As a chiropractic entrepreneur, the end of the year is more than just a time for holiday cheer—it's also a critical period for reflection and preparation. Evaluating your practice's financial systems now can help you reduce stress, make informed decisions, and set your business up for success in the coming year.

In this post, we’ll explore six key financial systems you should review before year-end and provide actionable steps to improve them. Let’s dive in!

1. Bookkeeping Systems

Your bookkeeping system is the backbone of your financial management. Accurate and up-to-date records allow you to make informed decisions and keep your business running smoothly.

Ask yourself:

• Is your bookkeeping done monthly?
• Are you receiving accurate profit and loss statements and balance sheets?
• Is your system cloud-based and easy to navigate?

Why it matters:
Cloud-based software like QuickBooks Online or Xero ensures real-time updates and simplifies collaboration with your accountant or bookkeeper. If you're still relying on spreadsheets or outdated software, now is the time to consider upgrading.

Action Step:
Evaluate whether your current bookkeeping system meets your needs and consider switching to a cloud-based solution at the start of the new year for a smoother transition.

I recommend QuickBooks Online and use this exclusively in my own business and my for my bookkeeping clients. Click my affiliate link below if you’re interested:

I’m interested in QuickBooks Online

2. Budgeting Systems

Budgeting isn’t just about managing your money; it’s about taking control of your future. Think of your budget as your Money Allocation Plan (MAP)—a proactive guide for directing your revenue where it needs to go.

Ask yourself:

• Have you created a budget for your business?
• Are you consistently checking in with your budget?
• Does your budgeting tool fit your lifestyle (e.g., an app vs. a spreadsheet)?

Why it matters:
While bookkeeping looks at past data, budgeting helps you plan for the future. A solid budget allows you to allocate funds for expenses, save for emergencies, and ensure your take-home pay is sustainable.

Action Step:
Explore budgeting tools like the EveryDollar app for ease of use. If your current system isn’t working, try a new approach to stay consistent and proactive.

3. Banking Systems

Your business banking setup can make or break your financial management efficiency.

Ask yourself:

• Does your bank integrate with your accounting software?
• Does it offer features like bill pay, multiple accounts, or employee debit cards?
• Is it easy to access statements and manage accounts on the go?

Why it matters:
Features like integration with accounting software and multiple accounts for savings or expenses simplify financial management. Relay Financial, for example, allows you to set up multiple accounts for tax savings, operational expenses, and emergencies—all with low fees and excellent features.

Action Step:
If your current bank doesn’t meet your needs, consider switching to one that offers better integration and features at the start of the year.

I recommend Relay Financial. You can click my affiliate link below if you’re interested:

Relay Financial

4. Tracking Estimated Taxes

Many business owners are surprised by large tax bills at the end of the year because they didn’t track their estimated taxes effectively.

Ask yourself:

• Are you tracking your net profit throughout the year?
• Have you adjusted your estimated payments based on real-time revenue changes?

Why it matters:
Estimated taxes should be based on your actual net profit, not just projections from the start of the year. Tracking this regularly can prevent unexpected bills and cash flow problems.

Action Step:
Use a simple spreadsheet to calculate 25–30% of your net profit and ensure you’re setting aside enough for taxes. Better yet, consult with your tax professional mid-year to adjust your estimates as needed.

Need a little more guidance on estimated taxes? Click here for my free estimated tax guide.

5. Financial Team

Your financial team is an integral part of your practice’s success. Collaborating effectively with them ensures you’re getting the most out of their expertise.

Ask yourself:

• Do you have a tax professional, bookkeeper, or financial advisor?
• Are they working together and providing consistent advice?
• Are you meeting with them for tax planning, not just compliance?

Why it matters:
Tax planning throughout the year allows you to take advantage of strategies before the December 31 deadline. Your financial team should also communicate effectively to align on your practice’s financial health and goals.

Action Step:
If you don’t have a tax professional or bookkeeper, start vetting candidates now. Building these relationships early will save you time and stress during tax season.

6. Payroll Systems

Payroll isn’t just about paying your employees—it’s about compliance, tax filings, and ensuring you’re paying yourself correctly.

Ask yourself:

• Are you paying yourself according to your business entity (e.g., draw for LLC, salary for S-Corp)?
• Does your payroll provider meet your needs?
• Are you compliant with tax filings and 1099 requirements?

Why it matters:
Payroll errors can trigger IRS audits, especially if you’re an S-Corp owner not paying yourself a reasonable salary. End-of-year is the perfect time to evaluate your payroll provider or switch to a new one, like Gusto or ADP, for a seamless transition.

Action Step:
Review your payroll system, staffing needs, and costs. Make sure you’re compliant with IRS guidelines and plan ahead for employee raises or bonuses.

The end of the year is the ideal time to assess these financial systems and make necessary changes. By focusing on your bookkeeping, budgeting, banking, taxes, financial team, and payroll now, you’ll set your practice up for a strong and stress-free start to the new year.

Don’t let overwhelm sink in. Take one decision at a time, prioritize the most pressing tasks, and don’t let the process overwhelm you. As always, remember that action brings clarity, and imperfect action is better than none at all.