Question about associate commission payment.

[new_grad_2016]

Hi, everyone.

I have just joined the forum and this is my first post. My questions have to do with commission payment. In my new job working as an associate general dentist I have made an agreement to earn a 30% commission. The practice owner has given me daily reports but this is the first time I read such reports and don't know exactly how to calculate my commission from the numbers on these daily reports. Below are the numbers I find on one of the reports (from one of the days I have worked):

Production: $7,635.00
Prod Adj.: –$3,888.70
Payment, Check: $11,423.86
Payment, Credit: $410.00
Today's Receivables (including payments posted to insurance plans): –$8,087.56
Insurance plan payments: $1,919.26
Expected insurance: $0.00
Expected Write-Offs: $3,276.36
Patients: 15
New patients: 3

What is the meaning of each of these numbers and how do I calculate my 30% commission from them?

I have had some bad experiences in the past and have worked for practices that failed to pay me my rightful salary. How can I make sure the same doesn't happen this time ?

Thank you in advance for your posts and any help you can share.

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[OhioDMD]

Two questions are 30% commission of what, production, adjusted production or collections and how often is it tabulated daily, weekly, biweekly or monthly?

 

[new_grad_2016]

Two questions are 30% commission of what, production, adjusted production or collections and how often is it tabulated daily, weekly, biweekly or monthly?

Hi, Ohio DMD.

I am a bit confused by the three possibilities. It was my idea when I made the agreement that I would get 30% of the office's overall performance (I am the only general dentist working there). What exactly is the difference between production, adjusted production and collections ?

In regards to the frequency we agree these numbers would be tabulated daily.

One other question I have relates to HMO plans. Some of the patients I treat have HMO plans and I've been told there are procedures for which we don't receive any reimbursement. In other words, the amount of production assigned to them is $0.00. However, the office receives a monthly payment for these procedures in the form of a capitation check. So, in this case the office is being paid and I should also receive 30% of the amount of capitation checks received as per our agreement since I am the one performing the treatment. What is your experience with this ? How can I obtain an accurate report with all the money the office receives in the form of capitation checks from HMO plans ?

Thank you for your reply to my post.

 

[CanaDMD]

Hi, Ohio DMD.

I am a bit confused by the three possibilities. It was my idea when I made the agreement that I would get 30% of the office's overall performance (I am the only general dentist working there). What exactly is the difference between production, adjusted production and collections ?

In regards to the frequency we agree these numbers would be tabulated daily.

One other question I have relates to HMO plans. Some of the patients I treat have HMO plans and I've been told there are procedures for which we don't receive any reimbursement. In other words, the amount of production assigned to them is $0.00. However, the office receives a monthly payment for these procedures in the form of a capitation check. So, in this case the office is being paid and I should also receive 30% of the amount of capitation checks received as per our agreement since I am the one performing the treatment. What is your experience with this ? How can I obtain an accurate report with all the money the office receives in the form of capitation checks from HMO plans ?

Thank you for your reply to my post.

production : the number produced before insurance takes their stab at your fee and slice it in x(half?)
adjusted production : the amount of money you're actually expecting to get, so minus the adjustments for insurance. So insurance payments+copay, if any (seems like youre in an insurance practice, not FFS)
collections : the amount of money the office actually collected the day of your report; this includes money not collected on the day of treatment in the past and insurance cheques for past procedures that just arrived

Generally speaking, associates do not get any of the office's capitation checks, though if ur agreement says u do, u have to figure it out with the owner