Top 5 Summer Tax Tips for Consultants and Coaches

June 23, 2025

Summer might not scream “tax planning,” but that doesn’t mean it’s a time to go quiet on your finances. If you’re a consultant or coach, this season offers a clean break from tax season chaos and a chance to get ahead of your 2025 tax bill. Think of it as a mid-year checkup before anything goes off the rails.

Here are five smart, actionable summer tax tips tailored specifically for consultants and coaches—especially those with 1099 income.

1. Reassess Your Estimated Tax Payments

Summer is Q2 and Q3 territory, and that means estimated taxes. If you’re earning 1099 income, you’re responsible for paying your taxes quarterly. And honestly? Many forget—or guess.

Take a beat and ask yourself:

  • Did your income increase since spring?
  • Are you behind on your Q1 or Q2 payments?
  • Did you forget to account for new clients, retreats, or digital product sales?

Paying too little now could lead to penalties by April. Paying too much? Well, that’s money that could’ve gone into investments, retirement, or even your next business expense.

Working with a tax advisor can help you nail your numbers—not just guess and hope.

2. Turn Your Summer Travel Into Tax-Deductible Business Trips

You’re a coach attending a workshop in Miami or a consultant hosting a client meeting in California—why not make some of that trip deductible?

The IRS allows business travel deductions if the primary purpose of your trip is business-related. That means:

  • Flights
  • Hotels
  • 50% of meals
  • Rental cars
  • Event or conference fees

But it has to be well-documented. Keep your receipts and a quick note on what the purpose was. Use a tool like QuickBooks or a simple spreadsheet to track it.

More details? Check out these deductions for business vacations.

3. Mid-Year Retirement Planning = Long-Term Tax Savings

Most consultants put retirement planning off until year-end, but mid-year is actually a better time to act.

Here’s why:

  • You still have time to contribute to a SEP IRA or Solo 401(k)
  • Contributions lower your taxable income
  • Compound growth starts sooner (even by a few months)

Want to avoid overfunding or underfunding? Talk with a tax strategist to run projections. Summer planning makes year-end smoother—and can even open the door to private insurance strategies or self-insurance options if your business grows big enough.

Don’t wait until December.

4. Re-Evaluate Your Business Structure

Are you still a sole proprietor or single-member LLC? That might’ve worked when you were starting out, but now?

You could be leaving thousands on the table.

If your net income is over $75,000, it might be time to elect S Corporation status. You could:

  • Reduce self-employment taxes
  • Pay yourself a reasonable salary
  • Take distributions that aren’t subject to the same payroll taxes

Changing structures mid-year still gives you time to make a difference this tax year.

This guide on the best tax structure for doctors also applies to coaches and consultants—it’s about tax efficiency, not just your job title.

5. Tidy Up Your Bookkeeping Before Fall Hits

We get it. Bookkeeping is never the fun part of the business. But ignoring it until December is what causes panic, missed deductions, and messy tax returns.

Use summer to:

  • Reconcile your accounts
  • Categorize income and expenses correctly
  • Separate business and personal expenses
  • Run a P&L (profit and loss) report

If you had investment losses this year, read up on market loss tax-saving strategies. You can offset gains, reduce taxable income, and prep better for year-end moves.

Need help cleaning it up? Work with someone who gets your industry. The IRS has useful tax tips, but you’ll still want someone who can apply them to your unique situation.

A Few Other Smart Summer Moves

They didn’t make the top 5, but they’re still worth a look:

Summer doesn’t mean stop. It means breathe—and reassess.

FAQ: Summer Tax Planning for Coaches and Consultants

Q1: Why plan taxes during the summer instead of year-end?
Because it gives you time to adjust your income, change your structure, and still meet deadlines like quarterly taxes or retirement contributions.

Q2: Do I need to make estimated payments every quarter?
Yes—if you earn income without withholding (like 1099s), the IRS expects quarterly payments. Summer includes Q2 and Q3.

Q3: Are business travel expenses fully deductible?
Most are, as long as the trip is primarily for business. Keep documentation.

Q4: When should I talk to a tax advisor?
Now. Don’t wait until the holidays. Mid-year is ideal for strategy, not just compliance.

Q5: What if I’m behind on organizing my books?
Summer is the perfect time to catch up. Doing it now prevents chaos in December—and missed deductions.

Q6: Can a tax advisor really help me save money?
Absolutely. From choosing the right entity to catching missed deductions or planning retirement contributions, a proactive advisor pays for themselves.

Summer isn’t just for sunshine. It’s for getting smart about your money while everyone else is distracted. Ask questions, run numbers, and build a strategy now—your future self (and your April self) will thank you.

Ready to talk strategy? Start here.

Visit contact physiciantaxsolutions.com to schedule a consultation and learn how we can help you take control of your tax strategy today.

This post serves solely for informational purposes and should not be construed as legal, business, or tax advice. Individuals should seek guidance from their attorney, business advisor, or tax advisor regarding the matters discussed herein. physiciantaxsolutions.com assumes no responsibility for actions taken based on the information provided in this post.

 

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