Project, don’t wish

Written and Reviewed by Reed Tinsley | March 27, 2008

If you build stretch goals into your budget, base them on something realistic. When you budget new revenue, make sure there’s an achievable source, such as:

  • adding new services
  • opening a satellite office
  • hiring a new provider

Don’t budget a 20% revenue increase for next year if you’re basically planning to do the same saving tactics you’re doing this year. That’s not planning for growth, it’s wishing for it.

The same idea applies to expenses. There’s no sense in budgeting a 5% reduction in expenses without a clear, viable plan for achieving the objective.

About the Author

Reed Tinsley CPA

This article is written by Reed Tinsley, a Houston, TX-based CPA with over 30 years of experience advising physicians and medical practices across Texas and the United States. Reed holds certifications as a Certified Valuation Analyst (CVA), Certified Healthcare Business Consultant (CHBC), and Certified Financial Planner (CFP), specializing exclusively in the healthcare sector. He is a published author, nationally recognized speaker, and trusted advisor to physicians on accounting & tax, practice management, and financial planning. Schedule a Free Consultation.

Have questions? I’m here to help.

Categories
Accounting and Tax Services Litigation Support Managed Care Consulting Managed Care Contract Negotiations Medical Practice and Healthcare Entity Valuation Medical Practice Assessment Medical Practice Brokerage Medical Practice Embezzlement Consulting Medical Practice Management Medical Practice Merger Advice Medical Strategic Planning Newsletter Personal Financial Planning Oversight Physician Compensation Models Physician Compliance Physician Financial Management Services Retirement Uncategorized