The December Spending Trap
Every December, business owners hear the same advice: “Buy something before year-end so you can write it off.”
That sounds smart until you run the math. If you spend $10,000 to save $2,500 in taxes, you did not “save” $10,000. You spent $10,000 and kept only $2,500 away from the IRS,…
You look at your bank account and see cash. Plenty of it. Then your CPA sends over financials and says the business showed a loss.
Or maybe the opposite happens. Your bank account feels tight, clients still have not paid, and yet you owe taxes on what looks like a strong year on paper.
That…