Your Practice's Cash Flow and The 15% A/R Benchmark You Can’t Ignore

Managing a medical practice comes with a constantly growing list of operational demands. Between patient care, staffing, and administrative oversight, it is easy for revenue cycle health to slide to the back burner. However, one key financial metric often signals trouble long before a cash flow crisis hits: Accounts Receivable (A/R) aging beyond 90 days.

If your practice uses NextGen Office, keeping a close eye on your aging distribution isn't just good accounting—it's essential to protecting your practice's bottom line.

The 15% Threshold: Why Over-90-Day A/R Matters

The industry standard benchmark set by the Medical Group Management Association (MGMA) recommends keeping your over-90-day A/R balance under 15% of your total outstanding receivables.

When receivables cross that 90-day mark, the likelihood of full collection drops dramatically:

• Collection Leaks: Aging balances are frequently tied to unbilled claims, improper coding, or unaddressed insurance denials.
• Cash Flow Bottlenecks: Money tied up in old claims delays payroll, technology upgrades, and expansion plans.
• Increased Bad Debt Write-Offs: The older a claim gets, the more costly and time-consuming it becomes to collect, often resulting in avoidable write-offs.

Learn More about AVS Medical Revenue Cycle Management Services

Uncover Hidden Revenue Bottlenecks with a Free Health Check

Understanding where your revenue cycle stands shouldn't require digging through complex, multi-page financial reports. That’s why AVS Medical offers a streamlined, zero-cost NextGen A/R Health Check.

How It Works

1. Benchmark Analysis: We run an analysis of your current NextGen Office A/R aging distribution against historical MGMA benchmarks.
2. Single-Page Clarity: You receive a clear, high-level breakdown highlighting collection leaks and pin-pointing where revenue is lagging.
3. Actionable Insights: Get instant clarity on your cash flow with zero cost and zero obligation.

Ready to Check Your Practice's Financial Health?

Taking control of your practice’s cash flow and Revenue Cycle Management starts with a single snapshot. Let AVS Medical help you identify potential collection leaks and keep your aging balances well within healthy benchmarks.

Getting started takes seconds:

• Click "YES" on the button below.
• Or reach out directly to the AVS Medical team to request your free NextGen Office A/R Check Up today!