What Are Gross Collections in a Dental Practice?
Gross Collections represent the total payments received by a dental practice from all sources — including patients, NHS, plan providers (e.g. Denplan), and third-party finance — before any deductions like refunds, discounts, lab fees, or associate pay.
This is cash actually collected, not just treatment completed.
Why Gross Collections Matter for Dental Practice Owners
Gross collections show how much money entered your bank — not just what was invoiced or planned.
They’re essential for:
- Paying associates on a % of collections basis
- Understanding real inflow vs. production promises
- Tracking financial momentum — especially in cash-based private dentistry
- Ensuring enough cash is collected to cover fixed costs, tax, and drawings
Example:
A practice produces £100K in January, but collects only £72K due to:
- Payment plans
- Patient finance delays
- NHS claims pending
- A few no-pays
→ Gross collections = £72K, not £100K.
→ Payroll, tax, and dividends must be based on the £72K.
Gross Collections vs. Production
| Term | Definition | Use |
| Production | Value of treatment completed (earned revenue) | For profit calculation, accrual accounting |
| Gross Collections | Actual payments received | For cash flow planning, payroll, associate pay |
| Net Collections | Gross collections minus refunds, bad debt, discounts | Closer to true usable inflow |
DentPulse separates production from collections — and links them to buffer logic, PPP™, and associate reconciliation.
How DentPulse Tracks and Uses Gross Collections
| Feature | Function |
| Associate Pay Module | Pays based on gross collections or production, per contract |
| PPP™ Planner | Limits drawings based on cash collected, not just earned |
| CFFP™ Engine | Pairs incoming collections with future fixed/tax obligations |
| Gross-to-Net Diagnostic | Flags % lost to discounts, finance charges, bad debt |
| Cash Flow Forecast | Models expected collections based on treatment plans and payment terms |
DentPulse makes sure you never make decisions based on money promised — only on money collected.
DentPulse Tip™
Production looks good on paper.
Collections keep the lights on.Always reconcile gross collections monthly.
Use them to fund drawings, tax, and buffer first — then think reinvestment.
Related Glossary Terms
- Net Collections – What’s left after refunds, discounts, bad debt
- Production – Total value of treatment delivered (not necessarily paid)
- CFFP™ – Ensures inflow aligns with future cash commitments
- PTP™ – Links profit, tax, and drawings to real cash flow
- Associate Pay Structure – Often based on % of gross collections
Glossary Summary Table
| Term | Meaning |
| Gross Collections | Total payments received by the practice from all sources before any deductions |
| Key Use | Tracks real inflow; used for pay, drawings, tax, and buffer planning |
| Common Mistake | Confusing collections with production — risking overdraw or overpay |
| DentPulse Advantage | Tracks collections vs. production, forecasts timing, links to all profit and pay modules |
