5 Year-End Finance Tips for Private Practice

Year-end isn’t just about getting ready for taxes, it’s about getting clear on the story your numbers tell. It’s your chance to pause and run through your year-end financial checklist: take stock of what worked, what didn’t, and start the next year with more confidence.

Think of it as your clinic’s annual financial checkup. And it doesn’t have to be scary. It’s simply a moment to realign your small business’s finances with your goals.

That’s the perspective of Andrew Riesen, Co-founder and CEO of Heard, a financial platform that helps independent health and wellness practitioners simplify their bookkeeping and year-end accounting. With years of experience supporting clinic owners, he's seen how understanding your financial story can shape smarter decisions and a stronger business.

In this playbook, Andrew shares his top year-end finance tips to help you close out the year smoothly and set your practice up for success in the next one.

🇺🇸 Quick note: Some details in this playbook reference the U.S. tax structure, but many of the ideas apply broadly. Canadian practitioners should find parallel takeaways along the way as they also prepare for year-end.

Tip #1: Separate your business and personal finances

What to do: If you haven’t already, open a dedicated business bank account and ensure all business income and expenses flow through it.
Why it works: Mixing funds is one of the biggest mistakes small business owners make. It complicates tax preparations and weakens your legal protection if you’re an LLC. Separation keeps your books clean, builds financial discipline, and helps you see how your private practice is truly performing.
Pro tip: If you’re still using a personal card, start fresh in January with a clean business-only account. It’s one of the simplest ways to get organized and create a solid foundation for smarter clinic financial management throughout the year.

Tip #2: Clean up your books before year-end

What to do: Before you move into the new year, take time to reconcile your books and bring your year-end bookkeeping up to date. Match every transaction for the year to your bank statements, categorize expenses accurately, and review your income and spending patterns.
Why it works: Accurate bookkeeping means fewer surprises at tax time. It also helps you identify trends, like overspending on software or missing deductions. You can’t make smart financial decisions without clean data.
Pro tip: If bookkeeping feels overwhelming, start with one month at a time, or use a platform like Heard, which automates much of the end-of-year accounting process.

Resources: Complete Bookkeeping Guide

How to Catch Up on Bookkeeping

Tip #3: Pay attention to quarterly taxes

What to do: Plan ahead for quarterly tax payments by setting aside roughly 25–30% of your profit for taxes, and make your final quarterly payment in January. Treat this as a key step in your year-end tax planning.
Why it works: Quarterly payments are prepayments, not extra taxes. They protect you from underpayment penalties that can add up fast. For small business owners and independent practitioners, paying a little each quarter is a great way to avoid year-end surprises and keep your cash flow smooth.
Pro tip: Treat taxes like rent, a recurring monthly expense. Transfer money automatically to a tax savings account every time you pay yourself.

Tip #4: Use your tax deductions wisely

What to do: Review your expenses and make sure you’ve captured all “ordinary and necessary” business costs: CEUs, memberships, software, supervision, office supplies, and mileage. All common tax deductions for small business owners and independent health practitioners.
Why it works: Deductions reduce your taxable income, and while a $1,000 expense doesn’t save you $1,000 in taxes, it can still mean hundreds back in your pocket. Knowing what qualifies as a clinic tax write-off helps you save confidently and avoid risky gray areas.
Pro tip: Keep receipts for anything over $75 and jot notes on your business meals (who and why). These small habits make bookkeeping and tax filing much easier for you and your CPA, and help make sure your year-end tax return is accurate and audit-ready.

Resource: Top Tax Deductions for Health & Wellness Providers

Tip #5: Reflect and plan for the year ahead

What to do: Review your profit, taxes, and cash flow for the year. This simple year-end financial review helps you see what’s working, what’s creating stress, and what might need to change.
Why it works: Reflection is where insight happens. When you see your financial story clearly, you can decide where to invest, what to delegate, and how to grow sustainably. For clinic owners and private practice entrepreneurs, this is also an opportunity to align your finances with your long-term vision.
Pro tip: Treat this as your CEO moment. Schedule an annual financial review (even if it’s just with yourself) to make next year’s goals intentional, not accidental.

🎧 If you’re tackling your books soon, this one’s worth a listen

Andrew sat down with Radio Front Desk host Denzil Ford to talk about everything year-end and how to prepare for the upcoming tax season. A few small habits like the ones Andrew shared can go a long way in helping your business feel lighter and more aligned with the work you love doing. 💙

You can hear more from Andrew directly over on LinkedIn, and more from the Heard team at JoinHeard.com