CPA for Medical Practices in Colorado Springs
Dedicated CPA services for physicians, clinics, and medical groups. We handle the financial complexity of healthcare — insurance reimbursements, equipment depreciation, physician compensation, and compliance — so you can focus on patients.
Insurance Reimbursement Complexity
Medical practices deal with revenue timing gaps between service delivery and insurance payment. We track receivables, reconcile reimbursements, and ensure your books reflect your practice's actual financial position — not just what has hit the bank.
Entity Structure Optimization
Most physicians benefit from S-Corp or partnership structures that reduce self-employment taxes while maintaining liability protection. We evaluate your situation and recommend the structure that minimizes your total tax burden.
Medical Equipment Depreciation
From diagnostic equipment to EHR systems, your capital investments deserve strategic depreciation planning. We maximize Section 179 and bonus depreciation deductions to put more money back into your practice.
UNDERSTANDING MEDICAL PRACTICE FINANCES
Running a medical practice means managing clinical care and a complex business simultaneously. The financial demands of healthcare are unlike any other industry — and they require a CPA who understands them.
Insurance Reimbursements & Revenue Recognition
Medical practices operate in a world where the service you provide today may not be paid for weeks or months. Insurance companies negotiate rates, deny claims, and delay payments — creating a gap between the work you do and the revenue you collect.
This complexity makes accurate bookkeeping essential. Your books need to reflect not just cash received, but also outstanding receivables, contractual adjustments, and write-offs. Without proper tracking, you cannot know whether your practice is truly profitable or which payers are costing you money.
We manage this in QuickBooks Online, tracking revenue by payer and service type so you always know where your practice stands financially. When tax time arrives, your income is properly categorized and your deductions are maximized.
Equipment Depreciation & Capital Planning
Medical equipment represents one of the largest capital expenditures for any practice. Imaging systems, diagnostic tools, surgical equipment, and electronic health record platforms can cost tens or hundreds of thousands of dollars.
The IRS provides powerful tools to recover these costs. Section 179 allows practices to deduct the full purchase price of qualifying equipment in the year it is placed in service — up to the annual limit. Bonus depreciation can cover amounts above that threshold. For leased equipment, different rules apply depending on the lease structure.
We analyze every equipment purchase and lease to determine the optimal tax strategy. Whether you are acquiring a new ultrasound system or upgrading your EHR platform, we ensure your capital investments generate maximum tax benefit while aligning with your practice's cash flow needs.
Physician Compensation & Entity Structure
How you pay yourself as a physician has significant tax implications. Solo practitioners operating as sole proprietors pay self-employment tax on their entire net income — 15.3% on top of income tax. For a physician earning $300,000, that can mean over $20,000 in unnecessary taxes annually.
S-Corp elections allow physicians to split income between a reasonable salary (subject to payroll taxes) and distributions (not subject to self-employment tax). For multi-physician groups, partnership structures with guaranteed payments and profit-sharing formulas add another layer of complexity.
We help medical practices choose the right entity structure, set appropriate compensation levels, and structure buy-in arrangements for new partners — all while staying compliant with IRS reasonable compensation requirements.
Compliance, Deductions & Tax Planning
Medical practices have access to deductions that other businesses do not. Malpractice insurance premiums, continuing medical education expenses, medical licenses and board certifications, professional society dues, and even certain expenses related to maintaining hospital privileges can all reduce your taxable income.
Beyond deductions, proactive tax planning can save your practice thousands annually. Retirement plan contributions through SEP-IRAs, SIMPLE IRAs, or 401(k) plans offer both tax savings and wealth building. Health Savings Accounts and qualified fringe benefits provide additional opportunities for tax-efficient compensation.
Our role goes beyond filing your tax return. We work with you throughout the year to identify planning opportunities, estimate quarterly tax payments accurately, and ensure your practice takes advantage of every legitimate tax-saving strategy available to healthcare providers in Colorado.
Insurance Reimbursements & Revenue Recognition
Medical practices face revenue timing gaps between service delivery and insurance payment. We track receivables, reconcile reimbursements in QBO, and ensure your books reflect your practice's actual financial position — so you know which payers are profitable and which are costing you money.
Equipment Depreciation & Capital Planning
From imaging systems to EHR platforms, we analyze every equipment purchase to maximize Section 179 and bonus depreciation deductions. Whether you buy or lease, we ensure your capital investments generate the greatest tax benefit while aligning with your cash flow.
Physician Compensation & Entity Structure
S-Corp elections can save physicians thousands in self-employment taxes. We help choose the right entity structure, set appropriate compensation, and structure buy-in arrangements for new partners — all while satisfying IRS reasonable compensation requirements.
Compliance, Deductions & Tax Planning
Malpractice insurance, CME expenses, professional licenses, retirement plans — medical practices have unique deduction opportunities. We identify every legitimate tax-saving strategy throughout the year, not just at filing time.
HOW WE HELP YOUR PRACTICE
Business Tax Preparation
Complete preparation of your practice's tax return — Form 1065, 1120, or 1120-S — with Schedule K-1s for partners. We analyze your financials for every applicable deduction specific to medical practices.
Learn More → Included in PackagesMonthly Bookkeeping
CPA-managed bookkeeping in QuickBooks Online. We record transactions, reconcile bank and credit card accounts, track insurance receivables, and keep your books clean and tax-ready every month.
Learn More → Included in PackagesPayroll Management
Accurate payroll processing for your clinical and administrative staff. Tax withholding, direct deposit, quarterly filings, W-2 preparation, and Colorado payroll compliance — all handled by your CPA team.
Learn More → Total PackageIRS Notice Response
If the IRS or Colorado Department of Revenue sends your practice a notice, we handle the response. No panic, no surprise bills — notice resolution is included in your monthly package.
Learn More → Included in PackagesAudit Defense
In the event of an IRS audit, your CPA team represents your practice. We compile documentation, communicate with auditors, and protect your interests throughout the process.
Learn More → Included in PackagesStrategic Consulting
Entity structure analysis, physician compensation planning, practice valuation, and buy-in arrangements. Ad hoc consulting for the strategic decisions that shape your practice's future.
Learn More → $250/hr Ad HocBusiness Tax Preparation
Complete tax return preparation with medical practice-specific deduction analysis.
Learn More → Included in PackagesMonthly Bookkeeping
CPA-managed QBO bookkeeping with insurance receivable tracking and monthly reconciliation.
Learn More → Included in PackagesPayroll Management
Payroll processing, tax filings, W-2s, and Colorado compliance for your staff.
Learn More → Total PackageIRS Notice Response
We handle IRS and state notices — no surprise bills, included in your package.
Learn More → Included in PackagesAudit Defense
Full audit representation and documentation support, included in your package.
Learn More → Included in PackagesStrategic Consulting
Entity structuring, compensation planning, and practice valuation.
Learn More → $250/hr Ad HocMONTHLY PACKAGES FOR YOUR PRACTICE
BASIC BUSINESS PACKAGE
- Business tax preparation
- 1099 filing
- IRS notice response
- Audit defense
- Bookkeeping
- Payroll management
PROFESSIONAL BUSINESS PACKAGE
- Business tax preparation
- 1099 filing
- IRS notice response
- Audit defense
- Monthly bookkeeping (QBO)
- Payroll management
TOTAL BUSINESS PACKAGE
- Business tax preparation
- 1099 filing
- IRS notice response
- Audit defense
- Monthly bookkeeping (QBO)
- Payroll management
Why Medical Practices Choose Monthly Packages
When your CPA handles bookkeeping, payroll, and tax preparation year-round, your practice's finances stay organized and compliant. No scramble in April. No missed deductions. One team manages everything — so you can focus on patient care. Compare all packages →
OUR PROCESS
Practice Assessment
We start with a 45-minute meeting to understand your practice — entity structure, number of providers, staff size, current accounting setup, and financial goals.
Financial Onboarding
We connect to your QuickBooks Online, set up bank feeds, organize your chart of accounts for healthcare, and establish clean processes for tracking revenue and expenses.
Monthly Management
Each month, we record transactions, reconcile all accounts, process payroll (if applicable), and keep your books current. You always have a clear picture of your practice's finances.
Tax Preparation & Review
When tax season arrives, your books are already clean. We prepare your return, identify every deduction, and review the results with you — including planning strategies for next year.
Practice Assessment
45-minute meeting to understand your practice, entity structure, and financial goals.
Financial Onboarding
QBO setup, bank feeds, chart of accounts organized for healthcare practices.
Monthly Management
Transaction recording, reconciliation, payroll, and clean books every month.
Tax Preparation & Review
Clean books flow into your return. Every deduction identified, planning for next year.
FREQUENTLY ASKED QUESTIONS
Medical practices can deduct a wide range of expenses including medical equipment and supplies, office rent and utilities, staff salaries and benefits, malpractice insurance premiums, continuing medical education, professional licenses and dues, electronic health record systems, and marketing costs. Section 179 allows practices to deduct the full purchase price of qualifying equipment in the year it is placed in service, rather than depreciating it over several years. Our CPA team identifies every applicable deduction during tax preparation.
We analyze every equipment purchase to determine the optimal depreciation strategy. Section 179 allows immediate deduction of qualifying equipment up to the annual limit, while bonus depreciation can cover amounts above that threshold. For larger purchases like imaging equipment or surgical systems, we evaluate whether accelerated depreciation or standard MACRS schedules provide the greatest tax benefit based on your practice's income and growth trajectory.
Many medical practices benefit from S-Corp status. Physicians earning above $60,000 in net profit can often save thousands annually by eliminating the 15.3% self-employment tax on distributions above their reasonable salary. However, S-Corps require payroll, additional tax filings, and reasonable compensation analysis. We evaluate your specific situation — practice income, number of partners, future plans — and recommend the entity structure that minimizes your total tax burden.
Yes. Our monthly packages are designed for practices with 1-3 partners and 1-10 employees, which covers the majority of independent medical practices in Colorado Springs. Whether you are a solo family physician, a two-partner specialty clinic, or a small group practice, we provide the same level of dedicated CPA support — tax preparation, monthly bookkeeping, notice response, and audit defense.
Insurance reimbursements create timing differences between when services are rendered and when payment is received. We track these in QuickBooks Online using accrual-basis accounting methods appropriate for your practice, ensuring revenue is properly recognized and accounts receivable are accurately reflected. This gives you a clear picture of your practice's actual financial position and ensures your tax return accurately reflects your income.
Our Basic Business Package at $999 per month includes business tax preparation, 1099 preparation, monthly bookkeeping in QuickBooks Online, IRS notice response, and audit defense. Our Total Business Package at $1,249 per month adds comprehensive payroll management. Both packages provide year-round CPA support so your practice has a dedicated accounting team, not just a tax preparer you see once a year.
Absolutely. For practices structured as S-Corps or partnerships, physician compensation planning is critical for tax optimization. We help determine reasonable salary levels that satisfy IRS requirements while maximizing tax-advantaged distributions. For multi-provider groups, we assist with compensation formulas, profit-sharing structures, and buy-in arrangements that align with your partnership agreement and tax strategy.
Ready for a CPA Who Understands Your Practice?CPA Services for Your Practice
Monthly accounting packages built for medical practices. Tax preparation, bookkeeping, and year-round CPA support — all for one predictable fee.Tax prep, bookkeeping, and year-round support in one monthly package.