Your Overhead Is Probably 62%. Here's Exactly What That Means.
The national median dental overhead is 62%. Here's the full breakdown by category - and what high-performing practices do differently.
The national median overhead for a dental practice is 62% of collections. That's not a guess - it's the ADA Health Policy Institute's number, backed by BLS data.
If you're collecting $800K a year, that means $496K walks out the door before you see a dime.
Here's where it goes:
| Category | Benchmark (% of Collections) | On $800K Collections |
|---|---|---|
| Staff wages | 24-28% | $192K-$224K |
| Dental supplies | 6% | $48K |
| Lab fees | 8% | $64K |
| Rent/facility | 5-7% | $40K-$56K |
| Marketing | 4-7% | $32K-$56K |
| Other (insurance, tech, CE, admin) | 9-12% | $72K-$96K |
What "Healthy" Actually Looks Like
High-performing practices run at 55-60% overhead. That 2-7 point gap between "median" and "high-performing" is real money.
On $800K collections, the difference between 62% and 57% overhead is $40,000 a year straight to your pocket.
Your collections: $800,000
At 62% overhead: You keep $304,000
At 57% overhead: You keep $344,000
At 55% overhead: You keep $360,000
Every percentage point of overhead = $8,000/year on $800K collections.
If you're above 65%, you've got a problem. If you're above 70%, you've got an emergency. Keep reading to find out exactly where the money is leaking.
Sources: ADA Health Policy Institute, Bureau of Labor Statistics, Dental Economics 2025-2026 surveys
