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Understanding and Using the Collection Timing Analysis Charts

Alyssa Elso avatar
Written by Alyssa Elso
Updated over a week ago

The Collection Timing Analysis charts in Practice IQ are powerful tools for understanding how and when revenue is collected in relation to production. This guide explains how to read these charts, how to access them, the differences between views, and why this analysis is critical for optimizing your collections process.


How to Access the Collection Timing Analysis Charts

To find these charts in Practice by Numbers:

  1. Navigate to the Practice IQ page.

  2. Click Advanced in the left-hand menu.

  3. Select the Collections Detail dashboard.

You’ll find both the Total Collections % and Monthly Collections % views under the Payment Time Analysis section.


What Is Collection Timing Analysis?

Collection Timing Analysis visualizes how much of your practice's production is collected over time. It is broken into two distinct views:

  1. Total Collections % (Cumulative View)

  2. Monthly Collections % (Incremental View)

Each view provides insights into payment behavior across different timeframes, helping you evaluate your collection efficiency and identify slowdowns or gaps.


Total Collections % View (Cumulative)

Purpose

Shows the cumulative percentage of collections received from each production month over time (M0, M1, M2, etc.).

How to Read It

  • Rows represent the production month (e.g., September 2024).

  • Columns (M0, M1, M2...) represent how many months have passed since production.

    • M0 = Month of production

    • M1 = One month after

    • M2 = Two months after, etc.

  • Cell values display the cumulative % collected by that month.

Tooltip on Hover Includes

  • Production Month

  • Collection Month (e.g., M3)

  • Dollar amount collected that month

  • Total collected to date

  • Total production amount

  • Cumulative collection rate

  • Collection rate in that specific month

Example

Production Month: September 2024
Month 3: $995.27
Total Collected: $115,650.25
Total Production: $126,528.76
Cumulative Collection Rate: 91.4%
Month 3 Collection Rate: +0.8%

Use Cases

  • Track how quickly revenue is collected.

  • See if collections are mostly completed within 1–3 months.

  • Identify which months have lagging or late collections.


Monthly Collections % View (Incremental)

Purpose

Displays the percentage collected in each individual month following the production month. This isolates when money is actually received.

How to Read It

  • Rows = Production Month

  • Columns (M0, M1, etc.) = Months after production

  • Cell values = % collected in that specific month

Tooltip on Hover Includes

  • Production Month

  • Month # (e.g., M2)

  • Dollar amount collected that month

  • Cumulative collected amount

  • Total production amount

  • Cumulative % collected

  • Month-specific collection %

Example

Production Month: September 2024
Month 2: $2,863.26
Total Collected: $114,654.98
Total Production: $126,528.76
Cumulative Collection Rate: 90.6%
Month 2 Collection Rate: +2.3%

Use Cases

  • Spot trends in how quickly different types of payments (insurance, patient, payment plans) come in.

  • Analyze if specific months consistently show delayed collections.

  • Drill down into problematic months for collection follow-up.


Why This Analysis Is Beneficial for Your Practice

1. Improved Cash Flow Forecasting

Knowing when the bulk of collections typically comes in helps you plan payroll, expenses, and growth investments.

2. Insurance & Patient Payment Monitoring

If most insurance pays by M1, but some claims are pushed to M3 or M4, that signals possible issues needing attention.

3. Follow-Up Prioritization

Late collection spikes (M5+) could mean failed first attempts or missed follow-ups. Use this data to prioritize outreach.

4. Benchmarking Collection Efficiency

Practices should aim to collect 90%+ of production within the first 2–3 months. These charts let you monitor your standing.

5. Transparency Across Teams

Share these visuals in team meetings to drive awareness and accountability among front office, billing, and management.


Best Practices

Month

Ideal Collection Target

M0

30%–40% (same-month collections)

M1

75%–85% cumulative total

M2

85%–90% cumulative total

M3+

Smaller gains, ideally finalized by M6

If you’re seeing significant collection activity after M3, investigate billing delays, claim denials, or patient non-payment patterns.


Summary

Understanding the Collection Timing Analysis charts in PbN is critical to mastering your collections strategy. By interpreting both cumulative and incremental views, you gain visibility into your payment cycles and unlock opportunities to improve revenue capture. Use this tool monthly to evaluate your progress and make informed decisions for smoother cash flow and stronger financial performance.

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