10/07/2026
If you own a pass-through business, you've probably heard of the 20% QBI deduction.
But there's one word business owners shouldn't overlook:
"๐๐ฉ ๐ญ๐จ."
Eligible business owners may be able to deduct up to 20% of qualified business income, but the actual calculation can depend on several factors.
And that's especially important as we head toward the end of 2026.
For law firm owners, the practice of law is considered a Specified Service Trade or Business (SSTB) under the QBI rules. Once taxable income reaches certain levels, additional limitations can apply.
For franchise restaurant owners, the rules work differently. A typical restaurant business generally isn't treated as an SSTB, but taxable income, W-2 wages, and qualifying business property can still affect the calculation.
So what should you do?
Start with your numbers.
Before year-end, review:
โ Your year-to-date business profit
โ Projected taxable income
โ Payroll and W-2 wages
โ Business assets
โ Planned equipment purchases
โ Retirement contributions
โ Other year-end tax strategies
And make sure your bookkeeping is current.
You can't build a reliable tax projection on financial records that are several months behind.
October is a particularly useful time to have this conversation because you already have most of the year's financial dataโbut you still have time to plan.
Maybe there's nothing you need to change.
Or maybe your 2026 results look very different from what you expected in January.
Either way, it's better to know now than when your tax return is already being prepared.
๐๐จ๐จ๐ ๐ญ๐๐ฑ ๐ฉ๐ฅ๐๐ง๐ง๐ข๐ง๐ ๐ฌ๐ญ๐๐ซ๐ญ๐ฌ ๐ฐ๐ข๐ญ๐ก ๐ ๐จ๐จ๐ ๐ข๐ง๐๐จ๐ซ๐ฆ๐๐ญ๐ข๐จ๐ง. ๐๐ง๐ ๐ ๐จ๐จ๐ ๐ข๐ง๐๐จ๐ซ๐ฆ๐๐ญ๐ข๐จ๐ง ๐ฌ๐ญ๐๐ซ๐ญ๐ฌ ๐ฐ๐ข๐ญ๐ก ๐๐๐๐ฎ๐ซ๐๐ญ๐ ๐๐จ๐จ๐ค๐ฌ.