Love Your Accountant

For the past fourteen years, I have worked full time as a management consultant to the dental profession. During that time period, I have interacted with over 500 different dental practices. In all honesty – and it was something I never expected – I have been amazed at how many of these dentists- in my opinion – receive inadequate or the bare minimum of accounting supervision and advice. Here for starters is what you should expect from your accountant.

1. Quarterly income and expense statements (P & L) that are easily understood and serve as a legitimate business tool to help manage the practice. Observing “what happened” at the end of twelve months is no way to run a business. Controlling or at least understanding your overhead is always important, but it is especially critical in the current difficult business environment.

2. Aggressive treatment for deductions with a solid understanding of the nuances and miracles of depreciation. You want creativity.

3. Tax planning and advice. I constantly hear gripes from doctors about being “hit” with huge tax payments come April 15th. If the only service you are receiving from your accountant is the preparation of a tax return, you are not being well served.

4. Coordination with pension planning, estate planning and wealth management. Everyone has to be on the same page because the rules are constantly changing.

5. Lots of experience with other dental practices and knowledge of appropriate overhead and profit percentages.

Working with a bright and knowledgeable accounting professional is one of the most important business decisions you can make. Be sure you have one on your team!