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Days in Accounts Receivable


This widely-used metric provides a number showing the practice or provider accounts receivable balance compared to your practice or provider daily charges.

Why is This KPI Important?

This KPI allows the practice to monitor how well the billing cycle is working. The theory behind this KPI is it tells the practice how many days it takes to collect what is owed for the provider's services.

PMI Recommended Frequency to Run this KPI:



Provider or Practice AR Balance / Provider or Practice Average Charges per Day

Show the Math:

$87,500 / $2,679 = 32.66 Days


How Should I Track It?

This KPI can be tracked using an Excel spreadsheet by Practice and/or Department.

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