Thanks to our partner Promotive

This week, Hunt Demerast, CPA, dives into three hot-button business questions—each with surprising consequences for your bottom line. From covering weight loss meds for your employees to falling into the payroll HR trap, and even how the IRS is tightening the screws on your gambling losses—this episode breaks it all down, minus the legalese.

What You’ll Learn:

(00:00:00) Introduction

(01:02) Can you write off weight loss drugs like Ozempic for your employees—or yourself?

(03:19) The truth about MERPs, HRAs, and what ChatGPT got right and wrong

(07:09) The real IRS rule that trips up most owners (hint: it's about fairness)

(11:28) Gambling tax rule changes that could cost you—even if you lose

(16:04) What triggers a W2-G, and how scratch-offs could land you a surprise tax bill

(23:30) Why HR modules from payroll companies are often a waste of money

(25:50) A real-life story that cost Hunt money—and why handbooks matter

(29:52) What every business owner should review in their employee handbook

Why It Matters: If you’re a shop owner or small business operator trying to make smart decisions on health benefits, tax deductions, and HR compliance, this episode is a must-listen. Hunt pulls back the curtain on commonly misunderstood write-offs, state labor laws, and how small mistakes can lead to big headaches.

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

The Show is sponsored by:

Shop-Ware on the web at getshopware.com

NAPA Auto Care Repair Shop of Tomorrow at https://repairshopoftomorrow.com

Hunt Demarest, CPA

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online : www.paarmelis.com

Email Hunt: [email protected]

Get a copy of my Book : Download Here

The Aftermarket Radio Network

Remarkable Results Radio Podcast with Carm Capriotto: Advancing the Aftermarket by Facilitating Wisdom Through Story Telling and Open Discussion

Diagnosing the Aftermarket A to Z with Matt Fanslow: From Diagnostics to Metallica and Mental Health, Matt Fanslow is Lifting the Hood on Life.

The Auto Repair Marketing Podcast with Kim and Brian Walker: Marketing Experts Brian & Kim Walker Work with Shop Owners to Take it to the Next Level.

The Weekly Blitz with Chris Cotton: Weekly Inspiration with Business Coach Chris Cotton from AutoFix - Auto Shop Coaching.

Business by the Numbers with Hunt Demarest: Understand the Numbers of Your Business with CPA Hunt Demarest.

Speak Up! Effective Communication with Craig O'Neill: Develop Interpersonal and Professional Communication Skills when Speaking to Audiences of Any Size.

Thanks to our partner Promotive

A 900-page monster of a law just dropped—and it’s about to change how you pay taxes, deduct expenses, and run payroll at your repair shop.

This week, Hunt Demerast, CPA at Paar Melis & Associates, breaks down the One Big Beautiful Bill Act (OBBA) and how its sweeping tax reforms affect your shop, your employees, and your personal finances. You’ll hear what stayed the same, what changed unexpectedly, and what you need to keep an eye on before making any big moves.

From bonus depreciation to SALT deduction caps, tips and overtime loopholes to gambling losses—yep, that's in there too—this episode simplifies the complex and sets you up for strategic tax savings.

What You’ll Learn:

00:34 – Why the “Big Beautiful Bill” is no joke

02:24 – What’s not in the bill: no politics, just business

04:45 – Child Tax Credit: what stays the same and why it matters

07:03 – QBI deduction: still 20%, but what it means for your bottom line

09:27 – Bonus Depreciation: the biggest unspoken impact

11:12 – SALT Cap raised to $40k: huge win for high-tax states

16:55 – 3 campaign promises that actually passed

17:10 – No tax on Social Security? Yes…and no

19:34 – Tips & Overtime: $25k income deduction per category

24:08 – Gambling losses capped at 90%: a hidden tax hike?

26:22 – Are meals finally off the table?

28:11 – Trump Accounts: the “non-IRA IRA” for your kids

30:31 – Car loan interest deduction—boon or trap?

33:24 – Qualified Production Property: a sleeper hit for shop owners?

35:45 – What you should (and shouldn’t) do now

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

In this final episode of our Benchmark Report series, Hunt Demarest, CPA with Paar Melis and Associates, uncovers what truly separates the top shops from the rest—productivity, profit margins, and owner involvement.

Key takeaways:

• Top-performing shops average 55%+ productivity, while bottom-tier shops hover around 41%.
• That 15-point gap translates to $13,000 more sales per technician and $12,000 more sales per bay monthly.
• Top shops also average $800 per repair order, compared to $575 for the bottom tier.
• Their labor gross profit margin is roughly 70% vs. 50% for lower performers.
• Productivity isn’t just tech speed—it’s team, processes, bay usage, and daily consistency.
• Download your free 2024 Automotive Industry Benchmark Report: https://info.paarmelis.com/2024-automotive-industry-benchmark-report
• 2025 Benchmark Report Part 1: Biggest Changes, Key KPI's and Trends [E175]: https://huntdemarest.captivate.fm/episode/2025-benchmark-report-biggest-changes-key-kpis-and-trends-e175
• 2025 Benchmark Report Part 2 [E176]: https://huntdemarest.captivate.fm/episode/2025-benchmark-part-2-e176

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

In this second part of our 2025 Benchmark series, Hunt Demarest, CPA, with Paar Melis and Associates, breaks down performance trends by region, shop size, and shop type, using real-world data from auto repair businesses across the U.S.

Key points:

• Regional profit trends with the West leading and the Southeast lagging
• Why higher productivity—not labor rate—drives better profits
• How overhead impacts small versus large shops
• Shop type breakdown: general repair, diesel, and European
• How to use benchmarks effectively without overanalyzing
• Download your free 2024 Automotive Industry Benchmark Report: https://info.paarmelis.com/2024-automotive-industry-benchmark-report
• 2025 Benchmark Report Part 1: Biggest Changes, Key KPI's and Trends [E175]: https://huntdemarest.captivate.fm/episode/2025-benchmark-report-biggest-changes-key-kpis-and-trends-e175

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

Welcome to Part 1 of our annual Benchmark Report—hosted by Hunt Demarest, CPA, from Paar Melis & Associates. We dig into real financial data from hundreds of auto repair shops across the U.S., based on actual bookkeeping, not surveys.

Download your free 2024 Automotive Industry Benchmark Report: https://info.paarmelis.com/2024-automotive-industry-benchmark-report

Key Takeaways:

• Average monthly sales dropped from $149K (2023) to $123K (2024), but sales per advisor, technician, and bay remained steady.
• Gross profit % increased (from 51 % → 52 %), and overall expenses dropped (35 % → 33 %), boosting shop profitability.
• Advertising spend fell (3 % → 2 % of sales): shops that advertise less might be missing opportunities.
• Productivity plunged (57 % → 47.6 %)—likely due to fixed staff levels & fewer cars in 2024.
• Context matters: metrics like average repair order, car count, and productivity are interconnected—local benchmarks offer more accurate insight.

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

Planning for taxes shouldn’t feel like rolling the dice. In this episode of Business by the Numbers, Hunt walks through how smart shop owners use real data, not hope, to forecast and manage their tax obligations all year long.

• Why Q2 and Q3 are the real moneymakers for accurate tax forecasting
• When it actually makes sense to buy that truck for the write-off
• How and when to adjust your tax estimates (and why it matters)
• The truth about retirement contributions as a tax strategy
• Common mistakes shop owners make by skipping tax planning

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

Expanding your auto repair business is an exciting venture, but it brings forth critical decisions, especially regarding entity formation. In this episode of Business by the Numbers, Hunt Demarest, CPA at Paar Melis and Associates, delves into the complexities of creating a new entity for your business expansion.

Key Topics Covered:

• Ownership Implications: Understanding how different ownership structures affect your decision to form a new entity.
• Legal Considerations: Evaluating the legal protections and liabilities associated with separate entities.
• Tax Implications: Analyzing the tax benefits or drawbacks of establishing a new entity.
• Operational Costs: Assessing the administrative and financial costs involved in managing multiple entities.
• Strategic Decision Making: Guidance on making informed choices tailored to your business's unique circumstances.

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

In this episode of Business by the Numbers, Hunt Demarest answers three key listener questions that auto repair shop owners face all too often. From handling warranty job accounting to navigating the financial fallout of divorce, Hunt gives practical, no-nonsense advice.

​In this episode, you'll learn: 

• The right way to book internal and partial warranty work in QuickBooks
• Whether adding your spouse to the business makes sense financially
• Why 8(a) certifications usually don’t help auto repair shops
• How divorce and child support can affect your business valuation and cash flow
• Real-life examples and actionable advice from 15+ years of experience

Thanks to our partner Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/

Thanks to our partner Promotive

Are you charging enough for labor at your shop? In this week’s Business by the Numbers, Hunt Demarest of Paar Melis and Associates tackles one of the most misunderstood metrics in autorepair profitability—your labor rate. Spoiler alert: it’s not always about charging more.

​This week, you'll learn:

• Why labor rate isn't the ultimate driver of shop profit
• The difference between your door rate and effective labor rate
• What real benchmarking data says about high vs. low labor rates
• The one metric that actually correlates with profitability
• How technician productivity impacts your labor cost and bottom line
• The market analysis trap shop owners fall into (and how to avoid it)
• Effective Labor Rate Episode [E128]: https://huntdemarest.captivate.fm/episode/128

Thanks to our partner, Promotive

It’s time to hire a superstar for your business; what a grind you have in front of you. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.

Paar Melis and Associates – Accountants Specializing in Automotive Repair

Visit us Online: www.paarmelis.com

Email Hunt: [email protected]

Text Paar Melis @ 301-307-5413

Download a Copy of My Books Here:

• Wrenches to Write-Offs
• Your Perfect Shop 

The Aftermarket Radio Network: https://aftermarketradionetwork.com/

Remarkable Results Radio Podcast with Carm Capriotto https://remarkableresults.biz/

Diagnosing the Aftermarket A to Z with Matt Fanslow https://mattfanslow.captivate.fm/

Business by the Numbers with Hunt Demarest https://huntdemarest.captivate.fm/

The Auto Repair Marketing Podcast with Kim and Brian Walker https://autorepairmarketing.captivate.fm/

The Weekly Blitz with Chris Cotton https://chriscotton.captivate.fm/

Speak Up! Effective Communication with Craig O'Neill https://craigoneill.captivate.fm/