CRNA tax

Investments without large fees

Investing is not one of our best endeavors and many just don’t take the time to learn. With only a few minutes left in the year, here is some information you might not want to miss.  

I was just listening to the ChooseFI podcast and found out a few things to pass along.  First, I recommend listening to them as you journey through life whether you are planning to retire early or not.  

HSAs or Health Savings accounts for any high deductible insurance plan that is define as 1350 for an individual or 2700 for a family.   You can put away 3450 individual or 6900 for a family in an HSA TAX FREE.   Any medical expenses can be taken out TAX FREE at any time / any year!  This of course means you have to keep your receipts for your accountant for years.  After age 65, it acts like a traditional IRA or can be used for medical expenses later in life.  If your plan started dec 1 you could find the entire amount.  Fidelity now has a zero fee HSA management account (funds or investments places in the account may have some fees).  

This is way different than an FSA as those funds don’t fully roll-over year to year.   these funds are for your yearly medical expenses and are typically use or lose.

We are typically interested in low fees and trying to keep our income in our pockets.  Mutual fund investments are just about the most common across the nation and ChooseFI often touts the Vanguard total stock index fund or VTSAX which had a hefty $10k minimum which has now changed to a $3k minimum for getting started.  This opens the fund up to those who are wanting to get started investing at one of the lowest fee mutual funds on the market at an annual fee of just 0.04%! 

Some of you may know these things but the mutual fund information is pretty new.  If you are thinking of setting up the Solo401k it has to be done and funded by the end of the year and if you are looking at a sep IRA it must be done and funded by April 15.   

It’s time to get your investment on! and a new investing page?

I’m thinking it might be interesting to go through investments?  We work hard and make a decent income. What do we do with that income, or how do we invest and protect our investments? 

I’m thinking about using my continuous growth in showing what I have been up to on the investment space.  I can show the websites and what I’m working on in that space.  I can go through real estate holdings and what that looks like.  Not to forget sep IRA V’s Solo 401k and stock market investments.  Then businesses and the different types of investments that I look at and consider. 

I wonder if this is something you would want as a page as it only somewhat relates to our site because locums is the way I finance life and the investments?  

Another 6 Great Reasons to be a Locum CRNA

6 Great Reasons I love being a locum nurse anesthetist. CRNAs work hard and locum CRNAs go location to location to provide much needed respite to CRNAs and groups across the US. Be sure to follow-us and subscribe to our YouTube channel as well at

Should Locum Professionals be a 1099 Contractor or W-2 Employee 

I've been approached by several W-2 and 1099 Locum CRNAs and many ask what the difference is.  Tom is a wealth of information and his podcast and professional speaking on these topics are highly applicable to our business.  Now for Tom's article for!  Thank you, Tom!

By Tom Wheelwright

Life as a traveling medical professional can be costly if you don’t have the right tax strategy. Locum Professionals, who temporarily take over when others are sick, unavailable or out on maternity leave, tend to be set up as a 1099 contractor. For all Locum Nurses and Physicians, it’s especially important to understand the differences between being taxed a 1099 independent contractor versus a W-2 employee to keep more money in your pockets.

1099 vs W-2

Generally, tax reduction opportunities are much greater with 1099 income versus W-2 income. However, if you're not careful, the 1099 income can be taxed even higher than the W-2 income. 
Traveling physicians should do all they can to make sure they are independent contractors (1099) due to the much greater tax benefits of owning a business (1099) versus being an employee (W-2). For 1099 contractors, travel is 100 percent tax-deductible if you spend more than 50 percent of your day four-plus hours - working while you’re on the road.

New Tax Law Impacts

With the new Tax Cuts and Jobs Act of 2017, this tax question is even more important. After reading the entire new tax plan of over 1,000 pages three times, there are important things to note.  

If you’re set up as sole proprietor or S Corp, you may be able to take a 20% deduction on the net income from your business. Professional service companies, like doctors, lawyers and accountants (though not engineers or architects), business will only get the full 20% deduction if their taxable income is less than $157,500 ($315,000 on a joint return).

Bottom line, a good tax strategy for 1099 or W-2 income should always be developed with a great Tax Advisor to ensure long-term and permanent tax reductions. 

And for more information about the new tax plan impacts, read our newly released Tax-Free Wealth2ndEdition (August 2018).

About The Author: Tom Wheelwright is a Best-Selling Author (Tax-Free Wealth 2ndEdition, 2018), CPA and CEO of WealthAbility, which assists small businesses and entrepreneurs with tax and wealth strategies, and Host of The WealthAbility Show with Tom Wheelwright CPA Podcast.

LINK To Tom Wheelwright’s new 2018 book




Finances for everything and nothing.

I put my life out there so you can learn from me.  Learn some of the great things and some of the not so great things.  I tell you about my desire to extend my family.  Life is not a solid state and singularly focused.  A financial blog will make it that life has one singular focus of just pay off everything and pay nothing toward anything else... sell everything and know that your life is over. That is not my life.  However...

I have in the past week gone to advocate in Washington DC for our amazing profession!  I have been able to see friends from long ago and meet others that are future colleagues.  I have been able to learn about the political arena in DC and those that work behind the scenes with little to no thanks and with little to no monetary support from our colleagues.  I learned that we are fast attempting to put ourselves out of business by not being active in the community, donating to our own cause and having no interest in helping others understand our profession and differences in providers.  

I have in this time received a decent paycheck to apply to our debt.  So I wanted to update you that the highest interest rate credit card has been paid off!  Thats 22.6% interest that is not being paid!  OK, that means 1/3 of the credit cards are paid off.  I still have a significant amount to go and it'll be weeks before I can make such a significant foray against the debt again as I do have the next check helping to pay taxes, insurance, mortgage, and typical bills.  I would have normally waited on paying down the debt so drastically and saved a bit more just in case I miss something or have a large bill come.  I have a 5K savings backup just in-case and am not going down to my last dollar.  I also put away $9K into my sep IRA for last year which promptly lost 10% of it's value ... freaking stocks.  Also, This week I'm expecting a signed 11 month lease for my college rental home in Kansas.   This will bring rental income up to 2200/month positive cash flow and that will go directly into the improvements of the two newest rentals.  I don't count on the cash flow from the rentals but do make sure they will pay for themselves and the improvements in 5 years.  Granted we did have an unexpected water heater replacement at a property ... that is happening today.  I keep funds in a separate account that is ready for the cost of this expense and won't effect my credit bills or otherwise.... so nice knowing it is covered and not a huge stress.  We also re-bid on the home that needs all plumbing, HVAC, Electric etc... we went from a $14000 bid to a $5500 qualified known quantity bid on doing the bulk of the HVAC and plumbing.  $9000 savings.  I may not have extra money in my pocket but it is keeping it from becoming a sinking ship and money pit.  

This is the current financial picture for this month.  I have given myself until the end of August to get significantly ahead on the finances and save as much as possible for our financial health.  Others are very much ahead of me and to them I would have to say ... AWESOME!  Remember to be active, love family and time home, and enjoy the fruits of your labor!  

I said Finance for everything... because you have to decide what your everything is.  Mine is to not forget family time and what we need for living and someday in building our family.  Nothing, because no matter what you do ... on payday the money goes somewhere and there should be next to nothing left.  REALLY, I mean it.  Your money should go into a trust for your estate, retirement accounts that have an attached succession plan, go into childrens' savings accounts, or pay down the bills so you can set up these accounts.  

Money isn't everything.... but having some available sure helps the world go around.  My ankle is causing me some difficulty and I'm reminded of insurances and disability and all the things that go with this.  I don't think the ankle pain rises to that level but I do know that as life changes and I get older insurance for large things like disability, long-term care, and to cover assets will all be important.  We'll continue to cover things like this as we go.  I hope you like the blog and I know it's all over the place... I'm going to see if I can't get it divided out into sections should someone want to see a specific topic... I have so much to learn.

I'm negative $500K+

It may seem easy to say I'm broke but to say and feel that burden of the debt that I have and the understanding that I am not getting ahead by working my butt off can be depressing.  I look at the FI or Financial Independence/ FIRE Financial Independence Retire Early and wonder if it's possible at 38 years old if this might still be possible.  

Why did I get to this point and what happens?  I have 9 revolving credit accounts.  I have interest rates from 9.99% to 22.5%.  It's when you see that interest per month accounts for easily $3500/month... that means before I decrease me debt I have to make greater than $3500.  Even at a higher level of earning that, I have to make 42K/year.  Granted in the world of advanced practice nursing that pays that amount... it becomes overwhelming.  To have that amount after taxes I have to consider it takes almost $84K to pay that $42,000 if I were W-2.  

This doesn't begin to include my real estate business.  I own 6 homes outright in Kansas.  One completely needing a full rehab and one needing minor rehab.  Two are full time rented, and one is Airbnb rented or long term rented separately.  These start at $6000 to $42K on initial buy price and needed anything from $5000 to $40K in fix-up expenses.  Although these are paid in cash, they don't bring in the cash-flow, at this point, that one might expect.  If you are wondering where the money came to take care of these... I put expenses on the credit cards until I could pay that money back.  Is this what made it all so bad?  Not exactly.

We started a journey of surrogacy.  The surrogacy process was expected to be $48,000 and was going through Mexico ... we started this process just over 3 years ago.  We started out so excited and then two egg donors, multiple surrogates, a miscarriage, and 7 embryo transfers we finally had a pregnancy that resulted in our daughter.  Then I was stuck in Mexico for 7 weeks attempting to get out of the country legally with our daughter.  Over $150,000 in lost wages and fees for surrogacy later we had our daughter back in the US and then started the Legal work that one year later resulted in the 2nd parent adoption for my husband.  More lost wages, and legal expenses later we had everything done.  Is that all... No. 

Given the length of time working for Elizabeth, we decided to start the surrogacy journey for a sibling and decided that the US would be a better option.  We found a surrogate, moved our home to Virginia with the purchase of a new home.  That was $7000 down on 379K in home debt but you have to live somewhere that is good for school, and a safe neighborhood right?  So, one would think we had it all together getting to Virginia and having found the Surrogate, did the legal documentation, found the surrogacy agency and found our egg-donor.  We made four embryos and went through two failed embryo transfers and found ourselves not pregnant... we had effectively lost approximately $51,000 and we have to look to starting over in this.  I had contracts set-up to be able to work and due to inefficiency the contracts didn't start.  They failed to do their due dilligence in making sure I could start work.  

Now I'm traveling states away while the family is in Virginia.  I spend weeks away trying to make sure I'm able to provide for family and bills.  I look to the FI possibilities and the amount lost each month and cringe.  Despite being able to cover the bills... this is not what I anticipated as a Travel independent Nurse Anesthetist.  I always looked at being a highly skilled provider and said I was good for the funds.  I'm looking at the future and wondering how I can dig my way out of this.  

I'm putting this here, not to get sympathy or to get comments.... I put this here so I have the accountability in getting the debts paid down.  Oh, I didn't mention that I have a paid off Jeep, a very high car payment on a truck, and finally I acquired a personal loan to help pay for things at some point along the way.  Did I forget that I didn't pay taxes yet for last year... yup it's tax time and I have only paid in $10,000 in the taxes for last year and have about $40K to come up with over the next few months.  

So, If you are interested in continuing to follow my journey to FI... you're going to notice on this blog that I will also add updates on when I pay off credit or loans and where I'm putting $$ earned each month.  I hope it's ok to use you guys for some accountability and making sure I get my life back to healthy on the financial concepts.  


Is it difficult to set-up a sep-IRA?

I have been a CRNA for quite some time, as you might be aware.  I have tended to keep my earnings and retirement away from the stock market.  As many would chastise me for not taking advantage of tax sheltering, and even I wish I were a better saver.  

I have always invested in real estate.  For a while it was my own home.  Then it was the start of rental property in Kansas.  I am still invested in Kansas and started on my current home in Virginia.  

I have avoided the stock market though.  I have used an E-Trade account as if it were a casino.  I haven’t been an investor but a speculator.  I have invested over the years in the military Thrift Savings Plan ... 1% for 9 years... you know how little that is.  I forget to take time to learn about those things.  I know I need to shelter my taxable income so I am actually doing this.  

I went for weeks totge website for Vanguard but then they said they couldn’t verify me.  Then I had to fax things for the Solo 401K but... I missed 2017.  So, I decided I would do a simple Sep-IRA if I could.   

I was checking my E*TRADE to make sure my Roth IRA transaction went through and then I had an epiphany.  Why not try to set up just an IRA.  I saw the set-up a retirement account button and so I clicked on it.  Bam, Sep-IRA option right there.  Two minutes later i had $6k coming out of my account to fund a Sep-IRA for 2017.  I have until my taxes are filed toget those dollars cought up. I would prefer a Solo-401k but I didn’t get it set-up in 2017 which means no $$$ can beplaced in it for 2017.  So, i now have a sep and I’m working on saving a tax bracket or two by saving more pre-tax dollars toward retirement as my rentals are post tax.

Is it possible to invest in retirement with real estate?  Yes, but have I done this... no.   

Every year, I will try to be more active in my tax planning and save betterfor my family and child or children (someday).   


Write off or included in your contract?

Here are a few things I didn’t think about when negotiating my next two weeks.  

1.  How am I getting to the airport?  I typically drive to every assignment so when it came to the airport I didn’t think about ... Will I Uber there?  Do I leave my car in airport parking?  Do I assume my husband will take me?  Ok the later is typically true but, now he is sick and didn’t want to take me.  I have$7 in tolls just to get that trip to the airport.  

2.  When I get the rental car in Massachusetts will they pay the tolls to and from the airport?  It’s not in my contract per say.   

3. I have clothes for a week but they don’t have baggage as an expense for taking the flight so now I don’t have enough to wear for two weeks without doing laundry.  Has anyone been reimbursed for laundry?  I also can’t take fluids or razors so no toothpaste, shaving cream, razor.... that stuff can be expensive right?  

4.  It’s a travel day before my assignment starts ... a day with no family and a day that i can’t work.  Non-productive and a loss of income.  Does anyone get paid a travel day on either end?  Usually if I drive ... I at least get travel expenses.   

These are a few things we might look at for future travel contracts.  does everyone consider these written off expenses or do you get them paid out so you get to save the expense in the first place?

So You Want to be a Freelancer?

by Jeremy L. Stanley, CFP®, AIF®

Today, over 14% of CRNAs work as 1099 contractors or freelancers*. Some of the perks of freelancing include controlling your own schedule, the potential to earn a higher hourly rate while saving more for retirement as well as increased satisfaction in your work. However, many freelancers don’t have the basic business skills to manage a profitable enterprise. At CRNA Financial Planning®, we help CRNAs start and manage their 1099 freelance businesses. Here are a few tips for setting yourself up for freelancing success:

1. Start with a Budget

We suggest calculating your baseline earning requirements to make sure you’re able to pay your bills and live within a comfortable budget. Tax treatment of freelancing income is different than W-2 employment income, so you’ll need to plan accordingly. By calculating how much you need to live, you can estimate the number of hours you’ll need to freelance to meet those needs.

2. Save a Cushion First

Before you quit your full-time position to start working as a 1099 contractor, it’s important to save a buffer in case your income takes a dip. At CRNA Financial Planning®, we recommend a savings cushion of six to nine months of your normal income before you make the move. Freelancing income can vary more than W-2 employment income, so having extra cash is important to keep your finances healthy.

3. Stay Organized

If you lose track of your finances, your business can become overwhelming and stressful. Keep your business and personal finances separate and use separate bank accounts to stay organized. This will help you keep track of business expenses and will make filing your taxes much easier.

4. Plan for Taxes

Speaking of taxes, when you run your own business, you are responsible for setting aside money to pay your taxes. We recommend putting aside at least 25% of your income in a savings account for taxes. Work with an experienced financial professional to estimate exactly how much of your income you’ll need to save, which will vary depending on your actual income and expenses.

5. Get Insurance

Working for yourself can be stressful enough when you’re healthy, but an illness or injury could be catastrophic for your finances if you don’t have proper health and disability insurance. Be sure to speak with your financial advisor to make sure you have adequate coverage.

6. Save for Retirement

As soon as you start earning income, make a habit of saving at least 10% for your retirement through automatic withdrawals. You will not have access to an employer-sponsored retirement plan, but there are various other tax-qualified retirement plan options that can be

set up a through your financial advisor. Saving automatically will ensure that you don’t get behind in your retirement savings.

Freelancing can offer significant opportunities to potentially earn more, save more and retire earlier. While there are important pros and cons to consider, learning more about the business side of freelancing can help you become better prepared to make the right choices for your lifestyle.

Need Help?

At CRNA Financial Planning®, we work with CRNAs to help them make informed financial decisions through education. We understand the employment dynamics that are unique to CRNA professionals and can help explain the options available to you and strategies that we recommend. To learn more about starting a freelancing business, email us at, call our office at 855.304.3748, or visit our website.

About Jeremy Stanley

Jeremy Stanley is the founder of CRNA Financial Planning®. He has been providing advice and guidance to Certified Registered Nurse Anesthetists (CRNAs) for over two decades. As a CERTIFIED FINANCIAL PLANNERTM, Jeremy has met rigorous certification and professional standards set by the CFP® Board. He is committed to adhering to the principles of integrity, objectivity, competence, fairness, confidentiality, professionalism and diligence when dealing with clients. Jeremy is also the author of the book “The Wealthy CRNA,” which lays out a foundational roadmap for CRNAs to help them plan their financial futures.

* compensation-and-employment.html

Securities offered through LPL Financial, Member FINRA/SIPC. Investment advice offered through Private Advisor Group, a registered investment advisor. Private Advisor Group and CRNA Financial Planning are separate entities from LPL Financial.

This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor. 

Five Ways CRNAs Can Minimize Their Tax Burden

Five Ways CRNAs Can Minimize Their Tax Burden

by Jeremy L. Stanley, CFP®, AIF®

One of the great things about being a CRNA is the lucrative salary. What’s not so great are the high taxes that accompany it. A 2015 Gallup poll showed that 63% of Americans are dissatisfied with the amount they pay in taxes, and many CRNAs fall into this category1. With an average salary of $160,2502, CRNAs can pay between 28% and 35% just in federal taxes (depending on their filing status and spouse’s income)3. On top of that, CRNAs receiving a W-2 face limited tax deduction options, as they often can’t take advantage of deductions for business, travel, and other expenses.

Beyond income taxes, many CRNAs are bumping up against the Alternative Minimum Tax (AMT). The AMT is a supplemental income tax required in addition to the baseline income tax for select taxpayers who have deductions and exemptions that allow for lower payments of standard income tax. This means that some taxpayers must calculate their liability twice (first under income tax rules and second under AMT rules) then pay the higher amount. While this tax was initially designed to keep wealthy taxpayers from using loopholes to avoid paying taxes, it now impacts more than 5 million filers. The AMT exemption is similar to the standard deduction for calculating your alternative minimum tax. For single taxpayers, the 2017 exemption amounts start at $54,300 and phase out at $120,700, and for married couples filing jointly, the amounts range between $84,500 and $160,900.4

Working with a tax professional throughout the year can help you legally minimize your overall tax liability and chances for owing the AMT, including CRNAs who receive a W-2. Here are a few strategies for minimizing your taxes.

Understanding W-2 versus 1099 Tax Planning

Before diving into tax strategies, it’s essential for CRNAs to understand the differences between W-2 tax planning and 1099 tax planning.

As a CRNA receiving a 1099, whether full or part-time, you can take tax deductions that a W-2 employee cannot take, including deductions for travel expenses, insurance, office and medical supplies, and other business-related expenses (as well as saving significantly more money each year in tax-advantaged retirement accounts). Depending on your job status and goals, you may consider working as a business owner or freelancer and using a 1099, which gives a wider array of options for tax deductions. A tax professional may also help you take advantage of deductions you weren’t aware you were eligible for.

Use the Correct Filing Status

Your filing status determines your filing requirements, standard deduction amount, eligibility for a variety of tax deductions, and the amount of tax owed annually. When it comes time to file, make sure you determine which filing status is most appropriate for you.

Currently, there are five IRS filing statuses:

  1. Single

  2. Married filing Jointly

  3. Married filing Separately

  4. Head of Household

  5. Qualifying Widow with Dependent Child(ren).

It is important that you select the correct filing status for your given situation. The IRS provides a few basic tips to help you determine which filing status is most appropriate for you:

  • Your status on the last day of the year determines your status for the entire year. For example, if you were married on December 27th, even though you spent the majority of the year working as a single professional, you must file your return as married.

  • If your spouse died during the tax year, and you didn’t remarry, you may choose to file a joint return for that respective tax year.

  • Married couples can choose to file separate returns, but depending upon their state of residence, a financial benefit may not result.

  • The term ‘head of household’ applies to filers who are not currently married. In order to claim this filing status, the individual must be financially responsible for at least 50% of all costs resulting from maintaining a household, including those costs of another qualifying person.

If more than one of the available filing statuses is applicable, choose the one that results in the least amount of tax owed.5

Use Tax-Favored Retirement Accounts

If you are an employee of a hospital, you may not have as much room to strategize regarding your tax-favored retirement savings. However, if you are a freelancer or business owner, you can employ a variety of strategies to lower your total tax bill. As highly compensated professionals, pre-tax contributions into qualified retirement plans can reduce your adjusted gross income. The most common employer-provided qualified plans are 401(k) and 403(b) plans.

As of 2017, CRNA employees with a 401(k) or 403(b) can defer up to $18,000 of their annual earned income on a pre-tax or after-tax basis. Participants over the age of 50 can also take advantage of the catch-up provision and contribute an additional $6,000 (These amounts can change annually).6

One of the many benefits of being a business owner or freelancer is that you can lower your total taxable income even further. Solo 401(k)s and SEP IRAs are the two primary qualified plan types available. With a SEP IRA, you as an ‘employer’ can contribute up to 25% of your compensation or up to $54,000.7 For solo 401(k)s, the annual employee contribution limit is the same as the traditional 401(k) plan ($18,000 for the 2017 tax year, or $24,000 for those over the age of 50). In addition, ‘your company’ can also contribute a profit sharing contribution of up to 25% of your income allowing total combined contributions to the plan of up to $54,000 (or $60,000 including the catch-up contribution if you’re over the age of 50).6 Some solo 401(k) plans also offer a Roth provision which will allow you to designate some of your elective salary deferrals as Roth contributions. This means that you can put post-tax dollars into a retirement plan which will grow (including the earnings) generally tax free.8 Because of their high salaries, many CRNAs are not eligible to contribute to a traditional Roth IRA, so this may be a good option to diversify funds for retirement.9

Search for Eligible Tax Deductions

The amount you are taxed is based on your taxable income. The lower your taxable income, the less you’re taxed. Tax deductions can help you reduce your taxable income; two-thirds of all tax returns use the standard deduction because many taxpayers aren’t familiar with this strategy.10 Don’t overpay your taxes by not taking full advantage of available tax deductions. You may be eligible to take advantage of one or more of the following tax credits, exemptions or deductions:

  • Earned Income Tax Credit: For CRNA employees who earned less than $49,078 from wages or self-employment, a tax credit up to $5,751 may be available.

  • Child and Dependent Care Tax Credit: If you have paid ongoing expenses for the care of qualifying children under age 13, a disabled spouse or other dependent, including a parent, you may be eligible to take advantage of this credit.

  • Child Tax Credit: If you have qualifying children, depending on your income, you may be eligible to take a deduction up to $1,000 per child in addition to the above mentioned child care credit.

  • Education Credits: These education credits are available to help offset higher education costs for yourself or eligible dependents. There are two primary education credits currently available, which include:

    • Lifetime Learning Credit: Up to 20% of the tuition costs, limited to $10,000 of expenses, may be deducted for each eligible student for higher education expenses such as tuition, fees and books required to complete courses. The credit is eligible for married couples filing a joint return with a modified adjusted gross income of $120,000 or less.

    • The American Opportunity Credit: Up to $2,500 per eligible student may be deducted for up to 4 years of postsecondary education. Each eligible student must be pursuing either an undergraduate degree or approved credential. Full credit is available to married couples filing a joint return with a modified adjusted gross income of $160,000 or less.

  • Sales Tax Deduction: While this tax offers benefits for all U.S. residents, it offers the greatest benefit for residents of states not currently imposing state taxes. Why? Filers can deduct the greater of their state and local income taxes or state and local sales taxes. If you completed large retail purchases within the most recent tax year (car, boat, furniture, etc.), then this deduction could result in significant federal income tax savings. Additionally, if you live in a state with income tax, the sales tax deduction can limit the federal tax-ability of your state refund.

  • Real Estate Deductions. If you own a home, you can deduct expenses by itemizing deductions on a Schedule A. You may be eligible to deduct mortgage interest on up to two properties as well as real estate taxes all properties, if not listed elsewhere on your return. Note, mortgage interest in excess of $1 million in acquisition debt, or for home equity debt that is not used to buy, build or improve your main home is subject to AMT calculations.

  • Rental Property Deductions & Income. Keep track of rental property deductions on a regular basis. If you or your spouse are a qualified real estate professional, you may be able to include potential losses on your annual tax return.

Other common tax deductions CRNAs may be eligible for include:

  • Interest paid on a first mortgage for your main home, as well as a second home for up to $1 million in loans.

  • Interest paid on second mortgages or home equity loans for your main home, as well as a second home for up to $100,000 in loans.

  • Interest paid on student loans (depending on whether or not your income is within allowable limits-many CRNAs may not qualify).

  • Investment losses.

  • Medical expenses (including health insurance premiums)

  • Professional fees exceeding 2% of your adjusted gross income (e.g. investment, financial planning, accounting, and some legal fees).

Deduct Eligible Charitable Contributions

Annual gifts to qualified charitable organizations may be deemed an eligible itemized deduction. Each gift must be noted on Schedule A of your 1040. If your annual non-cash gifts are in excess of $500, you must also complete IRS form 8283, which must be attached to your completed return. If you received benefits as a result of your charitable donation, only the amount in excess of the benefit received may be deducted. Non-cash property as well as investment donations can be deducted at their fair market value. If you donate clothing or other household items, consider using available online value calculators to determine the total value of your contribution, saving these records in the event of a tax audit. Records for all donations must be maintained, including bank records, payroll deduction notices, charitable donation receipts from the qualified organization, or phone records for text message donations.

Deduct Eligible Business Expenses

There are a number of benefits of being a 1099 CRNA (or business owner), and one of those is
tax deduction availability. Business owners, freelancers, and sole practitioners may be eligible
to deduct qualified business expenses on their annual tax returns. In order to qualify for these
business expenses as an employee, you must be itemizing using Schedule A.
Along with business owners, CRNAs working in traditional hospital settings may be eligible to
deduct the following non-reimbursed business expenses:
● Business travel (airline tickets, car rentals, taxi cab fees, business meals and
● Use of your vehicle for business purposes
● Business meals and entertainment (Be sure to note who you dined with, how long it
lasted and what was discussed on the receipt for verification purposes when it comes
time to claim the deduction)
● Continuing education (particularly that which is required to maintain professional
licensing requirements)
● Supplies and tools required for your position
In order to deduct qualified business expenses, you must maintain records to serve as proof
(bank statements, receipts, mileage logs), and the expenses claimed on your tax return must
not be part of a reimbursement plan at work.
In addition to taking advantage of each of the credits and exemptions, be sure to spend a few
minutes annually reviewing your tax withholding status. If you receive either a sizable tax bill or
refund annually, it may be wise to adjust your paycheck’s withholdings. If you owe, you need to
increase the amount taken from your paycheck in order to balance out your payments. If you
receive a refund, you are essentially providing the government with an interest free loan by
providing your hard earned capital over the course of the tax year. Instead, adjust your
withholdings so that you receive these funds over the course of the year. Additional
discretionary cash flow can be utilized for a variety of purposes, including debt repayment, cash
reserve accumulation, or retirement investments.
Business owners may also be eligible to establish material participation for tax purposes. In
terms of income taxes, tax law distinguishes between types of income, including income from
passive investments and active businesses in which a taxpayer “materially participates.” Many
sole proprietors are qualified to claim material participation because they often spend a
significant amount of time handling the day-to- day management of their business.
While there are a myriad of opportunities for reducing your taxes, CRNA business owners and
1099 filers have even more opportunities to minimize their tax liability. However you decide to
invest and plan for your financial future, it’s important to work with both an accountant, as well
as a CERTIFIED FINANCIAL PLANNER™ practitioner who specialize in serving the unique

needs and circumstances of CRNA business owners. CRNA Tax Associates ® specializes in
working with CRNAs to make the most of their earnings and collaborates with CRNA Financial
Planning® to keep your strategies aligned. Do you have questions about how we can help you?
To learn more about CRNA Tax Associates®, visit or to schedule
an appointment, call 336.793.2264 or email

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The opinions voiced in this material are for general information only and are not intended to
provide specific advice or recommendations for any individual. This information is not intended
to be a substitute for specific individualized tax advice. We suggest that you discuss your
specific tax issues with a qualified tax advisor.
About Jeremy Stanley
Jeremy Stanley is the founder of CRNA Financial Planning ® as well as CRNA Tax Associates ® .
He has been providing advice and guidance for Certified Registered Nurse Anesthetists
(CRNAs) for over two decades. As a CERTIFIED FINANCIAL PLANNER™, Jeremy has met
rigorous certification and professional standards set by the CFP Board. He is committed to
adhering to the principles of integrity, objectivity, competence, fairness, confidentiality,
professionalism and diligence when dealing with clients.

Jeremy is also the author of The Wealthy CRNA and A CRNA’s Life After Anesthesia. The
Wealthy CRNA features insights into becoming a financially successful CRNA and how to start
planning for your financial future, and has been prior approved for up to 4 Class A CE credits by
the AANA. A CRNA’s Life After Anesthesia serves as your financial roadmap for a smooth
emergence into retirement. It reviews recent changes in the CRNA industry along with the new

rules of retirement and the final steps of legacy planning. This book has been prior approved by
the AANA for up to 2 Class A CE credits.