Dental Bookkeeping for Dentists & Dental Offices WCG CPAs

I have been in practice since 1998 and have never found a person I can trust with my books until I found Sona and her team. We streamline the bookkeeping process so that you can focus on more important things while your numbers are just magically done without your involvement. The user accepts the information as is and dental bookkeeping assumes all responsibility for the use of such information. A high attention to detail is needed to ensure numbers are entered correctly, and the coding is just as accurate. Client references and online reviews offer valuable insights about an outsourced bookkeeping service’s reliability, professionalism, and quality.

Bookkeeping for dentists requires an understanding of the practice as it relates to accounting. Here are the top four common bookkeeping mistakes made by dental practices, and the costly impact it these mistakes can cause. Hiring a dental bookkeeping firm to keep financial records and help you achieve your practice growth goals is a good investment. You can use this guide to research bookkeeping firms, evaluate their services, and choose the right bookkeeper for your practice. The dental bookkeeping firm you hire will be responsible for tracking your cash flows and expenses and possibly managing your payroll too.

Financial Statements

3.Not using an industry standard chart of account – The chart of accounts is used to track how money is spent or received, and to prepare the financial reports for the practice. When establishing an accounting system, special accounts should be set up and tracked according to dental industry standards. A common mistake made by dentists is to use a general chart of accounts, or having an inexperienced bookkeeper create an incorrect chart. The result of this costly mistake is that when the financial reports are prepared, they will not provide the dentist with the insight needed to streamline and grow the practice effectively.

While any bookkeeper can do some of the things necessary to organize and track your practice financials, hiring someone with specific industry experience is the best option. A question we often hear has to do with whether it’s best to hire a dental accountant or a dental bookkeeper. The short answer is that you probably need both because they serve different purposes. QuickBooks does take time and effort but once you get the hang of it you’ll be able to manage your Dental offices bookkeeping easily. You’ll also be able to run reports, estimate budgets and have a full grasp on your financials.

Dental bookkeeping basics

The software can also create and send electronic invoices to patients and insurance companies. This speeds up the payment process and reduces administrative work. It can even track outstanding invoices and send automated reminders, which helps improve your cash flow. For Dentists or Dental Office Personnel who want to increase their precision and skill with accounting for the practice, or accountants or bookeepers specializing in dental office accounting. You have a legal and moral obligation to protect your patient’s personal health information and should not hire a bookkeeping firm that doesn’t make HIPAA compliance a priority.

But when it comes to immersing yourself in the labyrinth of bookkeeping activities, your confidence level could take a plunge. It’s confusing and time-consuming to try and remember which purchases or deposits belong to the business. That makes it a hassle to get a clear view of the company’s financial status.