When this occurs, the number of accounting transactions that will need to be handled will also grow. You need to make sure that the bookkeeper you choose can cope with your practice’s growth without sacrificing your financial data’s quality, accuracy, or timeliness. The payroll costs https://www.bookstime.com/ for your team of practitioners will be listed under your cost of goods sold category, while your admin staff will be listed under overhead expense.
When to refinance a business loan (and how to do it the smart way)
First, if you’re spending more than 10 hours a week on bookkeeping, you’re doing it wrong. That’s 10 hours you could be seeing patients and actually making money. If you aren’t sure exactly how profitable your practice is or worse, you’re making mistakes and missing estimated tax payments, it’s time to get help.
Insurance and patient payment tracking
This proactive approach to cash flow management means you’re always prepared, whether it’s paying staff on time or investing in that new piece of equipment you’ve had your eye on. When you outsource your bookkeeping to CPAs who focus on dental practices, you’re not just offloading a task; you’re gaining a strategic partner. These professionals know the specific financial metrics that matter most for dentists, like revenue per patient and collection rates.
Need More Help With Bookkeeping for Dental Practices?
- It’s about making the financial side of your practice less of a headache.
- Add up your projected implementation costs, ongoing support fees, and any necessary hardware updates.
- You may also want to build a cash reserve covering at least three months of expenses.
- Flychain combines accounting, bookkeeping, and tax filing into one seamless process so practices can close the year with accuracy and minimal disruption.
Sure, you could use the weekend to maintain your financial records… but you should spend that offline time to build your practice and relax. Dental-specific software helps owners evaluate those purchases within a real cash-flow model instead of an abstract balance sheet. Mistakes double declining balance depreciation method in your dental bookkeeping will make or break your ability to compare your practice against other practices.
When starting a dental practice, certain financial challenges may arise that you weren’t prepared for. These challenges can make or break the success of your business, so it is important to be precise and accurate in your accounting practices. Fortunately, dental bookkeeping our team at Cooper Norman has all the accounting knowledge and experience to help your business overcome any of these challenges.