What Is the Difference Between PPBT™ and PPAT™ in a Dental Practice?
PPBT™ (Personal Profit Before Tax) and PPAT™ (Personal Profit After Tax) are proprietary financial metrics created by Shishir Khadka, founder of DentPulse.
Together, they form the foundation of DentPulse’s Profit-to-Pocket™ Model — giving dental practice owners clarity on the journey from practice profit to safe, personal income.
What Is PPBT™ (Personal Profit Before Tax)?
PPBT™ measures the owner’s target profit before any personal tax is applied.
It answers:
👉 “How much profit do I want the practice to generate for me before tax?”
It is used to set revenue goals and design the practice around delivering the owner’s financial aspirations.
Example:
- PPBT™ Goal: £200,000
- Operating Expenses + Variable Costs factored in
- Revenue Goal recalculated to ensure practice is designed to hit £200,000 PPBT™
What Is PPAT™ (Personal Profit After Tax)?
PPAT™ measures the actual take-home income of the owner after both Corporation Tax and personal tax on dividends/salary are deducted.
It answers:
👉 “How much do I really keep, after HMRC?”
Example:
- PPBT™: £200,000
- Corporation Tax: £38,000
- Personal Dividend Tax: £22,000
- PPAT™ = £140,000
This is the real spendable income available for personal use.
How Do PPBT™ and PPAT™ Work Together?
| Metric | Purpose | DentPulse Role |
| PPBT™ | Profit target before personal tax | Sets revenue and practice design goals |
| PPAT™ | Profit after all taxes (true take-home) | Shows reality of what’s left in owner’s pocket |
DentPulse connects the two in real time, so owners can see:
- Whether they are on track to hit their profit-before-tax goals (PPBT™)
- What that translates to as after-tax take-home (PPAT™)
How Does DentPulse Automate PPBT™ and PPAT™?
| Feature | Function |
| Profit-to-Pocket™ Model | Maps profit → tax → drawings → safe take-home |
| Tax Module Integration | Real-time Corporation + Personal Tax forecasting |
| Scenario Planning | Compares salary vs dividend splits to optimise PPAT™ |
| OWS™ Overlay | Links PPBT™ and PPAT™ to long-term owner wealth scoring |
DentPulse Tip™
“PPBT™ is your dream.
PPAT™ is your reality.
DentPulse bridges the gap.”
Related Glossary Terms
- Profit-to-Pocket™ – DentPulse framework for linking business profit to owner income
- Corporation Tax – first deduction from practice profit
- Salary vs Dividend – key driver of PPAT™ outcomes
- Net Profit Margin – practice-level profitability before tax
- Owner Wealth Score (OWS™) – incorporates PPBT™ and PPAT™ into overall wealth measure
Glossary Summary Table
| Term | Meaning |
| PPBT™ | Personal Profit Before Tax — target profit before HMRC deductions |
| PPAT™ | Personal Profit After Tax — actual owner take-home after tax |
| DentPulse Advantage | Real-time connection between PPBT™ goals and PPAT™ outcomes |
