Accounts Receivable
Also written as: AR — Accounts Receivable
The total outstanding balances owed to a dental practice by patients and insurance companies for services already rendered.
Full Definition
In dental practice management, accounts receivable (AR) represents money earned by the practice through delivered services that has not yet been collected. AR is tracked in two categories: insurance AR (amounts owed by insurance companies) and patient AR (amounts owed by individual patients). A healthy dental practice aims to keep its AR low relative to monthly production. Editors frequently encounter AR in aging reports, collections analyses, and billing department documentation. The term must not be confused with 'accounts payable' or with 'production', and the abbreviation 'A/R' is also commonly used.
Usage
Usage note: Abbreviated as AR or A/R. At first mention, use the full form. Distinguish clearly between insurance AR and patient AR when context requires it.
In Context
- "The office manager reviewed the accounts receivable aging report to identify balances outstanding beyond 90 days." — Billing department internal memo
- "When editing a dental practice's financial statement, verify that 'accounts receivable' is not conflated with 'collections', as the former is money owed and the latter is money received." — Editorial note for financial document review