An Easy Year-End Checklist Busy Veterinary Practices Need!
- Steven Thompson
- Nov 30
- 3 min read
Running a busy veterinary practice means juggling regular and emergency patient care, staff management, inventory, and client communication, all while maintaining a healthy bottom line!
With the end of 2025 quickly approaching, year-end financial tasks can easily slip through the cracks! But preparation now can save you thousands in taxes later and set your practice up for a smoother, more profitable year. (Refer to the IRS website for information for small businesses and self-employed taxpayers.)
To help you get started, below is a simple, year-end checklist designed specifically for busy veterinary practice owners.
Year-End Checklist Made Easy
Review Outstanding Invoices and Client Balances
Unpaid invoices can quietly pile up in a veterinary practice. Before year-end:
Send friendly reminders to clients with outstanding balances.
Review any overdue accounts to determine if a write-off is needed.
Apply payments that may not have been entered.
Ensure all deposits and prepayments are correctly categorized.
Every dollar you correctly bill and collect helps strengthen cash flow heading into the new year.
Optimize Your Inventory Before December 31st
Inventory is one of the most significant financial moving parts in a veterinary clinic. An accurate count can reduce taxable income and improve profitability tracking.
Conduct a complete inventory count.
Update quantities in your accounting and practice management systems.
Identify expired or unsellable items.
Review vendor pricing and consider negotiating better costs.
Don’t skip this step: Inventory adjustments can significantly impact your tax liability.
Review/Reconcile Payroll, Bonuses, and Contractor Payments
Accurate payroll reporting prevents tax penalties and builds employee trust.
Confirm all W-2 employee information is correct and send out no later than January 31st each year.
Verify contractor payments to ensure 1099s are filed accurately.
Plan and run any year-end bonuses.
Check retirement plan contributions for yourself and your team.
Need Help? Click here for our professional Bookkeeping Services for your veterinary practice.
Make Smart Year-End Purchases (IF They Make Sense!)
Many veterinary practices can lower their 2025 tax bill by making planned purchases before December 31st, including:
New equipment or technology.
Practice management software upgrades.
Vehicles used for business.
Larger supply orders you know you’ll need in January.
However, a word of caution: only buy what genuinely benefits your practice. Avoid “spending a dollar to save a dime!”
Get Your Books Fully Caught Up
If your bookkeeping has fallen behind (it happens!), now is the perfect time to get it cleaned up to prevent potential headaches during tax season.
Gather all bank statements and loan balances.
Reconcile all bank, credit card, and loan accounts.
Correctly categorize all income and expenses through year-end.
Make sure payroll data and sales from your practice management software match your accounting records.
Review vendor bills to ensure nothing is missing or duplicated.
Properly reconciled books not only help your CPA; they help YOU make better decisions for your practice.
Schedule Your Tax Planning Meeting
Don’t wait until tax season to have crucial conversations to uncover opportunities to reduce taxes and improve efficiency. An effective year-end review should include:
Your 2024 financial performance.
Tax-saving strategies you can still apply.
Any last-minute adjustments before closing the books.
A clean, detailed plan starting in January.
Click here for our convenient, print-ready Year-End Bookkeeping Checklist!
Piece of Mind Bookkeeping specializes in supporting veterinary practice owners with simple, stress-free financial management and tax preparation. If you want to close the year confidently and reduce your 2025 tax bill, we’re here to help every step of the way.
Reach out to us today for a FREE consultation!
About the Author
Steven Thompson
Founder, Piece of Mind Bookkeeping
Steven brings over a decade of experience in bookkeeping, tax preparation, and financial advisory services. He specializes in helping small businesses (particularly in the pet services and veterinary space) simplify finances so they can grow with confidence.
When he’s not balancing budgets, Steven is exploring his adopted country of Brazil, playing with his dogs, or working on personal development, such as learning yoga.
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