In the mental health and health care industry, there are ever changing regulations, updates, and business standards. Not to mention the process of updating and renewing your licensing. This means you will have a plethora of continuing education, courses, and certifications to take throughout the year. Did you know that all the costs associated with these professional developments are tax deductible? Good news they are! This means they will help lower your taxable income, resulting in a lower tax liability. If you have to travel to a course you can also include the costs of airfare, lodging, and food related to the business course.
On top of the required courses and licensing requirements, it is also important to remember to include professional development costs like business coaches, mastermind courses, books, publications, and whatever else you invest in that helps you develop and grow your business. Over the past few years there has been a significant increase in service providers that offer guidance to help business owners expand and develop their business. I am happy to report that these investments are tax deductible.
I do have to warn that I have also seen a habit of business owners relying on these items and consistently finishing a course and then purchasing another one immediately following the completion of that one. What this results in is overspending and not retaining the information learned from the first course or coach. I highly suggest once you complete one service to sit on it, retain the information, implement what you have learned and then reflect before you decide to purchase another one. While I do encourage you to work with coaches you are drawn to and courses that will help your business, because they can be extremely valuable, as a virtual CFO I also have to encourage you to not waste or overspend. Waste and overspending can occur when you don’t give yourself the chance to relish in the amazing information you have just learned before you jump into the next investment opportunity.
Are you unsure of your spending habits and if they are comparable to your gross income? Ready to add a virtual CFO to your team? Send me an email! Amanda@StickelTax.com