S-corp savings analysis
What a savings figure means, and what has to stand behind it.
Any savings number worth trusting is an average with substantiation behind it. This page is the table of contents: what we measure, how, and why none of it is ever a promise of your result.
Averages, not guarantees.
Any reduction figure attached to Hearth work is a measured average across referred cases. It is never a promise of your result, and it is never framed as save-X-percent. The substantiation behind the number covers the cohort, the period, the baseline, mean and median, projected versus realized, net-of-fees treatment, outliers, and the outcomes-vary disclosure. Anyone quoting you a certain percentage is not us.
What the number means
An average across a defined set of cases.
The figure describes referred client engagements as a group. Your facts decide your result, which is why the only honest next step is running your own numbers with a firm.
How it's measured
The substantiation, item by item.
Cohort definition and period
Which engagements count, and over what window. A named set, not an undefined pool.
Baseline
The starting point a savings figure is measured against. Without one, the number has nothing to be compared to.
Mean and median
Two views of the same set. When they sit far apart, the set is skewed and that has to be said next to the headline figure.
Projected versus realized
A projection made at engagement time is not a result. The two stay labeled as what they are.
Net of fees
Whether the published figure is before or after the cost of the work. A savings number and a net number only mean something if that treatment is stated, not implied.
Outliers and the disclosure
How cases far outside the band are treated, and the line that travels with every quoted figure: outcomes vary with facts.
The process
What has to be true before a figure is quoted.
The engagement is complete and a return is on file.
The outcome is measured against a stated baseline.
The case is assigned to a named cohort and period.
The average is shown with the median next to it, and the substantiation above travels with it.
What we won't publish
The lines this page will never carry.
The only way to know a client's number is to run it.
Talk through how the measurement runs behind your firm, or read the comp methodology first.