Author: David Leichter
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From Sole Proprietor to LLC or S-Corp as a Therapist: What You Need to Know
Running your own therapy practice is rewarding, but the business side can feel overwhelming. Many therapists start as sole proprietors because it’s simple: you report your income on Schedule C and you’re in business. But as your private practice grows, you may wonder if switching to a Limited Liability Company (LLC) or S corporation (S-Corp)…
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Should Therapists Use Cash or Accrual Accounting? A Quick Guide.
Running a therapy practice means more than focusing on sessions with clients. Behind the scenes, your method of accounting changes how your income, expenses, and tax return look. It also impacts how you manage money, view your financial health, and plan for the future. Choosing between cash basis accounting and accrual accounting for therapists is…
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5 Reasons Therapists Need a Bookkeeping Team
While the main goal behind running a therapy practice is helping clients, it involves a lot more than that. It also means managing behind-the-scenes details: money, records, taxes, and the decisions that shape your long-term stability. These can easily get complicated, but that’s okay. As a therapist, you were trained to help patients — not…
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How Therapists Save Thousands with Professional Tax Preparation
Most therapists I’ve worked with are excellent at caring for clients, but when tax season comes around, the stress is real. Taxes for a therapy practice are complex. Between quarterly taxes, business expenses, self-employment taxes, and keeping track of deductions, it often feels like you’re fighting an uphill battle. The good news is you can…
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How Accountants Help Therapists Manage Quarterly Taxes Without Stress
Managing quarterly taxes in your therapy practice can feel like juggling too many things at once… Clinical hours, client care, business finances, and staying on top of IRS rules. For most therapists and mental health professionals, this part of running a business isn’t the most exciting, but it’s critical for avoiding penalties, protecting your cash…
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How to Avoid IRS Penalties as a Therapist
Why IRS Penalties Matter for Therapists IRS penalties can drain your finances and your focus. They’re an extra bill, and they steal time and energy you could spend on client sessions. For many mental health professionals, a penalty starts small but snowballs with interest and unpaid assessments. Avoiding them keeps your therapy practice stress‑free and…