The short answer
Fees are usually set by looking around. This tool starts with your costs. It adds the practitioner time, your share of overhead for that time and supplies to get the cost of one treatment, then shows the break-even fee, the fee for the margin you want, and what your current fee leaves you. It works for physiotherapy, massage, dental, chiropractic, counselling and other timed services.
Where to find the numbers
| Number | Where it comes from |
|---|---|
| Treatment length | The time booked for the service, in minutes. |
| Practitioner cost per hour | What it costs to have the practitioner for an hour: wages with employer costs, or the owner’s own pay goal divided by treatment hours. |
| Overhead per hour used | From the Practice Overhead and Hourly Cost tool. |
| Supplies | Disposables, lab fees and other costs for one treatment. Card fees as a percent of the fee. |
If this happens, then that
| If… | …then |
|---|---|
| You raise the fee | The margin and the amount left per hour rise, as long as patients keep booking. |
| You shorten the visit | Cost per treatment falls, but check the fee still reflects the care you give. |
| Overhead per hour rises | Break-even fee rises. A new lease or wage increase shows up here. |
| A plan or insurer sets your fee | Use the table to see what that fee leaves you, and whether the hours are worth keeping. |
Fee guides, regulators and insurance plans may limit what you can charge, and GST depends on the service. Confirm both before you change a price.
More free tools for clinics
Want advice for your own situation?
This free tool is a courtesy of HJ Wu & Company Inc. (CPA), a Vancouver CPA firm offering accounting, tax, financial reporting and review assurance. Feedback on the calculators is welcome.