How Much Does Dental Practice Management Software Cost?
Last Updated: January 04, 2022
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Does your practice run as efficiently as it can? If there's room for improvement, it might be time to think about purchasing dental practice management software.
Dental practice management software automates tasks like submitting insurance claims, sending appointment reminders, entering patient data, and processing payments. It improves the productivity and profitability of your practice.
About Dental Practice Management Software #
Dental practice management software can be used to:
- Track patient visits, medical history and demographics
- Manage appointments and scheduling
- Document and record chart information
- Write prescriptions
- Check patient insurance benefits
- Collect and track billing information
- Generate custom reports
Most dental practice management software allows data to be accessed via a smartphone and shared across multiple locations in a secure fashion.
Locally Hosted vs. Web-Based Software #
As with all software, you'll have to choose between locally hosted (in-house) and web-based software.
- Locally-hosted software is installed on your computers and the data is stored on your hard drive or network server.
- Web-based software, also known as Software-as-a-Service or cloud-based software, is hosted on the provider's server and accessed through the web.
With locally-hosted software, you'll have greater control over all aspects of your dental practice management software. However, you will need to incorporate sophisticated firewalls and security features to meet HIPAA's strict guidelines for patient privacy protection. You'll also be responsible for backing up your own data.
Web-based software offers the added security and convenience of firewall protection and data backup. However, the system is reliant on an active Internet connection. During outages, you won't be able to access the system or your data.
Dental Practice Management Software Average Costs #
For locally-hosted software, small practices with a single user can expect to spend anywhere from $1,500 to $10,000. That typically includes the cost of setup, training and support. If the software includes more advanced features like EMR and billing, expect to spend more like $15,000.
Larger practices with multiple users can expect to spend in the tens of thousands of dollars - in some cases $50,000 or more.
For web-based software, plan on paying an initial setup fee and then recurring monthly fees. Setup fees range anywhere from a few hundred dollars to $5,000, depending on the size of your practice and the number of users. Monthly fees generally range from $50 to $500 per user.
Additional Dental Practice Management Software Fees #
Some web-based providers set monthly usage limits by capping the number of claims. If you exceed your allotted amount, plan on paying an additional fee for each claim - usually about $.50.
With locally-hosted software, additional fees include:
- Training: Basic training is usually included in the price of the software, but budget extra if you need to train additional system administrators or require an on-site training session for employees.
- Support: Technical support is usually included for the first six months to a year, but you may have to pay an annual fee after that.
- Data transfer: Importing all of your existing data into the system may also cost extra.