I am proposing an idea here.
We always know that President’s Day is going to be the third Monday in February. This is a given, and has been for over 50 years.
Another given: by the second half of February, even in a bad year, the IRS is going to be well underway accepting e-filed tax returns.
What if we entrepreneurs focus on this holiday as a trigger to go ahead and get the darned taxes done, already?
After all, if you have a partnership or S Corp return to knock out you’re down to 3 weeks from the March 15th deadline anyway.
That’s right, the business return deadline in these two cases is a month early, and there’s an ugly little penalty for missing it without filing an extension, too.
Do not pay the IRS a penny more than they have coming. What they get from us is enough already.
Baseball, Apple Pie, and the 3-Day Weekend
I have fond memories of two separate holidays in February every year, in the long-ago fog of youthful reminiscences.
I like February because that’s when my birthday is, too, and back in the day it fell squarely two days before Washington’s Birthday.
Nowadays of course, every several years or so, my birthday ends up being the holiday based on calendar math. It was just last year, in fact.
No big deal anyway – as I age gracefully I’ve adopted Gen X’s proclivity of celebrating birthday week anyway. Because, why not?
I do it for my wife the second week of January, and it’s a lot of fun for both of us.
Do yourself a favor, and enjoy the little things. Just like the dweeby kid in the movie Zombieland.
Now, let’s talk about the advent of the 3-day weekend in America.
Fabulous idea, really. Did you know that there was actually a congressional act that stimulated the shift?
I knew that Uncle Sam made that shift back in the day, and that I was still a school boy when it happened, but I have to cite the good folks at https://www.history.com/topics/holidays/presidents-day#uniform-monday-holiday-act for confirming what I was pretty sure I remembered.
You see, it was called the Uniform Monday Holiday Act in an excessive orgy of creative nomenclature, and our old pal Tricky Dick Nixon passed it into law not too far away from his removing us from the gold standard.
It passed Congress in 1968, and was adopted by executive order in 1971.
Ah, sweet nostalgia.
Memorial Day, Veterans Day, and genocidal imperialist day (aka Columbus Day) also tagged along for the Monday every year ride, and supposedly work absenteeism dropped nationwide, and the citizens rejoiced.
If you remember getting February 12th off for Honest Abe’s birthday, therefore, you’re what the young people call old.
Like me.
Quick self ego-stroking moment: I turn Medicare age this Tuesday the 20th, and now I have to pay Part B premiums without the benefit of SSA benefits to withhold them from for the next two years.
They’re talking about moving that goalpost on me again. I love my country, but the leadership…? A topic for another time.
For this subject let’s talk about Lincoln’s role in the income tax.
Because you see, the first federal income tax ever authorized by the Land of the Free was during the Civil War (an oxymoron if ever I saw one).
From 1861 to its repeal in 1872, in fact.
Back then it was pretty cheap: 3% on whatever you made over $800.
In 1862 dollars that’s about $24,000. Bread was probably a nickel or less then.
Anyway, there’s another little trivia moment to remind you that it’s tax time, ladies and gentlemen.
What I Always Say…
Let me make one thing…perfectly clear. (Did you hear Tricky Dick’s voice when you read that? Haha you’re still old!).
If you, my entrepreneurs and the self-employed of all stripes are making your quarterly Estimated Tax payments four times a year tax time should be a reconciliation.
Not a time of terrible stress and money anxiety, but a time to tally up the score, and ensure your 2024 goals are on track with what you set in early January.
If you’re treating tax planning correctly, and just grinning and getting the ugly reality over and done in April, June, September and January you are in an incredible position.
One which, quite frankly, not enough people accomplish.
You’re doing something most people can’t bring themselves to do, particularly if you get the kind of year-round help a determined business advisor can give you.
Physician entrepreneurs, if you would like to discuss how having a non-equity financial partner guiding your practice’s business future can increase your wealth, reduce your taxes, and provide the peace of mind that will allow you to put 110% of yourself into your patient care goals?
We would like to talk to you as well.
We are still accepting one new business advisory clients in the month of February.
Use the link I’m providing below now to choose a time to talk most convenient for you.
You will also receive your own copy of 5 Mistakes Physicians Make That Hurt Cash Flow, just for booking a call.
Imagine having a financial coach and compliance expert by your side, so that you can focus your professional clinical time where it belongs: on patient care.
Does that sound good?
Then reach out to me, and let’s talk: Free Profit & Cash Flow Analysis