Dental and healthcare practices generate an enormous amount of operational data. Practice-management systems track production, appointments, claims, and patient balances; payroll systems track labor; bank accounts show cash movement; and QuickBooks holds the accounting record. The challenge is turning those separate streams into a useful monthly conversation.
A strong close process does more than produce a profit-and-loss statement. It connects operational performance to the general ledger and highlights the few numbers leadership needs to understand.
1. Production, collections, and deposit reconciliation
Production is not the same as cash collected, and neither number automatically equals revenue in the accounting system. Each month, practices should compare gross production, adjustments, net production, collections, and actual bank deposits. Differences should be explained by timing, merchant fees, financing programs, refunds, or posting errors.
This reconciliation is especially important when information moves from a practice-management platform into QuickBooks. A documented bridge between system totals and bank activity keeps revenue reporting credible.
2. Accounts-receivable aging
An aging report should separate current balances from amounts more than 30, 60, and 90 days old. Review insurance and patient balances separately when possible. Look for unusual concentrations, unapplied credits, stalled claims, and accounts that require a specific follow-up action.
The goal is not simply to lower total receivables. It is to understand why balances are aging and whether the collection workflow is operating consistently.
3. Payroll and staffing-cost analysis
Payroll is often one of a practice’s largest expenses. Compare wages, payroll taxes, benefits, contractor costs, and overtime with the prior month, budget, and relevant operating measures. Significant changes should be tied to hiring, schedule changes, bonuses, provider compensation, or changes in patient volume.
4. Clinical supply, laboratory, and facility costs
Track major variable and semi-variable expense categories consistently. Dental practices may focus on laboratory fees and clinical supplies, while healthcare organizations may track medical supplies, outside services, and location costs. Coding these expenses accurately in QuickBooks makes trend and location comparisons far more useful.
5. Cash-flow forecast
The income statement explains performance, but it does not answer every cash question. A short rolling forecast should incorporate expected collections, payroll dates, tax payments, debt service, equipment purchases, owner distributions, and other large commitments.
Bring the reports together
These reports become more powerful when they are reviewed as one package. Rising production with slower collections, for example, tells a different story than rising production with stable aging and improving cash. Fogler CPA helps practices connect operational systems to QuickBooks, close the books reliably, and build reporting that supports timely decisions.
This article provides general information and is not legal or tax advice. Requirements depend on specific facts and may change.