Hi everyone. And today I want to talk about raising your prices. Well, as doctors, you might think that's a strange topic. And the reason being is because it doesn't really matter what we charge to the insurance company because they will reimburse us the same amount. No matter what our charges are, they have a set fee schedule, but however, certain procedures are not covered.
And those procedures, what I want you to do is like do a complete audit of your practice, and say and do a cost analysis. How much does it cost to run your business? How much did it cost you last year compared to this year? Obviously, I will tell you your prices should go up because the cost of running your business goes up.
So on the procedures that you are doing that are not covered or covered by some insurances, but by not other insurances, please raise those fees. Also, see if you're getting paid 100 percent of what you charge. If you do so, then you might be losing money because the insurance company fee schedule might say, well, we actually allow more money than what you are charging.
So we are paying you 100%, but you're losing out on some other income. So do a complete audit and making sure you're not getting paid a hundred percent of your charges. So, go ahead, do the analysis. My grandmother always said, you know, save your pennies because pennies becomes nickels. Nickels become quarters, which then become dollars.
In our case, we'll say look for the dollars that become $50, $100, and become thousands of dollars. Because if you look at all your patients and if you can raise your prices a little bit on certain procedures, by the end of the year, you might make an additional 20, 30, 50, 100 thousand dollars, and you'll be surprised.
So have a great day everybody and stay focused, my friends.
