Percentage of lab fees?

[TAVR4life]

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Posting on behalf of my cousin who is finishing up his dental residency and looking for his first job:

He got offered $500 a day plus 50% lab fees. How are lab fees calculated? What are the typical lab fees on average? Is it per patient? And if so, how do you make money if you're paying half of the lab fees for each patient?

If someone could explain what this means it would be greatly appreciated. Thanks!

 

[Molar Whisperer]

Lab fees are per procedure like fabricating crowns, dentures, orthodontic appliances. Someone told me the same dental lab would charge more if the zip code is in a richer area. For an all ceramic crown, the lab fee may be like $100 per unit while the crown is priced at $1000 to $1100. However, PPOs and insurance will only pay the agreed upon reduced fees of say $550 to $600 per crown. If I was your cousin, I would try to find more options and be prepared to leave if they screw him over.

 

[TAVR4life]

Lab fees are per procedure like fabricating crowns, dentures, orthodontic appliances. Someone told me the same dental lab would charge more if the zip code is in a richer area. For an all ceramic crown, the lab fee may be like $100 per unit while the crown is priced at $1000 to $1100. However, PPOs and insurance will only pay the agreed upon reduced fees of say $550 to $600 per crown. If I was your cousin, I would try to find more options and be prepared to leave if they screw him over.

so if he does a few crowns or dentures per day, he could have a bill of $150-$200 out of the fixed $500 per day he makes? Yikes, how do dentists make money then? Better to do just cleanings then. No incentive to do anything that involves sending something to the lab.

Should he try to negotiate a lower rate for lab fees considering its a fixed salary or this typical for a dental associate position?

 

[Molar Whisperer]

so if he does a few crowns or dentures per day, he could have a bill of $150-$200 out of the fixed $500 per day he makes? Yikes, how do dentists make money then? Better to do just cleanings then. No incentive to do anything that involves sending something to the lab.

Should he try to negotiate a lower rate for lab fees considering its a fixed salary or this typical for a dental associate position?

I don't know how that system will work out. I think he will get $500 base and if he exceeds production goals minus lab fees, he could see a bonus. Hopefully they go over the details of his compensation. In the mean time, hopefully he finds other jobs to compare.