---
title: "What Is Collection ratio? Dental Practice Glossary"
description: "The collection ratio, or collection rate, compares money collected with adjusted production, expressed as a percentage, to show how much of the collectible fees..."
url: https://joncopeland.multisites.ai/glossary/collection-ratio
publisher: Copeland Consulting Services
email: drcopeland@joncopelanddds.com
contact: https://joncopeland.multisites.ai/contact
---

Practice management

# Collection ratio

The collection ratio, or collection rate, compares money collected with adjusted production, expressed as a percentage, to show how much of the collectible fees a practice actually receives.

The ADA gives the formula for a collection rate as collections divided by adjusted production, times 100. Adjusted production is the same idea as [net production](https://joncopeland.multisites.ai/glossary/net-production). A rate near 100 percent means the practice is receiving almost everything it was allowed to bill. The ADA's list of commonly tracked [key performance indicators](https://joncopeland.multisites.ai/glossary/key-performance-indicator) states that if a practice is not collecting 98 percent of billable or adjusted production, its policies and scripts may need adjusting. That figure is ADA guidance, not a legal or industry standard. Always check how a report defines both the numerator and denominator of the ratio, since [gross production](https://joncopeland.multisites.ai/glossary/gross-production) gives a different answer.

[Next stepPractice consulting with Dr. Copeland](https://joncopeland.multisites.ai/contact?topic=consulting)

## Related terms

-   [Collections](https://joncopeland.multisites.ai/glossary/collections)
-   [Net production](https://joncopeland.multisites.ai/glossary/net-production)
-   [Gross production](https://joncopeland.multisites.ai/glossary/gross-production)
-   [Accounts receivable](https://joncopeland.multisites.ai/glossary/accounts-receivable)

## Sources

1.  [ADA, How to purchase with confidence](https://www.ada.org/resources/careers/career-planning/how-to-purchase-with-confidence)
2.  [ADA, Key Performance Indicators (KPIs)](https://www.ada.org/resources/practice/practice-management/measuring-success20160428t155202)

## Talk with Dr. Copeland

[Contact Dr. Copeland](https://joncopeland.multisites.ai/contact)[Email](mailto:drcopeland@joncopelanddds.com)