30 SECONDS OF THERAPY: Cut Taxes, Save Time, Effort & Money!

We are at it again. This is the 3rd part of our special Tax Edition and This time we are saving you Time, Effort, and Money. 

#1 Apps To Save You Time

Our last email showed you how to save $7,350 by deducting mileage HERE and we shared our mileage log HERE, but if you want to save TIME, alternatively you can also use an app on your phone to automatically track your miles and prepare a log for you. We reviewed a few,to help out, and we estimate this will save you about 30 minutes per week x 52 weeks = 26 Hours of savings and don’t worry we are not affiliates with either company. 

1. Driversnote: Sign Up Link

   1. Price:   

      1. Free Version (Only 15 Trips / Month)

      2. Paid Plans (Start at $11 /Month

   2. Features: 

      1. Automatic mileage tracking 

      2. Easy trip classification (Business, Personal etc.)

      3. Odometer log

      4. Work schedule

      5. Custom mileage rates

      6. IBeacon (Bluetooth Device for increased accuracy)

2. MileIQ: Pricing Link

   1. Price:   

      1. Free Version (Only 40 Drives / month)

      2. Unlimited Version ($4.99 / month)

   2. Features: 

      1. Automatic mileage tracking 

      2. Easy trip classification (Business, Personal etc.)

      3. Odometer log

      4. Auto classification learning

      5. Custom mileage rates

      6. Care Management
         

#2 Software To Save You Effort: 

If you are working for yourself you will need to invoice your clients. Patient’s name, date seen, visit type (Eval, Reassessment, Follow Up, Discharge, Oasis), amount and Total. While you can do this on any spreadsheet here is a free one HERE, it might be easier to simply use a FREE accounting software. This will allow you to also track your expenses, any outstanding payments due as well as be ready for tax season. We estimate this will save you about 15 minutes every other week x 26 weeks =  6.5 Hours.

1. Zoho Books: Pricing Link

   1. Price: 

      1. Free Version: (Has Everything You Need)

      2. Paid Version ($15 / month - more users more features)

   2. Features: 

      1. Web based

      2. Payment Reminders For Your Clients

      3. Email Invoicing

      4. Credit card and bank feeds

      5. Free Access for your accountant

      6. Receipt Scanning

      7. Full Accounting 

2. Wave Accounting: Pricing Link

   1. Price: 

      1. Free Version: (Has Everything You Need)

      2. Paid Version ($16 / month - automatic bank feeds)

   2. Features: 

      1. Web based

      2. Email Invoicing

      3. Upload Bank and Credit Card Statements

      4. Full Accounting

3. Odoo: Information Link

   1. Price: 

      1. Free Version: (Has Everything You Need)

      2. Paid Version (Only if you want other business modules)

   2. Features: 

      1. Web based

      2. Email Invoicing

      3. Automatic Bank Feeds

      4. AI transaction matching

      5. Automatic Invoice Reminders

      6. Full Accounting

      7. Customer Portal
         

#3 Tools To Save You Money: 

Ok we didn’t forget about saving you money. If you have been working as a home health physical therapist you may know about the home office deduction, if not you should read our previous blog HERE, but don’t overlook The Augusta Rule Income Exemption. Section 280a(g) (IRS 208a(g) Notice) of the IRS code allows you to rent your home to your business for up to 14 days without needing to report the rental income on your individual tax return.   Adopted after people were renting their home for the 14 day Augusta Masters’ Golf Tournament. (IRS Topic 415 Renting Residential Property)

So what’s the catch as with all deductions, or income exemptions you must follow the rules. 

1. Augusta Checklist 

   1. Compliant (Augusta Checklist Link)

2. Augusta Documentation List 

   1. Valuation Worksheet  (Valuation Worksheet Link)

   2. Rental Agreement (Rental Agreement Link)

   3. Agenda (Example Agenda Link)

3. Finally Save Money  :) 

   1. Fair Market Rent:  Avg of 5 researched rentals = $550 / day Schedule Meetings and Send Invites:  14 Days on the Calendar

   2. Create Agenda:  What will each day entail 

   3. Create a Rental Agreement  $500 / Day  * 14 Days = 

   4. Total =  $7700

PS: Rest assured, there are no hidden conditions, no forms to fill out, and no emails required. Our goal is simply to support therapists, like you, succeed. t Biomechanics Physical Therapy! 

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PPS: We’ll also show you how to save up to an additional $10,000 with your kiddos. (As always we are just reading, copying and pasting information directly from the IRS website, so it's not only legal, but encouraged.)  Knowledge is power…if you use it. :) Friendly Service |  Reliable Therapy  | Helpful In-Home Care

Disclaimer:  We are not tax, financial, or legal professionals. We are simply therapists trying to help you succeed.  Please discuss all these strategies with your tax and legal advisors. 

Would You Like To Join Our Team? 

EMAILS US: Talent@biomechanicspt.com

CALL US:  (323) 786-1890

Biomechanics Physical Therapy, P.C. empowers therapists like YOU with evidence-based tools, advanced techniques, and collaborative support to improve YOUR skills and help YOUR patients.