Auto repair & maintenance

Books and taxes for independent auto repair shops.

Repair orders, flat-rate labor, core charges, and warranty claims that pay out late. Gus sorts all of it, an accountant checks every transaction, and you get one number a month.

  • From $197 a month
  • An accountant on every transaction
  • Cancel whenever
MarchExample month
$13,000
what you made

March came in at $13,000. Two comeback jobs cost you labor with nothing new coming in, so I flagged those separate from the rest.

  • Tekmetric payoutsRepair orders
  • Sunbit payoutFinanced repairs
  • NAPA account #4471Parts and materials
  • Snap-on scan toolEquipment
  • Shell fuel, shop vanShop vehicle
Money in$52,000
Money out$39,000
Set aside for taxes$2,900
An example month. Yours will have your numbers.

Why your books are different

Independent shop books go wrong in the same handful of places.

You fix everything that rolls in, brakes one day, a check engine light the next, so your books see a mix no generalist bookkeeper is built for: parts bought for a shelf, techs paid on the flat-rate hours they bill, and core charges that come and go. Get those pieces wrong and you can't tell which jobs are actually paying you.

  1. 1

    Core charges muddy the parts line

    A rebuilt alternator or starter carries a core charge that refunds once the old part comes back. Booked as straight income when it lands, or a flat cost when it's paid, the numbers stop matching what the job actually cost.

    What we doNets the core deposit and its refund against the same parts line, so it never reads as extra income or a mystery cost.
  2. 2

    Flat-rate pay hides in wages

    A technician paid a percentage of the flat-rate hours he bills looks like plain payroll once it hits the bank feed. Buried that way, you can't see whether a bay pays for itself or the commission rate is eating your labor markup.

    What we doKeeps flat-rate commission on its own line, apart from hourly wages, so labor can be measured against what was actually billed.
  3. 3

    A stock-up wrecks the month

    Filters, pads, belts, and sensors get bought by the case from NAPA or WorldPac ahead of the jobs that will use them. Expensed the day they arrive, one big order makes a strong month look thin and the next one look great.

    What we doKeeps parts and materials in one steady line tied to what repair orders used, and flags a stock-up as inventory, not that month's cost.
  4. 4

    Warranty claims pay late and short

    A warranty administrator or an insurance direct repair program often pays weeks after the job, sometimes less than the estimate once an adjuster reviews it. Booked like an ordinary payment when the check lands, you lose track of what was actually billed.

    What we doTracks warranty and insurance work as its own receivable until it's paid, so you can see what's owed and catch a shortfall.
  5. 5

    A lift gets filed as a supply

    A four-post lift or a new diagnostic scan tool can run tens of thousands of dollars. Filed as a shop supply, it wrecks the month's number and misses out on being written off as equipment.

    What we doFlags a big equipment buy the day it shows up, logs it as equipment, and brings it to the accountant for the depreciation call.

Your categories

The categories Gus keeps for an independent repair shop.

Set up once for how you get paid and what you spend, you never pick a category, an accountant checks every one.

Money in

  • Repair ordersBrakes, diagnostics, and general repair, run through the counter card reader.
  • Financed repairsSunbit or Wisetack payouts, with their fee booked separate from the sale.
  • Warranty and insurance workClaims paid by a warranty administrator or a direct repair program.
  • Fleet accountsLocal business vehicles billed net 30.
  • Core charge refundsCredits from suppliers when an old alternator or starter comes back.

Money out

  • Parts and materialsNAPA, WorldPac, and O'Reilly commercial account purchases.
  • Tech wages and commissionFlat-rate pay kept apart from straight hourly wages.
  • EquipmentLifts, alignment racks, and scan tools, logged so they get written off right.
  • Shop supplies and disposalRags, degreaser, and waste oil and tire disposal fees.
  • InsuranceGaragekeepers and general liability coverage.
  • MarketingGoogle local services ads and marketplace certification fees.

What we watch for you

  • Effective labor rate

    What each billed hour nets after commission, tracked so pricing keeps pace with tech pay.

  • Parts margin

    What's kept on parts after the supplier bill, watched so a stock-up doesn't hide a pricing slip.

  • Comeback cost

    Labor paid on warranty redo jobs that billed nothing new, worth watching before it eats a month.

  • The set-aside

    What you will owe, tracked every month, so April is a number you already knew.

Ask Gus

Things independent shop owners ask Gus.

Text him like you would text anybody. He answers in plain English, and when a question is above his pay grade, an accountant looks and gets back to you.

Why does this month look worse than last, we did the same work?

You stocked up on brake pads and sensors from NAPA. That's inventory for jobs still coming, not this month's cost, so I moved it off the line.

A warranty company still hasn't paid for last month's transmission job.

I'm tracking it as owed, not collected. If it comes in short of the estimate, I'll flag the difference when it lands.

Do I need to put my tech on payroll if I pay him flat-rate?

Almost always, yes, even paid by the flat-rate hour. That one's above my pay grade for the details, so the accountant is looking at it.

The tax side

The tax side of an independent repair shop.

Most of what goes wrong here is labels and timing, a lift filed as a supply, a tech paid like a contractor who works like an employee, and a set-aside nobody started until April.

What your return has to get right

Your accountant signs it, so it gets done right the first time.

  • Lifts and scan toolsShop equipment like lifts, alignment racks, and diagnostic tools can usually be written off the year you buy it. Bonus depreciation is back to 100 percent for property bought after January 19, 2025, though spreading it out is sometimes the better call.
  • Flat-rate tech classificationA technician who works your schedule and uses your lifts is usually an employee, even if paid by the flat-rate hour rather than straight time. Getting this wrong gets expensive, so Gus flags it before it becomes a habit.
  • Contractor 1099sA machine shop, upholstery shop, or tow operator paid $2,000 or more in 2026 gets a 1099-NEC by January 31. Gus keeps that list running all year so it's ready.
  • The pass-through deductionMost owner-operator shops can take up to 20 percent of business profit off their taxable income. It only comes out right when the books have been right all year.

Deductions independent auto repair shops miss

Your bookkeeper knows what to look for in your statements. You never have to.

  • Scan tool subscriptions
  • Shop towel service
  • Waste oil disposal fees
  • ASE certification fees
  • Lift recertification
  • Garagekeepers insurance
  • Tow vehicle fuel
  • OEM service subscriptions
  • Uniform rental
  • Shop rags and degreaser

General information about 2026 federal rules, not advice for your business. Your accountant looks at your actual numbers before anything gets filed.

All year, not just April

An independent shop's year, kept every month.

Work comes in all year with no real slow season. Your taxes come on a schedule. Your team keeps you ahead of both. Every month in between, your bookkeeper closes the books and speaks up the moment something looks off.

  1. January

    Plan the year

    Last year's return gets started, the 1099 list for machine shops and tow operators is ready, and you get a monthly set-aside so April isn't a surprise.

  2. April

    Filed. Done.

    Your return is filed and signed. No surprise bill, because the set-aside has been running since January and matched what the shop actually made.

  3. July

    Halfway check

    Where you stand, what you will owe, and whether the summer road trip bump in brake and cooling system work changed the number.

  4. October

    Before winter work

    Battery and heater season is coming. Before the rush, Gus looks at equipment worth buying and any move worth making before December.

What you get

Starts at$197a month

What you pay depends on what your business needs, and it does not move after that, busy season or slow. No hourly bills, no surprise invoices, no setup fee.

Book a call
  • Monthly bookkeeping

    Every transaction sorted into categories set up for independent auto repair shops. You never categorize a thing.

  • An accountant checks every transaction

    Real review, every month, before your books close. Not a spot check.

  • Your business tax return, filed

    Prepared, reviewed, and signed by that same accountant every year.

  • The monthly number

    What you made, what you spent, what to set aside for taxes.

  • Your own bookkeeper

    A real person assigned to your business, in the app whenever you need them. No hold music.

  • On your books all year

    Every month, not just in April. Your team speaks up whenever something is worth your attention.

  • Cancel any time

    No contract. No cancellation call. Your books are yours.

Straight answers

Questions independent shop owners ask first.

Can Gus handle financed repair orders?

Yes. He books the full repair order as money in and the financing company's cut as a fee, so your sales aren't understated and the fee still counts against your taxes.

My techs are paid flat-rate. Does that change the books?

It changes where the money goes, not what you do. Flat-rate commission stays payroll, kept on its own line so you can see labor against what each month actually billed.

Do I write off a new lift all at once?

Often you can. Shop equipment bought for the business can usually be deducted the year you buy it, and sometimes spreading it out is the better call. Gus flags the purchase and the accountant decides with your whole year in view.

A warranty company still owes me for a job from two months ago. How does that show up?

It shows as owed, not collected, until the check lands. If it comes in short of what you billed, Gus flags the difference so you know what actually got paid.

My books are a mess from doing them myself. Is that a problem?

No. Send the bank statements you have. Gus sorts them, the accountant checks them, and most owners know where they stand inside a week.

Is a real accountant checking my books?

Yes. You get your own bookkeeper, Gus does the first pass on every transaction, and an accountant checks every one before your month closes. That same accountant prepares, signs, and files your business return. Goatkeeper is not a CPA firm, and we never pretend a person looked when they did not.

What does it cost, and can I cancel?

It starts at $197 a month, depending on what your business needs. No setup fee, no hourly bills, no contract. Cancel any time from the app, and your books go with you.

Book a call

Pick a time. That's the whole signup.

Fifteen minutes with a real person on our team. They look at where your books are, tell you straight what it takes to get caught up, and get you set up on the spot if it fits.

  • $197 a month to start
  • An accountant on every transaction
  • Cancel whenever