What Are Lab Costs in a Dental Practice?
Lab Costs refer to the fees paid to external dental laboratories for fabricating restorations, prosthetics, aligners, and appliances — such as crowns, dentures, bridges, night guards, and Invisalign trays.
These costs are classified as direct variable expenses — they only occur when treatment is delivered, and they directly affect profit margins per case.
Why Lab Costs Matter for Dental Practice Owners
Lab fees can quietly erode profit if:
- They’re not tracked per treatment or per associate
- They’re bundled into associate pay without deductions
- They vary widely across labs without oversight
- Fees rise, but treatment prices remain static
Example:
You charge £1,200 for a crown.
- Lab fee: £200
- Associate pay: 45% of gross (£540)
- Remaining = £460 for materials, nurse, chair time, overhead, and profit
→ You’re left with thin margins unless lab cost and pay structure are optimised.
Common Types of Lab Costs in UK Dentistry
| Category | Examples |
| Fixed Prosthetics | Crowns, bridges, inlays/onlays |
| Removable Appliances | Dentures, partials, night guards |
| Ortho Appliances | Invisalign, fixed braces |
| Digital Lab Fees | 3D printing, scan handling |
| Implant Restorations | Abutments, custom prosthetics |
DentPulse tracks lab fees by treatment, associate, and provider — exposing margin blind spots and overspending trends.
How DentPulse Tracks and Benchmarks Lab Costs
| Feature | Function |
| TreatmentIQ | Shows true margin per procedure after lab, material, and pay |
| EEE™ Engine | Combines lab cost data with associate and chair metrics |
| Pay Structure Modeller | Calculates fair pay after deducting lab fees |
| Benchmark Engine | Compares your lab % to top 10% UK dental practices |
| Lab Cost Alerts | Flags procedures where lab costs exceed recommended % |
DentPulse prevents margin erosion by making every lab cost visible, traceable, and controllable.
DentPulse Tip™
Don’t reward production that loses money.
Lab fees must be tracked, deducted, and reviewed quarterly.Use DentPulse to link lab costs to treatment type, associate performance, and pricing strategy.
Related Glossary Terms
- Associate Pay Structure – Ensures lab fees are deducted before percentage splits
- TreatmentIQ – Tracks margin per treatment after lab/materials
- EEE™ – EBIT Efficiency Engine – Shows net profit impact of clinical delivery
- Pay After Lab – The fairer, profit-protecting compensation model
- Variable Costs – Includes labs, materials, and other treatment-level outflows
Glossary Summary Table
| Term | Meaning |
| Lab Costs | Fees paid to dental laboratories for clinical work such as crowns and aligners |
| Financial Impact | Reduces gross margin if not tracked or deducted from associate pay |
| Typical Range | 5–15% of practice revenue, depending on case mix |
| DentPulse Advantage | Tracks per treatment and per provider — and alerts when costs spike |
