Dental Office Bookkeeping

Bookkeeping

• Bookkeeping is the recording of financial transactions, including purchases, sales, receipts, and payments.
• It is essential for a dental practitioner to be involved in their practice's accounting to maintain order, prevent theft, and keep costs under control.

The Dental Office Bookkeeper

• Handles all dental office finances, including:
  • Accounts Receivable (money owed to the practice)
  • Accounts Payable (money the office owes to others)
• May also handle patient's dental insurance and make financial arrangements with patients for payment of dental services.
• May also be responsible for inventory and supply system.

Income and Expenditures

• Income: a book that contains the profit of the dental practice, recognized when it is received.
• Expenditures: a book that contains the expenses of the dental practice, recorded when it is paid.

Fees

• The price one pays for services, including overhead, wages, costs, and markup.

Financial Record

• An important part of the patient record, including:
  • A copy of any written agreement with a patient
  • Date and amount of all fees charged
  • Date and amount of all payments made
  • Itemized listing of all commercial laboratory fees
  • Copies of all dental claim forms for the preceding two years

Credit and Collection

• Credit: an arrangement with a shop, bank, etc. that allows you to buy something and pay for it later.
• Collection: the act of obtaining money that is owed to the dental office.

Permits and Taxes

• Dentists are exempt from Mayor's Permit because the practice of Dentistry is an exercise of a profession and not a business concern.
• Professional tax is required to be paid to the province where the dentist practices.
• Paying the professional tax allows the dentist to practice their profession in any part of the Philippines without being subjected to any other national or local tax, license, or fee.

Bookkeeping

• Bookkeeping is the recording of financial transactions, including purchases, sales, receipts, and payments.
• It is essential for a dental practitioner to be involved in their practice's accounting to maintain order, prevent theft, and keep costs under control.

The Dental Office Bookkeeper

• Handles all dental office finances, including:
  • Accounts Receivable (money owed to the practice)
  • Accounts Payable (money the office owes to others)
• May also handle patient's dental insurance and make financial arrangements with patients for payment of dental services.
• May also be responsible for inventory and supply system.

Income and Expenditures

• Income: a book that contains the profit of the dental practice, recognized when it is received.
• Expenditures: a book that contains the expenses of the dental practice, recorded when it is paid.

Fees

• The price one pays for services, including overhead, wages, costs, and markup.

Financial Record

• An important part of the patient record, including:
  • A copy of any written agreement with a patient
  • Date and amount of all fees charged
  • Date and amount of all payments made
  • Itemized listing of all commercial laboratory fees
  • Copies of all dental claim forms for the preceding two years

Credit and Collection

• Credit: an arrangement with a shop, bank, etc. that allows you to buy something and pay for it later.
• Collection: the act of obtaining money that is owed to the dental office.

Permits and Taxes

• Dentists are exempt from Mayor's Permit because the practice of Dentistry is an exercise of a profession and not a business concern.
• Professional tax is required to be paid to the province where the dentist practices.
• Paying the professional tax allows the dentist to practice their profession in any part of the Philippines without being subjected to any other national or local tax, license, or fee.

This quiz covers the basics of bookkeeping in a dental office, including financial transactions, accounting, and financial management. It's essential for dental practitioners to understand bookkeeping to maintain order and prevent theft.