Doug Johnson: What Every Business Needs to Know About Their Taxes

In this conversation, Doug Johnson, a CPA, shares his journey from corporate accounting to entrepreneurship, emphasizing the importance of accessibility and partnership in accounting. He discusses the challenges of starting his own firm, the significance of understanding business structures, and common misconceptions about tax deductions. Doug provides valuable insights on when to hire an accountant, strategies for optimizing taxes, and the importance of tracking expenses. He concludes with advice on personal taxes and the key considerations for scaling a business.

 

Key Takeaways:

 

• Small businesses often lack the processes of larger companies.

• Accessibility is key in providing accounting services.

• Hiring an accountant makes sense when net profits reach around $100K.

• Many believe they need an LLC to deduct expenses, which is a misconception.

• Buying items solely to reduce tax bills is not a sound strategy.

• Estimated tax payments help avoid tax sticker shock.

• Keeping receipts is crucial for substantiating deductions.

• Taking risks is essential for building the life you want.

 

Interested in working with Doug? Check out his website here!