A Practical Guide To Dentist Accounting

We also work with high net-worth family groups and real estate owners through our affiliated company, Benton Bray PLLC. Through this experience, we are able to bring an extra layer of advisory and estate planning to our engagements. We are fortunate to have curated an awesome team of accounting professionals.

Accounting activities are considered more sophisticated than bookkeeping tasks. Bookkeeping errors or omissions can be costly, while well-maintained books are a major asset during financial decision-making. Bookkeeping consists of detail-oriented tasks that keep track of a business’s financial records.

#52: The Dental Series – Accounting for Your Dental Practice

According to your needs, receive flexible and affordable bookkeeping support when and how you need it. Bookkeeping also helps you maintain an accurate, ongoing idea of your practice’s financial health. That way, you’re always ready to evaluate growth opportunities and business decisions from an informed standing. Detailed and organized books do more than simply track income and expenses—they safeguard crucial data and provide valuable insights into the state of your business.

We work diligently to become a reliable partner by offering a team of skilled accountants that reflects the unique needs of your dental practice. Our friendly staff works well with the varied personalities and communication styles of dental businesses throughout the industry. Before you make any changes to your practice, it’s important to first analyze your current financial situation.

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When you make us your CPA, we’ll handle all your financial management needs with efficiency and accuracy. We’ll take over routine tasks like bookkeeping and financial statements, but we offer much more. With our assistance, your practice will improve cash flow, precisely track revenue and overhead, and become more profitable – all while you focus your energy on your patients. We’ll also uncover ways to reduce your tax liabilities so your practice never overpays on taxes. Generally speaking, some business owners have a fairly good pulse on where their money is going. On the other hand, business owners and specifically dentists are focused on providing quality services to their patients and the formal financial aspects of the practice are secondary.

• If your accounts aren’t reconciled each month, you won’t know if your financial data is accurate.
• But there are now software solutions available that make accounting simpler and more efficient.
• It is important to accurately record income in order to properly calculate the profitability of the practice.
• At DrillDown Solution, we provide financial reporting that makes sense for your dental practice.
• If you don’t need convincing and already want our services and you simply have some housekeeping questions, we answer those at no charge.
• Some dental practice owners have a general sense of their office’s financial health.

Our healthcare accounting and bookkeeping services keep the finances organized. We offer monthly work on your finances and provide comprehensive reporting to give powerful insights into your business. It’s all backed by our team of professionals who will ensure your business is running smoothly. You’re getting overwhelmed by the sheer number of payments, handling payroll, and managing your cash flow.

Bookkeeping for Dental Services

Here are some of the best practices for handling your dental accounting needs. Outsourcing will enable CPA’s to work for the dental clinic who can give a better level of accounting efficiency. CPA for dentists can handle all the important accounting activities efficiently with proper streamlining of the activities. Many dental clinics have issues maintaining a proper accounts payable & accounts receivable process.

• That said, you still need to do it early, before you start incurring expenses.
• If we decide to press forward with a Business Advisory or Tax Patrol Services engagement, we will credit the consultation fee towards those services.
• At Quantum, we specialize in dental accounting so you can rest assured that your books are kept up-to-date and accurate.
• Dental schools are great at teaching prospective dentists how to care for their patients’ oral health.
• The legal entity that you choose for your dental practice will determine the way in which you’ll handle taxes, payroll, and other financial matters.

Most dentists prefer to focus on client work rather than business management, but you can’t afford to neglect the function. Typically, in a dental practice the cost refers to the cost of services sold, not truly cost of goods sold. In accounting, the terms ‘cost of goods’ and ‘costs of services sold’ can be used interchangeably. Check your booking to ensure the correct cost is shown and is consistent. Also check out our write up, How to Calculate Cost of Goods Sold for Your Dental Office.

Accounting

Our integrity and reliability are supported by our expertise, high criteria, and industry experience. Accounting is more specialized, and picks up where bookkeeping leaves off. Accountants interpret, classify, analyze and summarize the financial data. They typically have more advisory positions and offer advice to business owners.

Bookkeeping and accounting are two of the most important aspects of any dental practice, and they are tightly integrated. Our bookkeeping services ensure that your critical financial tasks are taken care of correctly in a timely, professional, and cost-effective manner. Are you a recent dental school graduate, a dentist with experience looking to grow your business or an owner of a well-known dental practice?

Dentists are rarely excited by the prospect of financial concerns interfering with their craft, but you can’t afford to ignore that aspect of your responsibilities. Dental practices are businesses, so you must understand the monetary aspects to run them well. Just be sure you choose one who’s had dental bookkeeping clients like you before, so they understand the nuances of accounting service for the dental industry. In many cases, it makes sense to bring the bookkeeping process in-house. It’s usually straightforward enough to have one staff member handle it with other administrative tasks like scheduling.

For this reason, we recommend recording your deposits weekly and reconciling them on a weekly basis. If possible, depositing into your bank accounts on a monthly basis should be avoided because it’s easier to keep track of deposits when they are taking place regularly. Making deposits weekly gives you the opportunity to easily address issues.