Build Medical Practice Profitability Unfortunately, not only do physicians have to cope with reduced reimbursement from Medicare and other third party payers in a time of accelerating expenses, but the economy is also having a significant impact on some medical practices. Some patients are losing jobs and not quickly finding replacement employment. This causes them to curtail elective expenditures, and health care is often viewed as elective, especially when insurance benefits expire. Even so, there are medical practices that are not only holding their own but actually thriving and achieving n ..read more

Are You Financially Stable? You don’t have to be wealthy to be financially stable. Financial stability can mean a lot more than that — like being able to afford your current lifestyle or saving up for your future. What are some of the signs that you’re financially stable? Here are five financial health indicators you should look out for: 1. Living Below Your Means Living below your means indicates that you have a budget and you can stick to it. You use your money wisely to cover your needs while still building an emergency fund and your retirement savings. 2. Paying Your Bills on Time Do you p ..read more

Deliver Useful Employee Assessments Use a technique familiar to your training and experience. Look at each employee performance the same way you approach diagnosing a patient. For example, if you like using the traditional “S.O.A.P.” approach, apply the same technique when you review a staffer’s work. Subjective Asking for employee input can revolutionize your evaluation pro­cess. Have staffers rate themselves — perhaps giving each one a blank evaluation form to fill out. When asked, workers usually rate themselves lower than their supervisors do. Listen carefully to employees’ self-evaluation ..read more

Judith Aburmishan, MPA, CPA, of A&A CPA, LLC, hosted this episode of Ask An Accountant in November 2023, where Reed was featured to discuss medical practice mergers. Medical Practice Merger Facilitation for Physicians | Reed Tinsley, CPA (rtacpa.com)   ..read more

Make time for Personal Financial Planning As someone who has worked exclusively with physicians over the past nearly 35 years, I continue to be amazed at what a wreck most physician personal finances are. Recently a surgeon unexpectedly died of a heart attack; the physician was only in his 40’s. To make a long story short, he left his unemployed wife and two children with basically nothing except for the value of his medical practice. Which as you can expect declined in value like a rock in water after his death. No life insurance, no savings, a mortgaged up homestead – basically nothing. I al ..read more

Planning Now Can Prevent Probate Later Probate is the process of proving the validity of a will and supervising the administration of an estate, usually in the probate court. State law governs the proceedings in the probate court, so the process can vary from state to state. Supervising the administration of an estate can result in additional expense, unwanted publicity, and delays in the distribution of estate assets for a year or longer, which is why planning to avoid the probate process may be beneficial. There are several ways assets transfer on death directly from the decedent/owner to ot ..read more

How to Improve Your Staff Meetings It’s easy to blame your staff for unproductive meetings, but the reality is that your leadership role makes you accountable for using your meeting time wisely. If you don’t capture the attention of your staff during the first 10 minutes of a meeting, they’ll lose interest or become disengaged, and you’ll accomplish little. Anyone who manages people needs to understand that meetings are critical to an organization. A bad meeting, in most cases, is a function of its leader. If you’re concerned about whether your meetings accomplish all they should or benef ..read more

Window is Open in Feb and March to Correct ERC Claims The IRS urges businesses to review their eligibility for the Employee Retention Credit because there’s limited time for them to voluntarily resolve incorrect claims and avoid future issues, such as penalties and interest. Some honest businesses were misled into filing claims for the Employee Retention Credit by promoters who often misrepresented or oversimplified eligibility rules. Businesses that received the credit but don’t meet the ERC rules should consider applying for the ERC Voluntary Disclosure Program before the March 22, 2024 ..read more

February is Not Too Late to Set Medical Practice Resolutions In one of my previous writings, the subject was about new year resolutions for medical practices and their management. Well, time has passed since that article was written and I’m still disappointed that most practices out there just don’t get it. The same mistakes keep occurring, strategic planning is basically nonexistent, and most are content with sitting on their hands and living the day to day. If that is the case, then why is everyone complaining about their take home pay? A book entitled “When Professionals Have to Lead: A New ..read more

In healthcare, the buying and selling of medical practices is a common occurrence. Whether you are a physician looking to expand your reach or a practitioner considering retirement, understanding the tax implications of these transactions is crucial.   Key Considerations when Buying a Medical Practice  Due Diligence in Financial Analysis: Thoroughly examining the financial health of the practice is essential. This involves scrutinizing revenue streams, expenses, and potential risks. Some of the questions that need to be answered at this stage are:  Will the purchased cash ..read more