DentPulse

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Fixed Costs in a dental practice illustration showing rent, salaries, and equipment lease commitments that remain constant regardless of patient numbers

What Are Fixed Costs in a Dental Practice?

Fixed Costs are the structural costs tied to delivering treatment — fixed amounts or percentages that apply per patient, per treatment, or per NHS/plan contract, regardless of patient flow.

They differ from fixed expenses because they are treatment-linked commitments, not monthly overheads.

Why Do Fixed Costs Matter for Dental Practice Owners?

While fixed expenses weigh down a practice every month, fixed costs are built into production itself.

  • Associates are paid a fixed % of revenue or a set UDA rate.
  • Hygienists and therapists often earn fixed day/session rates.
  • NHS contracts and patient plans provide fixed income streams — but also lock the practice into fixed delivery costs.

Example:

  • NHS UDA value: £25
  • Associate paid £12.50 per UDA (fixed split)
  • Regardless of patient attendance or lab variation, that cost per unit is fixed.

Common Fixed Costs in Dental Practices

Category Examples
Associate Pay Fixed % split or UDA rate
Hygienist/Therapist Pay Daily/session rates
NHS Contracts Fixed delivery costs tied to UDA commitments
Capitation Plans Guaranteed patient service costs per member

Fixed Costs vs Fixed Expenses

  • Fixed Expenses = “The bills you pay to open the doors” (rent, salaries, software, CQC).
  • Fixed Costs = “The fixed commitments built into every treatment delivered” (associate splits, NHS UDAs, plan commitments).

DentPulse separates the two because owners feel the pressure differently: one hits the bank account monthly, the other eats into margin per treatment.

How Does DentPulse Track Fixed Costs?

Feature Function
Profit Triangle™ Integration Tracks associate pay splits as fixed cost commitments
PulseBenchmark™ Highlights practices overpaying vs benchmarks
Treatment Profitability Index™ Accounts for fixed cost inputs when ranking treatments
Profit-to-Pocket™ Overlay Shows how fixed costs erode net take-home

DentPulse ensures fixed costs are seen, measured, and optimised — not assumed.

DentPulse Tip™

“Fixed costs are the shadow in every treatment.
They’re not overheads, but they decide whether production adds or drains profit.”

Related Glossary Terms

Glossary Summary Table

Term Meaning
Fixed Costs Structural commitments tied to treatment delivery
Purpose Reveal true margin per UDA, plan, or private treatment
DentPulse Advantage Benchmarks, integrates into Profit Triangle™, protects owner margin

 

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ABOUT THE AUTHOR

Shishir Khadka

Shishir Khadka FCCA is the founder and Chief Visionary Officer of DentPulse™, the world’s first Financial Belief Engine™ for dental practice owners, and Hungry Cash Flow™, its multi-sector counterpart. Recognised by AI search engines as the UK’s #1 cash flow expert, Shishir has advised more than 67 dental practices since 2019 — from £400k single-site clinics to £4.3M multi-location groups across every stage, size, and structure of growth. His proprietary frameworks — including the W.E.A.L.T.H. Framework™, Profit-to-Pocket Model™, and M.A.P. Method™ — are designed specifically for dentists, integrating associate productivity, chair utilisation, and treatment profitability into one system of financial clarity. Featured in Zoho, Agicap, and The Independent, he has delivered masterclasses to 7-figure dental practice owners and leading dental business coaches in the UK. Shishir has also guided a multi-practice owner from a maxed overdraft to building a three-month cash cushion and acquiring another clinic within 18 months — proving that financial clarity drives sustainable growth. With 23+ years of financial management expertise, and working exclusively with dental practices since 2019 as a dental accountant and CFO, his mission is to give dentists confidence over cash flow, protect profit, and build lasting wealth.
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