Dental Clinic Financial Analysis

Adam Tenaschuk November 28, 2023

Running a successful dental practice requires more than just clinical expertise; it demands strategic business planning and meticulous financial analysis. For dental practice owners, understanding the intricacies of managing a clinic’s finances is crucial for long-term sustainability and growth. In this article, we will explore the key components of effective business planning and financial analysis for dental clinics. Why Is a Financial Analysis Important? Many dentists feel that if they simply focus on doing what they do best – providing excellent dental care – their practice will be successful and

Dental Practice Owners Can Benefit From a Tax Free Strategy, But Only Until December 31, 2023

Adam Tenaschuk November 15, 2023

For many high-earning dental practice owners, withdrawing money from the dental corporation for personal use triggers a heavy, and frustrating, tax liability. Surplus stripping is a valuable tool for high-income earners with professional corporations that enables the withdrawal of funds at a lower tax rate. However, with recent tax changes which come into effect on January 1, 2024, the benefits of surplus stripping will diminish. Dental practice owners, particularly those with incorporated businesses, should act promptly to capitalize on this strategy before December 31st, after which it loses its advantage.

Accountants work analyzing financial reports on a laptop in a cafe.

Tax Preparation and Regulatory Compliance

Adam Tenaschuk November 6, 2023

Regulatory compliance is at the core of Canada’s tax system, ensuring that individuals and businesses meet their obligations under the law. The regulatory framework for Canadian tax compliance has multiple components. The CRA enforces tax laws and regulations, which are continuously evolving. Staying compliant means not only accurately reporting income and expenses but also understanding the ever-changing landscape of tax regulations. For dental practices, regulatory compliance goes beyond accurate tax return filing. They must also ensure they are meeting various tax obligations throughout the year, such as payroll deductions, GST/HST

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The Dos and Don’ts of Dental Bookkeeping

Adam Tenaschuk October 19, 2023

Dental professionals invest significant time and effort in their dentistry skills, and are experts at what they do, but many have difficulties with the accounting aspects of their dental practice business, including the bookkeeping. However, effective dental bookkeeping is essential for financial stability, legal compliance, and informed decision-making. Here are some important “dos” that successful dental practice owners follow, as well as some common mistakes, or “don’ts” Do Follow These Best Practices: Keep a Good Chart of Accounts A comprehensive chart of accounts creates a strong foundation for efficient dental

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Canada EV Rebate

Adam Tenaschuk October 19, 2023

Dentists purchasing an electric vehicle does involve a significant upfront cost, although saving on fuel expenses and reducing carbon emissions is tempting. To make them more affordable, the Canadian government has implemented various incentive programs to make zero-emission vehicles, such as electric cars, plug-in hybrids, and hydrogen fuel cell vehicles. The Federal Incentives for Zero-Emission Vehicles (iZEV) Program, launched in May 2019, aims to help Canadian individuals and businesses in acquiring or leasing zero-emission vehicles. In addition, several provinces have introduced their own programs to incentivize zero-emission vehicle adoption, which

A dental office with professionals reviewing patient records, financial documents, and compliance procedures, illustrating the process of a dental practice audit, ensuring adherence to regulatory and financial standards.

Preparing For a Dental Practice Audit

Adam Tenaschuk September 7, 2023

If your dental practice has been selected for an audit, you may be wondering about the audit process and how to prepare for it. Even if you haven’t been audited yet, you should assume that you could have one at any time, and be prepared. Dental insurance claims audits are becoming more frequent, so dental professionals should be familiar with what a dental insurance audit involves, and how to be ready. Dental Insurance Audit It helps to understand what an insurance audit is, as well as what might trigger one.

Estate Planning for Dentists: What You Need to Know

Adam Tenaschuk July 28, 2023

Proper estate planning for dentists is critical for protecting loved ones, legacy planning, and ensuring your patients will continue to be cared for. When you plan for the future, remember to consider both your practice and business assets, as well as your personal assets in your estate planning. Dentists need an estate plan more than most people, because of the added complexities of having a heavier reliance on a dental practice as an asset and income, and more limited liquidity. Have a Will Having a current will is critical, to

Dental Practice Growth: Planning for Expansion

Adam Tenaschuk July 13, 2023

In the highly competitive dental care industry, practices must prioritize growth, patient acquisition, and volume increase for financial stability and success. Dental Practice Growth Planning for Expansion is crucial in achieving this. Having a dental practice growth strategy helps dental clinic owners focus on the business side of their practice to ensure success. Unsurprisingly, many dentists tend to neglect business decisions and activities in favour of focusing on providing dental health services, since it is what they went to school for. However, it is important to grow your dental practice

Maximizing Your Dental Practice’s Tax Savings

Adam Tenaschuk June 29, 2023

A great way to increase wealth is to cut back on the taxes you pay. In Canada, tax is a huge expense for dentists. To get ahead, a strategy to reduce your tax burden is essential. Reduce Tax Burden or Tax Liability of Your Dental Practice Dental practice owners can take advantage of a few tax planning strategies for their dental practices. Not every strategy will work for you, but even leveraging a few can make a big difference in the tax you pay, in effect increasing your business income.