Seven days left.
That’s all the time remaining to protect your practice’s financial health and avoid costly IRS penalties.
No more procrastination.
No more “I’ll figure it out this weekend.”
It’s time to get this done correctly.
The Framework That Actually Works
Forget the online calculators that treat your medical practice like a corner grocery store.
Forget copying last year’s numbers and hoping they’re close enough.
Here’s the systematic approach that protects practices from penalties while optimizing cash flow.
Step One: Calculate Your Actual Year-to-Date Income
This isn’t your gross revenue from patient visits.
This is your taxable income after legitimate business deductions.
You need to know:
✓ Total practice revenue through August 31st
✓ All business expenses paid this year
✓ Equipment purchases and depreciation
✓ Professional development and continuing education costs
If you’re guessing at any of these numbers, stop right here.
Guessing is what got you into this last-minute scramble.
Step Two: Project September Through December Realistically
Look at your appointment schedule.
Consider seasonal patterns in your practice.
Factor in any planned time off or reduced hours.
Be honest about what the next four months actually look like.
Don’t project based on your best month ever.
Don’t project based on your worst month either.
Use realistic expectations based on your practice’s actual performance patterns.
Step Three: Apply Current Tax Rates to Real Numbers
This is where most practice owners make expensive mistakes.
They use old tax brackets, forget about self-employment tax, or ignore the impact of other income sources.
Current tax considerations for 2025:
✓ Federal income tax rates (varies by bracket)
✓ Self-employment tax of 15.3% on practice income
✓ State income tax (Colorado: 4.4%)
✓ Any additional Medicare tax on high earners
Warning Signs You Need Professional Help
If any of these apply to you, don’t attempt this calculation alone:
✓ You’ve made significant equipment purchases this year
✓ Your practice structure changed (LLC, S-Corp, partnership)
✓ You have multiple income streams beyond your practice
✓ You’re behind on bookkeeping or expense tracking
✓ Last year’s tax return was complicated or required amendments
Attempting complex calculations under deadline pressure is a recipe for expensive mistakes.
The Smart Practitioner’s Checklist
Before you submit your Quarter 3 payment, verify:
✓ You’ve included ALL income sources (practice, investments, speaking fees)
✓ You’ve documented ALL legitimate deductions
✓ You’ve factored in state tax obligations
✓ You’ve considered self-employment tax implications
✓ Your projections are realistic, not optimistic
Don’t Fall into These Common Traps
Before you submit your Quarter 3 payment, verify:
Trap #1: The “Safe Harbor” Misunderstanding
Many practice owners think paying 100% of last year’s tax liability guarantees penalty protection.
That’s only true if last year’s income was under $150,000.
For higher earners, you need to pay 110% of last year’s liability or 90% of this year’s actual tax.
Getting this wrong can still trigger penalties.
Trap #2: Forgetting About State Obligations
Colorado and most of the other states with a state income tax requires quarterly payments just like the IRS.
Calculating federal payments perfectly while ignoring state obligations leaves you exposed to additional penalties.
Trap #3: The Last-Minute Panic Payment
Rushing to make any payment before the deadline often leads to significant overpayments.
Overpaying feels safe, but it’s actually expensive.
That excess money earns zero interest while sitting with the government.
Your Action Plan for This Week
Monday: Gather all financial records and calculate year-to-date performance
Tuesday: Project realistic income for September through December
Wednesday: Calculate total tax obligation using current rates
Thursday: Verify calculations and determine optimal payment amount
Friday: Submit payment (don’t wait until Sunday night if you don’t have to)
If you reach Wednesday and feel overwhelmed by the complexity, that’s your signal to get professional help.
There’s no shame in recognizing when a task requires specialized expertise.
The September 15th Reality Check
After next Sunday, this calculation becomes irrelevant for Quarter 3.
You’ll either have submitted an accurate payment that protects your practice, or you’ll be facing penalties that could have been prevented.
The choice is entirely in your hands for the next seven days.
After that, the consequences are locked in until next year’s tax filing.
What Happens After You Submit
Once your Quarter 3 payment is behind you, the real strategic work begins.
Next week, I’ll show you how to use this quarter’s financial data to set up a phenomenal Quarter 4.
But first, you need to get through September 15th.
Don’t let deadline pressure force you into a decision you’ll regret for the next 12 months.
Your practice deserves better than last-minute guesswork.
Running out of time to calculate your Quarter 3 payment correctly?
I can complete an accurate analysis and ensure your payment protects your practice from penalties.
Contact me immediately. We still have time, but barely.