Issue link: https://www.massageandbodyworkdigital.com/i/329694
I t p a y s t o b e A B M P C e r t i f i e d : w w w. a b m p . c o m / g o / c e r t i f i e d c e n t r a l 29 visit abmp.com 3. TRUE OR FALSE: YOU KNOW WHAT EXPENSES YOU HAVE COMING UP FOR YOUR PRACTICE, AND YOU HAVE SET ASIDE MONEY TO PAY THEM. An answer of "True" is worth 5 points; "False" or "Huh?" is worth 0 points. LS: So, are you planning for your license renewal, ABMP membership renewal, taxes, or other expenses? Planning and saving aren't the most popular words in the English language, but they are two of the most important. For example, if you perform 15 sessions a week, ABMP membership and liability insurance costs about 30 cents a session. Your taxes may cost about $10–$15 per session, depending on your tax bracket. Do you put those away after every session, or every week, or ever? One of my favorite sayings is, "Fail to plan, and you plan to fail." Don't fail—plan! 4. WHAT IS YOUR QUARTERLY ESTIMATED TAX PAYMENT AMOUNT AND WHEN IS THE NEXT ONE DUE? You get 5 points for knowing/having an estimated amount, 2 more points if you know when the next one is due, and 0 points for answering, "What are taxes?" KC: The general rule is if you wrote a check to the Internal Revenue Service (IRS) on April 15 (that is, you didn't get a refund or break even) and expect to owe more than $1,000 in tax for the current year, you must pay quarterly estimated tax on your anticipated revenue. The goal is to pay enough throughout the year so that you break even come tax time: you don't owe Uncle Sam any money, and he doesn't owe you any. Trust me: these deadlines can sneak up on you and are panic-inducing if you're not prepared! Implement a good reminder system and set money aside each month so you're able to make your payment on time. The next estimated payments for the 2014 tax year are due September 15, 2014, and January 15, 2015. Did you already miss the fi rst two, which were due on April 15 and June 16? Whoops! Just make larger September and January payments. 5. WHAT IS YOUR LEADING SOURCE OF NEW CLIENTS? You get 5 points for knowing; -3 points for not knowing. LS: Human beings? OK, probably more specifi c than that. All of these questions are important, but if you can't give a reasonable answer to this one … oh boy, that's not going to sit well with your favorite expert business columnist and her dumb sidekick. Here are some answers we'd fi nd acceptable: "The health club down the street," "My kids' elementary school," "My website and Facebook page," or "The blimp I hired to fl y over the city." These are just examples. As we've mentioned in this column before, clients move, or their life changes, or they take a break from massage for a while. You should always be cultivating new clients, and the best place to do that is the place where you currently get your clients from. Look back at your client list and determine what their source is. What does that tell you? How can you use that information to get more clients? Learn more about quarterly estimated tax payments and calculate yours using the Estimated Tax Worksheet at www.irs.gov/pub/irs-pdf/f1040es.pdf. TIP