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Glossary

What Are Days in A/R?

Days in accounts receivable (days in A/R) is the average number of days it takes a practice to collect payment after providing care; a lower number means cash is collected faster.

Days in accounts receivable

A common way to calculate it is total outstanding receivables divided by average daily charges. Practices track it monthly, by payer, because an average can hide one slow payer.

Targets vary by specialty and payer mix, so compare your own figure month to month and against peers in your specialty, rather than against a single universal number.

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