CPA Services for Dental & Medical Practices

For an S corporation practice, a defensible salary through payroll before distributions — the most examined number in an owner-provider's return. It also caps what can go into a retirement plan, which is why it is a planning decision rather than a payroll setting. Dental and medical practices.

Who sets the schedule, who supplies the operatory and equipment, and who owns the patient relationship decide it — not what the agreement is called. Getting it wrong is back payroll tax with penalties. The employment law side belongs with your attorney.

Often a 401(k) with profit sharing, and for an older owner a defined benefit or cash balance plan alongside it, which can move more tax than most other planning combined. The constraint is staff coverage, so design is a conversation with a plan provider — the modeling is ours.

Equipment placed in service can generally be written off far faster than it is paid for — the deduction follows the year it is put into use, not the loan term. Which route is best depends on the year and on what next year looks like. Dental and medical practices.

It depends on project size. Interior improvements to non-residential space can qualify for a considerably shorter life than the building, and a study separates what genuinely belongs in shorter categories. There is a threshold below which it costs more than it returns — worth checking before commissioning one.

It depends on whether you buy an interest from an existing owner or the entity issues you one, and whether an election is made to adjust the basis of the entity's assets. It is negotiated once and lived with for years — mergers and acquisitions tax.

An asset purchase generally gives the buyer a stepped-up basis to depreciate and amortize; an equity purchase does not. Goodwill amortizes over fifteen years, equipment does not, and both sides must report a consistent allocation — mergers and acquisitions tax.

Because production, adjustments, insurance write-offs and collections are four different numbers and only the last one pays anyone. A strong month on a production report is not a strong month until it is reconciled — bookkeeping.

Gross, with the fee recorded separately. Deposits arrive net, and booking only what landed understates revenue and omits a real deductible cost. It is a small habit that changes what the profit and loss is worth.

Many practices under the receipts threshold may use cash, which is simpler and follows collections. Accrual gives a truer picture of receivables and is often what a buyer or lender wants to see. The choice has tax consequences and is not purely presentational.

No. We do not give legal advice, do not process payroll and do not handle HIPAA or clinical compliance — we work alongside the people who do. That boundary is stated plainly on the dental and medical practices page.

Professional entity requirements are a state law and licensing question that belongs with an attorney; the tax election layered on top is ours. The two decisions are made together, which is why the conversation is worth having before formation. Talk to us.

By looking at the year it lands in and the year after. Accelerating the deduction into a flat year wastes it; spreading it may be worth more. That is a projection question before it is a purchase question — tax planning.

Education maintaining or improving skills in your existing profession is generally deductible; education qualifying you for a new trade generally is not. Licensing, professional dues and society memberships usually fall on the deductible side.

The business-use portion, with the same rules as any business vehicle and the same requirement for records kept during the year. A commute is not business use, which is the point most often misunderstood.

It depends on whether the entity redeems the interest or the remaining owners buy it, and the two routes have materially different tax outcomes for everyone involved. It is worth modeling before the agreement is drafted — mergers and acquisitions tax.

Yes — dental and medical practices are one of the five industries the practice concentrates in. What the work covers is on the dental and medical practices page.

Collections against production, the collection percentage, overhead by category, and payroll as a share of collections. Those four read together tell you more than a profit and loss on its own — and they need books closed monthly to mean anything.

Generally no — a buildout is capitalized, though components may qualify for shorter lives and some improvements for accelerated treatment. Capitalizing the whole project as one number is what leaves deductions on the table for decades.

Clean books, resolved compliance, an entity structure reviewed while there is time, and a model of the after-tax result under likely structures. A year of preparation usually changes the net more than a point of price — start here.