This lesson on personal and professional accounting provides the basic business and accounting information on how to run your medical practice. Various forms of taxation structures and the difference between a tax deduction and a tax credit are examined.
You will learn the differences between working as a physician employee and running your business as a sole proprietor. Accounting basics such as a balance sheet, income statement and cash flow statements are discussed.
The lesson reviews basic tax information such as marginal tax rates, various income taxes, the differences between a tax deduction and tax credit, and eligible business expense deductions.
There’s a high level discussion on the pros and cons of incorporation, and splitting/deferral of income under incorporation.