Practical insight into the business side of clinical practice
Most TCM practitioners and acupuncturists graduate with extensive clinical training yet much less education in business, financial literacy, and what it actually takes to build and sustain a successful practice.
The impact of the medicine is ultimately limited by how well a practice is structured, managed, and financially supported. Clinical skill alone does not build stability, longevity, or freedom.
Supporting members in building profitable and sustainable practices is a core mandate of the TCMO. Practice & Profit is a monthly column designed to address the business realities of clinical practice by sharing practical guidance from experienced practitioners, accountants, and business and financial literacy professionals.
As the year gets underway, many practitioners find that New Year’s good intentions around organization and finances have already slipped. It’s not uncommon, January falls deep within the Water element according to the Five Elements. This is a season of conservation, not initiation. Growth is most naturally supported when the year shifts toward the Wood element in late winter and early spring.
So right now, late February is an ideal time to begin putting systems in place. It is early enough in the year to make meaningful changes, without the pressure and overwhelm that comes with starting “too late”, and it’s energetically aligned with preparation for growth. While it may still feel like winter, underground sap is beginning to turn, starting its ascent back from the roots into the trees, signalling the transition of Water into Wood.
Effective systems remove friction. When simple processes run consistently, systems replace reactionary stress and ease follows.
With that in mind, here are three simple systems that can dramatically reduce stress and chaos around year end for tax filings.
1. Managing expense receipts
For in-store purchases, take a photo of the receipt immediately and save it to a dedicated photo album used only for receipts. Physically marking the receipt, such as tearing the top corner or marking it with a pen, indicates it has already been captured.
For online purchases, use a dedicated email address exclusively for clinic or business expenses. This eliminates the need to search through the floods of personal and promotional emails when receipts are needed.
Accounting software such as QuickBooks allows receipts to be emailed directly into the system. Online purchase receipts can be forwarded as they arrive, and photos of physical receipts can be uploaded directly into the app or forwarded via email weekly. Other platforms such as Xero, Wave, Zoho Books, and Kashoo offer similar functionality. However, many accountants work primarily with QuickBooks, which can simplify year-end reconciliation and communication.
2. Tracking mileage
Certain driving expenses are eligible business deductions. These may include travel between clinic locations, trips to purchase supplies, meetings with professional advisors, banking, or supplier visits. Commuting from home to a primary workplace is generally not deductible unless the home qualifies as the principal place of business. Practitioners should confirm specifics with their accountant.
The CRA requires a mileage logbook and supporting records. Many accounting platforms offer automatic GPS-based mileage tracking through a mobile app. Trips can be reviewed weekly and designated as business or personal with minimal effort. Keeping mileage tracking within existing accounting software reduces duplication and year-end administrative burden.
3. Setting aside money for taxes
A dedicated tax holding account should be established, with a fixed percentage of each revenue deposit transferred automatically. This prevents tax payments from becoming financial emergencies.
Financial institutions can advise on higher-interest savings accounts suitable for this purpose. While interest earned may be modest, the primary benefit is reduced stress and having cash on hand when the tax expense is due.
These small systems, put in place now, can significantly reduce stress and chaos come tax time. While tax deadlines fall in April for employees and June for business owners, the real work is best done throughout the year as transactions and travel occur. When records are already organized as the year closes, most of the work is already done.
If you found this helpful, please share it with a colleague who would benefit from setting up systems to prevent stress and chaos at tax time.Most TCM practitioners and acupuncturists graduate with extensive clinical training yet much less education in business, financial literacy, and what it actually takes to build and sustain a successful practice.