would be the tiny bit he kept in the bank.. As everything else was owned by him personally, they couldn't be touched.