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, 10 December, 2020

Why your Annual Revenue per patient matters

Let’s get familiar 

Your Annual Revenue per Patient is the total collections in the past year, or over the last 12 months, divided by the number of active patients you have. For example, $600,000 in collections / 1000 active patients = $600 per patient annually.

Why does this number matter? 

Your Revenue per Patient helps you to understand what you are collecting and create your own benchmarks within your practice. You can then compare this number to national averages. The ADA has reported that the average patient spends more than $650 each year for dentistry. Once you know your number you can evaluate how well you are presenting treatment, collecting from patients & insurances, educating your patient base, etc.  How do you compare to the national averages with your annual revenue per patient? Do you have room for improvement?

Revenue per Patient may also start to help you answer the question, are my fees too low? If you have any questions, please reply to this email or call us at 801-225-8474.

About DrillDown Solution

At Drilldown Solution, we are your one-stop-shop for all financial management and business consulting for your dental practice. When you partner with Drilldown Solution, you gain access to exceptional accountants and CPAs who can give you expert guidance and advice on all tax planning and tax preparation issues.

We know how to devise a tax strategy aimed at reducing liabilities and maximizing profits for your dental practice. Our team of tax experts will analyze your full financial picture and design a personalized tax plan to preserve your income.

Drilldown Solution offers a full suite of financial services that include bookkeeping, accounting, tax preparation, and dental consulting. We have the expert team to help any dental practice thrive, even under the current COVID-19 pandemic circumstances. We accomplish this with a three-part system comprised of patient-experience excellence, financial focused operations, and accountability.

Our goal at Drilldown Solution is to put your dental practice in the best financial position possible, utilizing proactive processes and personal care!

Note: The material and contents provided in this article are informative in nature only. It is not intended to be advice and you should not act specifically on the basis of this information alone. If expert assistance is required, professional advice should be obtained.