Maximize Deductions: Your 2025 Tax Survival Guide

What Hairdressers Need to Ask Their CPA & How to File Smarter

The 2025 tax season is here, and let’s be honest—it’s not exactly the highlight of the year. The right tax strategy can help you keep more of what you earn, but figuring out deductions, retirement savings and business expenses can get complicated fast. And if you’re not careful, you could be leaving money on the table by misunderstanding tax brackets or losing out on retirement savings that lower your tax bill.

That’s why we asked Anna Manukyan (@amanukyan), Certified Financial Educator and Senior Director of Education and Creative at Ulta Beauty, to break it all down. She’s sharing expert advice on: 

• Maximizing deductions to lower your taxable income
• Understanding the role of financial experts and who to hire for tax planning
• Choosing the right tax tools and resources to stay organized

Before you file, read this—and bookmark this page. The right moves now (and throughout the year) could mean more money in your pocket.

Quick Checklist: What to Do Before April

Short on time? Here’s a must-do checklist for the 2025 tax season to stay organized and avoid last-minute tax stress:

• Organize Receipts and Invoices: Gather proof of deductible expenses like tools, supplies and education.
• Check Tax Brackets: Ensure you know your income bracket and whether you qualify for tax-saving strategies.
• Max Out Retirement Contributions: Contributions to an IRA or other retirement account can lower taxable income.
• Review Write-Offs: Don’t miss big deductions! Education, advertising, software and even your phone bill (if used for business) can be deductible.

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What Should I Ask my CPA?

• What deductions can I claim as a salon professional? Supplies, equipment, social media content and advertising, attending education and even the occasional all-black “uniform” may be considered write-offs. 
• Am I structured under the best business type? Ask if switching to an LLC or S-Corp could lower your tax liability. 

Financial Experts Explained: Who Does What?

Just like you wouldn’t book a color correction with an extension specialist, you need the right financial expert for your taxes. Here’s how to decide—and who else might be able to help.

1. Certified Public Accountant (CPA)

CPAs are licensed accounting professionals specializing in tax preparation, financial analysis and compliance. They help businesses and individuals optimize their finances while adhering to tax laws.

What They Do:

• Prepare and file tax returns
• Optimize deductions and credits
• Advise on the most tax-efficient business structures, such as LLCs or S-Corps
• Assist with IRS audits and disputes
• Guide quarterly tax payments

When to Hire a CPA:

• You need expert tax planning and deduction optimization
• You want guidance on business structure and IRS compliance
• You have complex finances or need help with quarterly tax payments

2. Tax Preparer

Tax preparers focus solely on preparing and filing tax returns. They may or may not have formal credentials but often work under CPAs or EAs.

What They Do:

• File simple tax returns for individuals or businesses
• Provide basic tax advice

When to Hire a Tax Preparer:

• Your tax situation is straightforward
• You need affordable assistance with filing

3. Bookkeeper

Bookkeepers manage the daily financial transactions of your business, keeping your records organized and accurate.

What They Do:

• Record income and expenses
• Reconcile bank accounts and credit cards
• Generate basic financial reports, such as profit and loss statements
• Handle accounts payable and receivable

When to Hire a Bookkeeper:

• You need help tracking income, expenses, and financial records
• You want accurate bank reconciliation and financial reporting
• You prefer to focus on your business while someone manages daily finances

4. Financial Planner (Including Fiduciary Financial Planners)

Financial planners help create long-term strategies for achieving financial goals, such as saving for retirement, managing investments or reducing debt.

What They Do:

• Develop personalized financial plans
• Offer investment advice based on your goals and risk tolerance
• Assist with retirement savings strategies, like IRAs or Solo 401(k)s
• Provide cash flow and debt management guidance

BE AWARE: A fiduciary financial planner is legally obligated to act in YOUR best interest, putting your financial well-being ahead of their compensation. Unlike some financial advisors who may earn commissions from selling certain products, fiduciaries prioritize transparent advice tailored to your needs.

When to Hire a Financial Planner (or Fiduciary):

• You want unbiased, comprehensive financial advice
• You’re planning for long-term goals like retirement or buying a home
• You need investment guidance you can trust 

5. Enrolled Agent (EA)

EAs are federally licensed tax professionals with tax preparation and IRS representation expertise.

What They Do:

• Prepare and file taxes for individuals and businesses
• Represent you during IRS audits, collections or appeals
• Provide tax advice and planning strategies

When to Hire an EA vs. a CPA:

• You have unresolved tax issues with the IRS
• You need a tax expert who is more affordable than a CPA

6. Wealth Manager

Wealth managers specialize in helping high-net-worth individuals grow and protect their assets through investment management and financial planning.

What They Do:

• Manage investment portfolios
• Provide estate and tax planning strategies
• Help preserve wealth across generations

When to Hire a Wealth Manager:

• You have substantial assets and need professional management
• You’re focused on legacy planning or wealth transfer

How to Choose the Right Professional

When selecting a financial expert, consider the following:

• Your Needs: Are you focused on taxes, daily finances or long-term planning?
• Credentials: Look for licensed professionals, such as CPAs, fiduciary financial planners or EAs
• Complexity: Complex needs may require a CPA or fiduciary financial planner, while basic needs might only need a tax preparer or bookkeeper
• Budget: Determine what you can afford and find professionals or tools that fit within your means
• Fiduciary Obligation: If you’re seeking financial planning or investment advice, prioritize professionals with a fiduciary duty to act in your best interest

DIY Tools for Finance Management

If you prefer managing your finances independently, here are resources and tools to help:

• Accounting Software: QuickBooks, Wave, FreshBooks
• Budgeting Tools: Mint, YNAB (You Need a Budget)
• Tax Filing Software: TurboTax, H&R Block
• Investment Platforms: Vanguard, Fidelity, Robinhood, Acorns 

You work hard for your income—staying organized with your taxes helps you keep more of it, not just this year, but long term.

It never hurts to look, find open positions near you to spark inspiration for your career. 

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