Episode #303: Answering Your Questions Around Controlling Your Overhead

  1. August 01, 2024
In this episode, the hosts discuss a critical topic for dental practices: controlling overhead. They begin by discussing the essential aspects of overhead, defining it as all necessary expenses to run a practice, excluding the dentist’s compensation.
Like this podcast? Share this idea with your circle who you think might benefit from it.

In this episode of The Less Insurance Dependence Podcast hosts Gary Takacs and Naren Arulrajah discuss a critical topic for dental practices: controlling overhead. They begin by discussing the essential aspects of overhead, defining it as all necessary expenses to run a practice, excluding the dentist’s compensation. For solo practices, they recommend keeping overhead below 60%. They stress the importance of focusing on the five main expense categories that constitute about 85% of a practice’s costs: staff compensation, lab expenses, facility costs, consumable supplies, and marketing.

Gary and Naren offer practical advice on managing these expenses, such as monitoring staff compensation, optimizing lab costs, and maintaining a facility budget of 5% or less. They emphasize the value of investing in marketing strategies that bring down costs while attracting quality patients, suggesting that marketing expenses can be reduced to less than 1% with effective techniques. They also address specific challenges like rising wages for hygienists and how to maintain a hygiene-driven practice despite these costs.

5 Easy strategies for a better dental practice in 2024 beyond
Download the Free E-book Now!

Episode Timestamps

  • 00:51 – Introduction to “The Less Insurance Dependence” podcast.
  • 01:29 – Introduction to the topic: ” Answering Your Questions Around Controlling Your Overhead”
  • 01:37 – Announcement regarding an event; EVENT NAME: TECHNOLOGY IN A THRIVING PRACTICE, Event: Event with Lou Graham from Catapult Education and Gary Takacs, Lou Graham topic: Bye-Bye to the Last 70 Years of 2D Imaging: The World of 2D AI, A 4 Year Perspective in Clinical Practice, Gary Takacs topic: How Technology fits in a thriving practice?
    Date: 7th August 2024
    Time: 7:00 pm – 9:30 pm EST
  • 05:54 – Definition of overhead.
  • 07:30 – Discussion on measuring overhead. 
  • 09:50 – Discussion on tracking expenses. 
  • 12:35 – Discussion on  strategies to have a hygiene-driven practice
  • 15:11 – Discussion on reducing average team wage
  • 17:12 – Discussion on marketing expenses.
  • 20:06 – Invitation to book a Marketing Strategy Meeting.
  • 21:26 – Invitation to book a Coaching Strategy Meeting.

Resources

Schedule a Free Marketing Strategy Meeting with Ekwa!

Schedule a Free Coaching Strategy Meeting with Gary Takacs!

Become a RIDA Member!

Gary Takacs

Gary Takacs One of Gary's most significant achievements as a dental practice management coach is transforming his own practice, LifeSmiles, from one that was infected with PPO plans, no effective marketing strategy, and an overhead of 80% to a very successful dental practice that is currently one of the top-performing practices in the US.

With over 2,200 coaching clients, Gary has first-hand experience transforming insurance-dependent practices into thriving and profitable practices.

Through his Personalized Coaching Program, Gary shares access to the systems, strategies, processes, and experience gained over 41 years of coaching dentists and transforming over 2200 practices worldwide.

Learn More: www.thrivingdentist.com/coaching/
Connect with Gary Takacs on Linkedin

Naren Arulrajah

Naren ArulrajahAs CEO of Ekwa Marketing, Naren has over a decade of experience working with dental practices and helping them attract the ideal type of patients to their practices. It is his goal to help dentists do more of the type of dentistry they love with the help and support of effective digital marketing.

Ekwa’s "Done-For-You" Digital Marketing model blends fundamental persuasion principles with an all-in-one Digital Marketing solution to help your ideal patients find you and choose you for reasons other than being on their insurance plan.

If you’re interested in finding out if Ekwa is the right fit for you and your practice, book a Free Marketing Strategy Meeting with Ekwa’s Marketing Director, Lila Stone.

Book Free Marketing Strategy Meeting: www.lessinsurancedependence.com/marketing-strategy-meeting/

Recent Episodes

Episode #319: Improving Your Practice Without Completely Committing To Fee-for-Service

Listen Now

Episode #318: How Inflation and a Weak Economy are Making Fee-For-Service an Appealing Option

Listen Now

Episode #317: Are There Potential New Patients Who Are Not Affected by A Soft Economy?

Listen Now