Tax Day When You Implement Profit First

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It’s tax day, friends! More and more of our clients are adopting Profit First in their businesses. As they make their tax payments this year, we are able to see major changes in the psychology behind writing those big checks to the IRS. We talked to one client who said they mailed a BIG check to the IRS last week. (They owed taxes for 2015 and also their April 15 estimated payment.) They also paid their franchise and property taxes that same day! 

Whew! That’s a lot of money to be sending off to the government in just one day. In the past, this would have sent most business owners into a state of panic or depression.

So we asked this client, how does it feel to make these payments now that you have implemented Profit First in your business over the past year? (For a quick primer on how the Profit First system and accounts work, click here.) They said:

“In past years, when tax day came around, I would do everything possible to avoid paying my taxes. I felt panicked that I had to come up with so much cash to pay the government. If I actually had the money (which I probably didn’t), it was a real downer to see my bank account be drained of funds. But this past year, I implemented Profit First in my business. I transferred the prescribed amounts throughout the year. Today when I had to mail a check, all the money I needed was waiting for me in my  tax account.

I feel a strange mix of emotions today. It’s definitely a different feeling than in years past.

  • Today, I feel glad that I have the funds ready to pay these tax bills.
  • I feel sad that I have to spend the cash.
  • I feel empowered– like I can do just about anything because this worked out so well. I have no fear.
  • I also feel like my business is successful. It has value and it matters in this world, and I feel love for this business of mine!”

Wow! What a difference just one year made with this client. We want to bring this change to your business, too!

Are you still teetering on the edge of deciding whether to implement Profit First in your business? Let’s schedule a time to talk through what it can do in your business, and the peace of mind it can bring – on tax day and every day. Call us at 817.488.8939.