Well, there are unique financial challenges with running a profitable dental practice. The answer is to use a an experienced dental accountant to take care of your bookkeeping, who also has knowledge and experience of working in the industry. When you have the full picture of all the financial transactions going in and out of your practice, you’ll know how it is really performing – a busy waiting room doesn’t always tell the whole story. Many dental clinics have issues maintaining a proper accounts payable & accounts receivable process. This directly affects the cash flow of the dental clinic, depriving them of necessary finances when needed. Outsourcing can bring efficiency in accounts payable & accounts receivable in a proper step-wise process.

You spent years as a dentist, gaining education and experience to open your own practice. If you pursued conventional methods of education and training, you probably did not acquire skills in bookkeeping, much less accounting. No doubt, you’ve had to expand your repertoire as your practice evolved. At Cook CPA Group, we understand that California dental practices face unique financial challenges when designing business strategies for long-term success in the healthcare industry. Equipped with over 20 years of experience serving dentists, dental insurance billers, and dental insurance companies, our CPAs and business consultants are ready to help you meet these challenges head-on. Though industry figures vary by year, most statistics indicate that there are more dentists practicing in California than virtually any other state in the country.

Expertise and Experience in the Dental Industry

Hiring, training, and maintaining an accounting department is expensive. Outsourcing the accounting function to Smartbooks360 eliminates hiring and training costs. Are you looking for help getting your finances in order? It can be hard to stay on top of bills, savings, and investments, and it’s easy to get overwhelmed. With changing time, human requirements are also changing rapidly and with that the professional services are picking upwards.

• A question we often hear has to do with whether it’s best to hire a dental accountant or a dental bookkeeper.
• In addition to providing your patients with the best possible care, you must also manage the financial aspects of your practice, including keeping accurate records, paying your employees, and much more.
• To reconcile your account means making sure that all the transactions in your QuickBooks match up to the transactions in your bank statement and that there are no disparities between the two.
• Keeping it organized special for dental benchmarks and your CPA’s tax prep.
• Our advisors will help you run your business more efficiently with timely, reliable and accurate financial statements.
• I recommend two different versions – QuickBooks Basic and QuickBooks Pro.
• Poor bookkeeping will end up costing you time as well as money.

A small practice, for example, might design its dental bookkeeping system based on its needs, such as tax requirements and investments. We streamline the bookkeeping process so that you can focus on more important things while your numbers are just magically done without your involvement. If you decide that bookkeeping isn’t your strong suit, they also have a paid bookkeeping service to make the process even easier. It allows you to work with a professional bookkeeper for an additional cost.

Our service is perfect for both established and start-up dental practices.

It will also give insight into how the firm responds to negative reviews. Experience is also necessary because a bookkeeper without dental or healthcare experience may not understand industry dental bookkeeping regulations, including HIPAA compliance. In addition, they can also spot money being misused, embezzled and is a good way to find wrongly categorized income and expense transactions.

So, while discussing things such as revenue, margins, and reconciliation might leave a bad taste in your mouth, doing so is absolutely necessary to keep your patients’ mouths healthy. After the reconciliation of your accounts, your dental practice should be well positioned to make informed decisions based on those results. Bookkeeping systems range from the most basic check register used to record checks and deposits, to the complex systems of ledgers and journals used by large corporations.

What is the reconciliation Process?

Modern medical and dental practices rely on the latest technology, so purchasing equipment will be the largest startup cost for these businesses. The goal of accrual accounting for dental groups or DSOs is to create quarterly financials for comparison and a 12-month rolling period to provide an accurate financial picture. Another tool in QuickBooks, not in Quicken, is the Accountant’s Review. This handy tool allows you to make an Accountants Copy for your accountant, who can then make adjustments to your finances, entries for tax purposes, etc. With QuickBooks, you can continue to write checks, create payroll, and run reports without any time delays or having to reenter any information. Features are similar between the two, but with very distinct differences.

After all, if you wanted to spend your workweek sorting through balance sheets and payroll reports, you would have gone into accounting, not dentistry. However, while accounting is likely among the least exciting aspects of running your dental practice, it is also among the most important. This is particularly true if your practice is still in its nascent stages, when early business planning decisions can chart a course toward long-term success – or an early economic demise. Fortunately, following some simple accounting tips will bolster the odds that your practice will flourish. There are bookkeeping firms that specialize in certain industries, including the dental industry. If a company doesn’t specifically mention dental bookkeeping on its website, then it may not have the experience and expertise you need to keep accurate records.

Do I Need an Accountant or a Dental Bookkeeper?

Also, dentistry like other medical professions doesn’t allow for a remote work or work from home. In other words, Monday through Thursday and some Fridays, you need to maximize your utility. Sure, you could use the weekend to maintain your financial records… but you should spend that offline time to build your practice and relax.

You can also use the data in these documents to create monthly financial reporting for your company. Most small businesses choose to close their books monthly. Depending on what works for your business you could also choose to close books annually. It’s confusing and time-consuming to try and remember which purchases or deposits belong to the business.

Included in our bookkeeping service:

Let’s talk about how WCG can provide timely and accurate financial statements… but let’s also talk about how we can help use those financial statements to leverage the most out of your dental practice. As mentioned before, we can provide expert dental consultation on top of the bookkeeping. Don’t forget that WCG is a full-service dental accounting firm with bookkeeping, payroll, tax return preparation and consultation. At Titan Web Agency, we partner with dental practices to help them market their businesses to reach more patients and increase their profits. That includes providing advice in relation to the financial aspects of managing a dental practice. That’s why we’ve created this guide to help you select the best dental bookkeeping firm to help grow your practice.

• This might affect you further down the line when you transfer those figures to other financial reports.
• Our accounting and bookkeeping service reduces the stress of running your dental practice.
• Since all of the dental bookkeeping solutions we offer are automated, the risks of errors in calculations and inputs are greatly reduced.
• They also collect and analyze accounting data, identifying and trying to reconcile discrepancies along way.
• It’s an essential part of running a successful dental practice.
• You don’t need to take on a whole team of accountants, but oversight is always valuable, no matter what the industry or application.