The Accountable Plan Setup for Physician Practices: A Step-by-Step Guide
In a Nutshell An accountable plan is a written, board-approved policy that lets your practice reimburse you for legitimate business expenses you paid personally, tax-free. It works best for physicians running an S-corp or PLLC taxed as an S-corp, where you wear two hats: owner and W-2 employee. Done right, it can quietly move thousands…
Read MoreSolo 401(k) vs SEP-IRA vs Defined Benefit Plans: Which Retirement Setup Wins for Physician S Corps
In a Nutshell If you’re a physician running an S corp with both W-2 hospital income and 1099 side work, your retirement plan choice can shift your tax bill by tens of thousands of dollars a year. A Solo 401(k) usually beats a SEP-IRA for physician S corps because it lets you contribute more on…
Read MoreHow to Pay the IRS Online Without Making Costly Mistakes
In a Nutshell Paying the IRS online is faster, safer, and (mostly) free, but high-earning physicians make expensive errors all the time. The big ones? Missing quarterly deadlines, picking the wrong payment method, and forgetting that estimated taxes are a year-round game. Here’s what you need to know: The IRS now requires electronic payments for…
Read MoreHow to Determine a “Reasonable Salary” as a Physician S Corp Owner
In a Nutshell The IRS requires you to pay yourself a fair salary before taking distributions from your S Corp. “Reasonable” means what another physician with your specialty, experience, and workload would earn doing the same job. Pay yourself too little, and the IRS can reclassify your distributions as wages, plus add penalties and back…
Read MoreThe Basics of S Corps for Business Owners: A Physician’s Beginner Guide
In a nutshell: If you’re a physician running your own practice or doing locum work, an S Corp can lower your self-employment tax bill by splitting your income into a “reasonable salary” plus distributions. You only pay payroll taxes on the salary portion. It’s not magic, and it’s not for everyone, but for high-earning doctors,…
Read MoreHow to Reduce Taxes on Physician Side Income
You can earn a strong income as a physician and still feel like taxes are taking too much. That is especially true when side income enters the picture. Maybe you have a W-2 job and pick up telemedicine shifts. Maybe you do locum tenens work. Maybe you consult, review charts, serve as a medical director,…
Read MoreQuarterly Taxes for Doctors With Moonlighting Income: What You Need to Know
If you are a doctor earning extra income outside your main job, quarterly taxes can sneak up on you. Maybe you picked up extra ER shifts. Maybe you started doing telemedicine after clinic hours. Maybe you took locum tenens work for a few weekends, reviewed charts for a company, served as a medical director, testified…
Read More1099 Physician Income: When an LLC Is Enough and When an S Corp Helps
If you earn 1099 physician income, you have probably asked this question at least once: Should I stay simple with an LLC, or should I elect S corp status? It is a fair question. A lot of doctors start with a side gig that feels small. Maybe it is a few telemedicine shifts. Maybe it…
Read MoreBest Write-Offs for 1099 Side Income: What You Can Actually Deduct
If you are a doctor earning 1099 side income, tax deductions can get confusing fast. Your W-2 paycheck may feel simple. Taxes come out before you see the money. Your employer handles withholding. You receive a W-2 at year-end. 1099 income works differently. You may get paid for telemedicine, locum tenens work, consulting, chart reviews,…
Read MoreW-2 and 1099 Tax Planning for Doctors: How to Handle Multiple Income Streams Without Overpaying
“Wait, how do I owe that much?” Dr. Patel looked up from her laptop and pushed it across the kitchen island. “I already had taxes taken out from my hospital paycheck,” she said. “So why does my CPA keep talking about quarterly payments?” Her friend, Dr. Nguyen, laughed a little. Not because it was funny,…
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