The Role of Accounting and Bookkeeping in Dental Practice Management: Best Practices and Tips

It can also integrate with other tools like Dext Prepare to help manage your expenses. While it is imperative to the financial health of your business, it can take away valuable resources from focusing petty cash on patient care. At Archer Lewis, we provide personalized accounting services, tax tips for dentists, and strategic guidance to help you grow. Our experienced team understands the unique challenges dental practices face and is ready to support you every step of the way.

Exploring Dental Practice Financial Benchmarking Tools and Resources

Offer flexible installment plans with clear terms to encourage timely repayment while keeping care accessible. Establish clear billing practices – Patients should fully understand what they owe before treatment begins. Provide a detailed breakdown of costs, insurance coverage, and out-of-pocket expenses to prevent confusion or disputes. Use specific service codes for each procedure – Assign detailed service codes for treatments like cleanings, fillings, crowns, bookkeeping and payroll services and root canals. This improves billing accuracy and ensures revenue is categorized correctly for reporting.

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As your practice grows, outsourced bookkeeping services can easily scale with you. Whether you’re expanding services or increasing patient volume, outsourcing provides the flexibility you need. Outsourcing can be more cost-effective than hiring full-time in-house staff. Regular bank reconciliation ensures your financial records match your bank statements, reflecting your actual financial position. Contact 360 Accounting Pro Inc today to learn more about how professional accounting services can benefit your dental practice. Managing your dental practice’s bookkeeping doesn’t have to be complicated, but it does require covering a few key basics.

What percentage of collections should payroll be in a dental office?

Consult with a tax professional to align depreciation practices with tax regulations. Understanding tax implications helps in maximizing deductions and optimizing the clinic’s financial position. We will align around your vision and goals for your dental practice bookkeeping to ensure we are the right fit. We work with 100+ dental practices and only dental practices, so we know how to categorize transactions correctly, meaning better quality and fewer questions interrupting you. Ingenious dental practice payroll tools that save dentists time and money.

This also prevents overstating profits by failing to account for wear and tear. Reconcile claims against bookkeeping for dentists Explanation of Benefits (EOBs) – Regularly review EOB statements to catch underpayments, missing reimbursements, or denied claims. If a payment is lower than expected, compare it to your practice’s fee schedule and identify discrepancies early. Reconcile insurance payments regularly – Keep track of claims submitted, payments received, and discrepancies. Missing reimbursements from insurance providers can lead to revenue shortfalls.

• Neither of these is possible when your personal finances are combined with your practices’.
• To make things easy for you, we’ve created a dental chart of accounts template that you can download and use as a great starting point.
• With Curve, dentists can avoid being overwhelmed by the financial intricacies and devote their energies to what they do best—providing quality care to their patients.
• It ensures the clinic has enough liquidity to cover expenses, invest in growth, and weather any financial challenges.
• They handle all the critical financial tasks that keep your practice running like clockwork.
• Choosing the right revenue recognition method helps ensure financial clarity, tax compliance, and better cash flow management, allowing your practice to scale efficiently.

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From tax planning to cash flow management and profitability analysis, dental accountants can guide you towards financial stability and growth. They also stay abreast of industry trends and regulatory changes, helping your practice navigate the ever-evolving business landscape. By freeing up time, you can focus on growing your patient base, improving patient care, and ultimately increasing profits. This clear division will give you an accurate picture of your practice’s financial performance, simplify your bookkeeping and make tax season far less stressful.