Salary for Associates

[huk1985]

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Hey guys,
I just had my first interview last week and I was offered the following:

$110k for the first 6 m/o (110 divided by two for 6 months) then $130k (130 divided by two for 6 months) for 6 m/o-1 yr. After that time you will transition to commission based on production performed by you (still guaranteeing your salary) 25% up to $750k, 26% up to $900k, 27% up to $1.0 M, 28% 1.0M plus minus 10% lab fees. 2 weeks paid time off. Approximately 40 hours per week.

4 year contract with potential to buy-in after 3rd year. We will traditionally begin conversations about buy-in around the two year mark.

It is great opportunity to learn because the employer is up and coming younger dentist who does everything and willing to teach but numbers seem pretty low especially because I don't get any guarantee of buying-in any time soon and the location is also pretty rural.
Am I wrong?
All my other potential employments are corporate at this point, but last thing I want to do is take a significant pay cut.
I would appreciate any opinions! Thank you!

 

[RU1992]

This is some good information! Do you mind asking where you went to school or where this practice is? Thanks!

 

[J2OS]

$110k for the first 6 m/o (110 divided by two for 6 months) then $130k (130 divided by two for 6 months) for 6 m/o-1 yr. After that time you will transition to commission based on production performed by you (still guaranteeing your salary) 25% up to $750k, 26% up to $900k, 27% up to $1.0 M, 28% 1.0M plus minus 10% lab fees. 2 weeks paid time off. Approximately 40 hours per week.
QUOTE]

You have to ask yourself if this is a community where you see yourself living long-term? If the answer is yes I feel you have a good deal.

First year out you will make $120k. This is not a good salary but a great salary to step into in today's dental market. After that what you earn is up to you. You may want to ask if you have not already 1) what is his average production vs collections and what constitutes production (ie do you get paid for hygiene checks... paid for percentage of hygiene dept etc) 2) what is the average total lab bill so that you know what that 10% of the lab bill is on average. 3) Does that 10% come out of your earnings or off of the production number from which your 25% or 27% or 28% is calculated. 4) Does he offer health benefits or 401k... if not you may wish to find out the cost 5) Will you be an employee or independent contractor responsible for quarterly taxes. 6) You must have a contract that reads that any future buy in will be based on appraised value of the practice today and not in two years when you have added value to the practice. If it is not based on today's value you will be paying him for your contribution. Hammering out details of buy-in can take place in two years but the value based on practice prior to your start date. 7) If this is a community you plan on living in long term, just in case you guys do not work out as partners you may want to avoid any contract that has a non-compete clause. You would hate to be prevented from opening up your own office in this community if things go south with this office.