Cracking the Code: Financial Strategies Every Chiropractor Should Know
by Jamy Antoine, DC, BCN
Many chiropractic business owners or associates start practice with little to no knowledge of finance, budgeting, investing, or retirement planning.
We graduate assuming practice can’t possibly be as hard as getting through years of school and passing board exams. As we progress through our careers and encounter normal business cycles — the good, bad, and the ugly — we can fall prey to underplanning, overspending, and other financial traps along the way.
Hey, which one of us hasn’t chased the shiny object at one point, hoping it would save our practice or get us to the next level financially? Been there, done that. And who can blame us?
Managing a practice can be consumed by profit, loss, debt management, hiring, firing, marketing, lead generation, patient management and retention, and everything else that goes into running a small business. It can be financially exhausting even when we are succeeding clinically with patients.
Financial planning and retirement preparedness are aspects of a chiropractor’s career path that tend to be overlooked and are crucial to address sooner rather than later. In my experience, many business owners — including chiropractors — are extremely ill-prepared and postpone crucial planning opportunities that come back to haunt them as retirement age draws nearer.
Although there are seven major aspects to proper financial planning, let’s start with the basics: cash flow and budgeting.
Chiropractic offices can face significant and challenging overhead costs. I’ve seen it repeatedly; the business owner sadly has no clue what’s coming in and going out. All they track is the balance of their business checking account.
It’s imperative to closely monitor expenses and seek opportunities for optimization. Implementing software that tracks all income and expenses (in conjunction with your accountant’s services) can significantly help keep the pulse on the finances of your practice.
You can intentionally control overhead and plan every expense to the penny, which is very simple to do with QuickBooks Online, Dave Ramsey’s Everydollar app, etc. When I was in practice, I utilized both of those software programs and spent about one minute a day tracking inflow and outflow. Doing so allows for strategic debt reduction, retirement savings, and wealth creation.
Even if you’ve made mistakes along the way with money, remember it’s never too late to start making good financial decisions. Stay tuned for future articles about how you can maximize your S-Corp or LLC for strategic retirement and tax planning.
About the Author
Dr. Jamy Antoine, DC, BCN, successfully retired from practice after 22 years. As an experienced and passionate financial advisor, he assists doctors on their path to financial independence.
Phone: 615-395-8600
