by Daniel Kittell | Industry - Veterinary Medicine, News, Newsletter
Every veterinary practice deals with the client who shows up unannounced with a sick or injured pet, with no appointment and no call-ahead notice. You’ve already got a full schedule for the day. What now?
Walk-ins don’t have to throw your whole day off. With systems in place to handle these situations, you can manage them efficiently without disrupting your planned schedule.
Start With the Front Desk
Triage is the key to handling walk-ins, and it starts the moment an unannounced client walks through the door. Your front-end staff should know the correct questions to ask. What symptoms is the pet experiencing? When did the problem start? Is the pet having trouble breathing? Is the pet bleeding? Has the pet eaten something toxic?
These questions help gather enough information to flag a true emergency. And if a receptionist is unsure how serious the situation is, they should consult a technician or veterinarian.
A Technician Can Perform a Quick Assessment
Once the initial questions are answered, a technician should do a brief evaluation. Not a full workup, just enough to determine what you’re dealing with.
If the pet is experiencing a life-threatening emergency, start treatment immediately. But if it’s less urgent, you have options on next steps.
If the situation is urgent but not critical, it might be better handled at a nearby emergency hospital, which is equipped with additional staff, equipment, and specialty services. This way, you’re not disrupting your schedule, and the pet is getting care from a team that’s ready for it.
When a Small Issue Becomes a Big Problem
Sometimes the situation seems minor, so you decide to work the client into your schedule. Soon, something that first appeared minor is beginning to reveal a more serious problem. Additional testing is needed. Treatment takes longer than anticipated. A procedure becomes necessary. Suddenly, you need to pull a technician from another room, your next appointment is waiting, and you’re running 30 minutes behind schedule.
Not every quick walk-in stays quick, but you can get ahead of it.
Give Clients the Option to Wait
If the walk-in isn’t urgent, let the client know that you can see them, but they’ll have to wait until you can fit them into the schedule.
Some clients might be willing to wait. Others might reschedule. Either way, you’re not squeezing a non-emergency into an already packed day.
Clear communication is important here. Let clients know what the wait time looks like so they can make the call that’s right for them.
Build Time Into the Schedule
This is a practical long-term fix. If you block out one or two short windows during the day, you’ll have room in the schedule to absorb unexpected walk-ins. These openings may not be used every day, but they can provide breathing room when an emergency does arise.
Most clinics can’t avoid walk-ins, but with a plan and some built-in flexibility, you can handle them without derailing your schedule.
by Daniel Kittell | Construction, Industry - Construction, News, Newsletter, Small Business
The construction industry needs to bring 349,000 new workers in 2026 just to keep labor supply and demand in balance. That’s according to the Associated Builders and Contractors (ABC). And most of that demand is coming from the need to replace retiring workers.
Experienced workers are aging out of the construction industry faster than new ones are entering. And while 349,000 is a big number, it’s actually lower than in recent years. ABC projected a need for 439,000 workers in 2025 and over 500,000 the year before. The 2026 dip reflects modest construction spending forecasts through 2027. But ABC cautions that those forecasts could be too conservative, and any policy changes or drops in financing costs could cause demand to outpace projections.
Where the Shortage Hits Hardest
Electricians are in especially high demand right now. The accelerated growth of AI data centers has led to an increase in large-scale projects requiring highly specialized electrical work.
Labor shortages are also critical near large industrial projects like semiconductor manufacturing facilities. These massive projects draw from a limited pool of workers in the region, which can leave local contractors scrambling to staff workers for their own projects.
The Forces Driving Workforce Challenges
Several things are at play here, with the aging workforce being one of the most significant factors. These workers are taking years of knowledge and skill with them, while the industry plays catch-up to replace them.
Another factor at play is immigration enforcement. The construction industry has historically included undocumented immigrants. But border crossings fell sharply in 2025, and deportation efforts have ramped up, causing a stall in that labor pipeline.
Add to this high labor costs and tariffs that are squeezing budgets, which can have the domino effect of discouraging investment in workforce development.
Technology is also changing the industry. Project management software, robotics, automation, and drones are swiftly integrating into the construction landscape. These tools create demand for workers who can adapt and learn new skills quickly.
What’s the Solution?
This is a complex issue with no clear answer.
Some groups are advocating for a more flexible visa framework to bring in skilled workers from other countries. This would give the industry a faster path to filling workforce gaps.
Training programs that can help workers with transferable skills transition into the construction industry could be another piece of the puzzle.
And apprenticeship programs that allow workers to earn while they build skills could help close the gap.
Labor Shortages Affect More than Job Sites
Labor shortages can affect more than the construction industry. When there aren’t enough workers, projects get delayed, and some stall indefinitely. Roads, bridges, and other infrastructure upgrades can take longer to complete. Housing construction can slow as well, creating a tighter supply and potentially pushing prices higher for buyers and renters.
The impact can spread into the broader economy, too. Large projects that support industries like AI and semiconductor manufacturing may take longer to build, which can slow expansion and investment.
The labor shortage isn’t a quick fix, but it’s manageable. Invest in recruiting, training, retention, and competitive pay to stay ahead of the competition and keep your projects moving.
by Daniel Kittell | Accounting News, News, Newsletter, Retirement, Retirement Savings
If you’ve been sleeping on the Roth 401(k), it’s time for a second look. Yes, they used to come with that inconvenient drawback known as the Required Minimum Distribution (RMD), where you had to withdraw money on a set schedule, whether you needed it or not. But with the implementation of the SECURE 2.0 Act, RMDs are no longer required. Add to this a new rule for catch-up contributions, and Roth 401(k)s just became much more attractive, especially for high earners.
No RMDs Means More Control
Before this change, the IRS required you to start withdrawing money from your Roth 401(k) once you hit a certain age, which forced retirees to pull funds out of an account that would otherwise keep growing tax-free.
Now that both Roth IRAs and Roth 401(k)s are free from RMDs, they’re on a level playing field. This gives you control. If you want to leave your money in the account and let it grow, you can. You have the freedom and flexibility to time withdrawals based on your needs, not a government schedule.
Key Differences Between Roth 401(k) and Roth IRA
Both accounts offer tax-free growth and tax-free withdrawals in retirement. But they are not identical, and the differences are important.
With a Roth IRA, you can only contribute up to $7,500 annually in 2026 (or $8,600 if you’re 50 or older). There’s also an income limit. For 2026, the limit is $153,000 for single filers and $242,000 for joint filers. If you earn too much, you’re not eligible to contribute at all.
A Roth 401(k) doesn’t have those restrictions. The contribution limit is $24,500 in 2026, and there is no income limit.
So for higher earners, the Roth 401(k) is the more accessible option.
A New Rule for Catch-Up Contributions
As of January 1 of this year, under the SECURE 2.0 Act, catch-up contributions for employees who are 50 or older and earn over $150,000 must go into a Roth 401(k). You can no longer direct those extra contributions into a traditional 401(k). That means paying taxes now on those catch-up contributions instead of later.
This might feel constricting for some people, but it’s not a bad deal in the long run. Yes, you’ll pay taxes on contributions now, but the growth and withdrawals remain tax-free.
Why This Matters for High Earners
Put it all together and the Roth 401(k) starts to look like the better option for high earners. You can contribute more than a Roth IRA allows, and you won’t be excluded due to income limits. Your money grows tax-free, and when you withdraw it, you don’t owe taxes on the gains. This can be significant if your balance grows over decades.
Then there’s the question of future tax rates. Many people assume they’ll be in a lower tax bracket in retirement, but when you factor in required withdrawals, Social Security income, and other assets, this isn’t always the case. Some retirees may even end up in higher tax brackets. A Roth 401(k) helps avoid that risk.
To recap, no RMDs, higher contribution limits, and no income restrictions make Roth 401(k)s a strong option. And now, if you’re a high earner making catch-up contributions, you’ll be in a Roth account whether you planned for it or not. Hopefully, now you can start to see why that’s actually a good thing.
by Daniel Kittell | Accounting News, Industry - Professional Services, News, Newsletter, Professional Services, Small Business
Key Takeaways
- Hourly billing rewards time, not results. The traditional billable hour model creates a misalignment between client and firm. Clients want efficiency, but firms earn more when work takes longer. That tension is prompting a shift toward alternative fee arrangements (AFAs).
- AI is accelerating the move to value-based pricing. When AI can compress a five-hour task into one, billing by the hour loses its logic. Firms are increasingly pricing based on outcomes and expertise rather than time spent to stay competitive and protect revenue.
- Outcome-based pricing works best with transparency. Flat fees, capped fees, and hybrid models all have merit, but they require clear communication, accurate project scoping, and client trust to succeed. Done right, they benefit both sides.
Ask any lawyer, accountant, or consultant how they charge for their work, and the answer is almost always the same: by the hour. Agencies have built their entire businesses around the billable hour. Log your hours, multiply by your rate, send the invoice. Simple, consistent, and easy to track.
But the model has never been perfect. And now, with AI changing how work gets done, more firms are starting to question whether billing by the hour still makes sense.
The Problem with Billing by the Hour
The biggest criticism of billing by the hour is perhaps the most obvious: it rewards time, not results. The longer a task takes, the more money the firm earns. That creates a quiet tension between client and firm. The client is interested in efficiency while the firm has a financial incentive to move slowly.
There’s also the issue of unpredictability. Clients don’t often know what the final bill will be. This uncertainty can strain relationships, test trust, and make budgeting difficult for clients.
Finally, hourly billing punishes expertise. For instance, a seasoned attorney who resolves an issue in two hours get paid less than a junior attorney who takes four hours.
AI Has Entered the Chat
AI is changing the conversation here. Firms can research, draft, analyze, and review documents faster than ever with the assistance of AI. Tasks that once took days now take hours. That efficiency is great for clients but eats into billable revenue.
If a task that used to take five hours now takes one, should the firm earn less? The value delivered hasn’t changed, just the time it took to deliver it. And this is why firms are beginning to revisit value-based or outcome-based pricing, which falls under the umbrella of alternative fee arrangements (AFAs).
Alternative Fee Arrangements (AFAs)
AFAs come in several forms. The most common structures are flat fees (one fixed price for a defined service), capped fees (hourly billing up to a maximum cost), blended rates (a single hourly rate across all staff levels), and hybrid models (a combination of hourly and fixed pricing).
These structures shift focus away from time and toward outcome-based pricing, where fees are tied to results. That could mean winning a case, closing a deal, or hitting a specific performance goal.
Why Outcome-Based Pricing Appeals to Clients
Clients don’t care how many hours went into the work. They care about results, and the firm gets paid for delivering results. Outcome-based pricing aligns incentives. Both sides are working toward the same goal.
It also gives clients more clarity. They know what they’re paying for upfront, and they don’t have to meticulously track each phone call and email to the firm to estimate their bill.
For firms, outcome-based pricing creates an opportunity to bill based on expertise, not hours.
How AI Supports the Transition
AI can help make the transition more practical. It improves efficiency by automating routine work, analyzing past projects, and pricing future work more accurately. It also helps to recover time that was previously lost to administrative tasks. That means firms can focus more on high-value work. And that supports a pricing model based on outcome, not time.
Possible Challenges in Transitioning
Shifting away from hourly billing may not be without challenges. Firms need to communicate clearly with clients about new pricing structures. There also needs to be strong internal oversight, where pricing reflects project scope as well as the true effort and risk involved. And there needs to be real transparency. Clients need to trust that a firm’s new outcome-based fees are fair and not just a different way to overcharge.
Hourly billing isn’t disappearing overnight, but firms that shift toward value-based billing will stand out in a crowded market.
by Daniel Kittell | Accounting News, IRS, News, Newsletter, Tax, Tax Planning, Tax Planning - Individual
Inheriting an IRA might feel like a financial win, but the rules today are different than they were just a few years ago. If you’re not up to date, an unexpected tax bill could catch you off guard. Here’s what changed, and how to plan around it.
Changes Made by the SECURE Act
The SECURE Act of 2019 eliminated the “stretch IRA,” which allowed inherited funds to grow tax-deferred for decades while keeping annual withdrawals relatively low. Now, many non-spousal heirs must withdraw the entire inherited IRA within 10 years of the original owner’s death.
This is the 10-year rule, and it can be a tax trap for non-spouse beneficiaries.
If the IRA is traditional, any withdrawals are taxed as ordinary income. If you wait and withdraw everything in year 10, it could push you into a much higher tax bracket.
Who Gets a Pass from the 10-Year Rule?
Not everyone is subject to the 10-year rule. The IRS created a category called “eligible designated beneficiaries.” Beneficiaries in this category can still stretch distributions over their life expectancy. They include:
- A surviving spouse
- A minor child of the deceased IRA owner (until reaching adulthood)
- A disabled beneficiary
- A chronically ill beneficiary
- A beneficiary who is no more than 10 years younger than the original owner
A surviving spouse has the most flexibility. They can roll the inherited IRA into their own IRA and treat it as their own account, which allows them to follow standard RMD rules based on their age.
Minor children who inherit an IRA can take RMDs based on their life expectancy until they reach age 21. After that, the 10-year rule kicks in.
Why the 10-Year Rule Can Be a Problem
The 10-year rule can be problematic for tax purposes. If you inherit an IRA with significant funds and you’re forced to withdraw it within 10 years, those withdrawals could push you into a higher tax bracket. And that, of course, means paying more to the IRS than necessary.
It’s important to note that the 10-year rule enacted in the SECURE Act only applies to IRAs inherited in 2020 and beyond. If you inherited an IRA before 2020, you’re still covered under the old rules.
How to Avoid the Tax Trap
The key is in planning. Don’t wait until the ninth year to make withdrawals. Instead:
- Spread withdrawals over the 10-year period to manage your tax bracket.
- If possible or applicable, coordinate distributions with lower-income years.
- Work with a tax advisor to help you work through different withdrawal strategies.
Here’s the bottom line: the SECURE Act changed the rules for inherited IRAs, and without careful planning, the 10-year requirement can create significant tax bills for beneficiaries. Be prepared, understand the timing, and work with a tax professional to reduce the impact.
