Dental CPA Near Me
Maintaining a dental practice is often a lot of work and can seem daunting – especially when you are running the whole operation yourself. You must find a balance between caring for your patients, balancing your books, and attracting new patients, all while maintaining work-life balance.
As a solo practitioner, you may feel like the room is spinning, and at the end of the day the last thing you want to do is look at the numbers. With so much going on it is easy to make mistakes, so our team at Schiff & Associates want to give you a quick list of common mistakes to avoid so you don’t end up in trouble.
Not saving receipts
While not all receipts are required by the Internal Revenue Service(IRS), we still recommend keeping a drawer or folder for your receipts to provide backup documentation which can prove valuable at tax time.
Not tracking reimbursements
As a small business owner, you have likely payed for a few items for your practice out of your own pocket. Be sure to track your private payments so you can be reimbursed by your company.
Lack of communication
If you have an employee that handles your finances, they can only keep a good book if they are in the know. Keep communication open and regular involving anything with money.
Always keep the backup documentation to what you put into your system. Having a paper trail of your business can be valuable if something goes wrong or you ever come under audit.
Not deducting sales tax
Remember to deduct the sales tax from your sales to make sure you are honest about your total sales and don’t pay more when taxes are due.
Trying to do it all yourself
Maintaining a private practice can seem overwhelming. It can be easier to make mistakes when you try to do your accounting on your own. It is best advised to have at least another set of eyes on your numbers.
Neglecting cash flow forecasting
Your books are not only for keeping up with the past but also planning for the future. Stay informed by forecasting so you know where your practice is going.
Keeping track of city-specific tax regulations
If you are starting a new practice or have moved to a new city, it may be a good idea to keep abreast of your city’s tax regulations. These systems vary from city-to-city and can be hard to remember.
Procrastination can be costly. Be intentional about keeping up to date with your books so you don’t forget things that happened days, weeks, or even months in the past.
Stick with the procedures
Systems are put in place to keep each other honest and efficient. By staying with the set procedures, you can assure yourself that you are not cutting any corners.
Keep these common mistakes in mind for when it comes time to go through your books. If you are having a hard time maintaining your accounting, contact us today at (410) 321-7707 or visit us online to learn more about our services at https://www.schiffcpa.com/.