As Halloween approaches, Adult Foster Care (AFC) home operators across Michigan are preparing for more than candy and costumes. For many, there’s a much bigger fright lurking in the background—tax season.
Every October, the fear starts to creep in: Did I track all my expenses? Did I miss a deduction? Am I ready for 2025 taxes?
The truth is, most adult foster care homes don’t struggle because they don’t care about their finances. Residential Assisted Living operators struggle because they lack the time to balance their books each month, the tax system feels confusing, or hard to navigate while juggling 24/7 care responsibilities.
That’s why Care Provider Solutions is shining a light on this topic in this month’s Table Talk episode:
🎥 “Tax Tips for AFC Homes,” featuring accounting expert Greg Scholten from On Track Accounting.
In this educational and conversational discussion, learn practical ways to manage year-end finances without fear—so you can keep more of what you earn and reinvest it where it matters most: your residents and your team.
🧩 A Familiar Story in the AFC World
Gaining financial confidence, clarity, and control
Picture this: it’s late November, and an AFC home operator sits down at her desk, surrounded by stacks of receipts, unopened envelopes, and a sense of unease. She’s spent the year focused on resident care and staffing—doing the work that truly matters—but now, tax deadlines are closing in.
Her accountant has asked for financial reports she doesn’t have ready. Payroll records need updating. A few major repairs haven’t been categorized correctly. It feels overwhelming.
This story isn’t unusual—it’s one that plays out in licensed adult foster homes across Michigan every year. And it’s exactly why Tax Strategies for 2025 Table Talk episode is so timely.
By learning how to track “ordinary and necessary” expenses, use accounting software, and plan ahead, AFC owners can rewrite this familiar scene. Instead of stress and confusion, year-end becomes a season of confidence, clarity, and control.
When the financial picture is clear, AFC providers can finally focus their energy where it matters most—on care, not compliance.
🎬 A Sneak Peek: Understanding “Ordinary and Necessary” Expenses
How to save money and protect your AFC business
The episode trailer is now available, and it’s the perfect place to start if you’ve ever asked yourself:
“Can I deduct this?”
Greg breaks down what the IRS means by ordinary and necessary expenses for Adult Foster Care licensed homes—and how understanding that definition can save you money and protect your business.
In the sneak peek, he explains that “ordinary” means common for your industry (like groceries for resident meals or medical supplies), while “necessary” means helpful and appropriate for running your home.
Here are a few examples AFC owners often overlook:
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Cleaning and disinfecting supplies
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Resident activity materials
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Staff training or CPR recertification fees
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Vehicle mileage for resident transportation
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Maintenance, repairs, and safety upgrades
Failing to properly document or categorize these can lead to lost deductions and unnecessary stress during tax season.
📺 Watch the sneak peek now and get a preview of how clear guidance can replace financial guesswork with confidence.
🧮 Inside the Full Table Talk Episode
For those who log into the full Table Talk episode through the AFC Mastermind Member Portal, Greg takes the discussion even deeper—tackling the most important year-end tax issues facing group home owners today.
🧾 1. How to Avoid Costly Penalties and Interest
Many AFC providers think they’re too small to face penalties, but late payments or missed filings can add up fast. Regular check-ins with your accountant and quarterly estimated payments can save you thousands.
💵 2. The Latest “Big Beautiful Bill” Tax Updates
New legislation continues to impact small care providers. Learn what’s changed under recent tax updates and how those shifts affect AFC homes and group homes for disabled adults.
👩⚕️ 3. Payroll and Overtime Changes for 2025
Labor is your biggest expense—and with new overtime rules coming in 2025, AFC owners must plan now to stay compliant. The episode walks through practical steps to ensure payroll accuracy and avoid Department of Labor violations.
💻 4. Why Accounting Software Is Essential for Compliance
Accounting tools like QuickBooks isn’t a luxury—it’s a necessity.
Digital recordkeeping ensures your adult residential home remains compliant and ready for audits. Plus, automation reduces human error and helps you generate real-time financial insights that improve your decision-making.
“You can’t manage what you can’t measure,” Greg says. “Software gives you visibility—and visibility gives you control.”
💡 Why This Matters for Adult Foster Care Owners
Financial System Strategies that impact the ease of operating
Running an Adult Foster Care Home in Michigan means wearing many hats—caregiver, administrator, HR manager, and bookkeeper. But when financial systems are unclear or inconsistent, everything else becomes harder.
By understanding your tax obligations and systems, you can:
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Protect your business from financial penalties
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Keep payroll accurate and transparent
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Qualify for deductions that support your mission
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Build trust with funders, families, and staff
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Strengthen your long-term sustainability
These strategies aren’t just good for your accountant—they’re good for your entire adult foster care community.
💡 Member Insight
Get access to benefits to help make running an adult foster care home easier
🟩 AFC Mastermind Members get access to Greg Skelton’s full Table Talk: Tax Tips for AFC Homes episode, plus bonus materials and a downloadable checklist to simplify year-end tax prep.
🎁 Join today and receive your free guide, “5 Key Tax Tips for AFC Homes.”
👉 Join AFC Mastermind and access the full episode
🎯 Why AFC Mastermind Membership Matters
How to run strong, compliant, and profitable operations
Care Provider Solutions designed the AFC Mastermind Membership to help providers like you run strong, compliant, and profitable operations—without feeling overwhelmed.
As a member, you’ll gain:
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Access to every Table Talk training video
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Continuing education credit opportunities (Michigan’s 16-hour annual requirement)
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Mentoring for adult foster care providers
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Expert guidance on opening and operating adult foster care homes
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Resources that move your AFC company to the next level
Whether you operate one home or multiple group homes for disabled adults, the AFC Mastermind offers clarity, accountability, and community support.
🎃 Final Thoughts: No More Financial Frights
Taxes might always be part of the job—but the fear doesn’t have to be.
With expert guidance and proactive planning, your AFC home can enter 2025 organized, compliant, and confident.
You opened your adult foster care business to provide care and stability for others—now it’s time to build that same stability into your own financial foundation.
About Care Provider Solutions
Equipping Michigan Adult Foster Care Providers with what they need to succeed
Care Provider Solutions equips adult foster care providers with the tools, training, and community they need to succeed. Through Courses, Licensing Start Up mentorship, and the AFC Mastermind Membership, we help licensees operate confidently, stay compliant, and lead with purpose.
You can also stay up to date on new content Care Provider Solutions, has published here:
For additional financial articles:
Streamline your AFC Home: Smart Solutions for Everyday Challenges
4 Strategies to Recover from Revenue Reduction or Rising Costs at Your AFC
