We work with many small law firms, whose attorneys have unique financial needs not met by other tax firms. Private practice lawyers need to look at their full financial picture, including the business practices of their firm as well as their personal finances. These businesses don’t operate independent of their owners working in the business, so a holistic approach to finance is critical.
With so many law firms on our client roster, we monitor changes that will impact them financially. This includes changes in the tax code, how to structure income to qualify for the qualified business income deduction, managing your employee benefits – like retirement plans – for firms that are often partnerships with convoluted financial arrangements, and other small business financial matters that disproportionately impact attorneys and lawyers.
While corporate attorneys work in house and generally function like other high income salaried professions, private practice firms are a unique business that need specialized care.
Many lawyers realize that they have no training as business owners, and are challenged to maintain trust accounts, client funds, and payroll, all areas of business for which they have no training. We help attorneys all the time, both managing their practice’s compliance, or helping them maximize their earnings and wealth building with the popular Profit First program.
Law firms have high revenues with limited non-labor costs, but that requires managing growth, staffing, and costs critical since there is little else to manage and the results directly impact the take home pay, and therefore wealth growth, of the attorney’s family finances.