Physical Therapy Practices
A full schedule looks like success. Insurance rates and fixed costs decide what you actually keep.
A Full Schedule Looks Like Success
Your clinic is busy. Patients coming through all day. Therapists treating back to back. From the outside, the practice looks like it is doing well.
But a full schedule is not the same thing as profit. Insurance reimbursement rates vary by payer and sometimes by procedure. Cash-pay patients bring better margins, but they might be a small percentage of your visits. The money you earned last week might not hit your bank account for another month. And the rent, the equipment payments, and the staff payroll all come due on their own schedules regardless of what insurance has or has not paid you yet.
Who We Work With
Who We Work With
Physical therapy clinics and outpatient practices. Sports rehab centers. PT owners who are still treating patients themselves while trying to run the business. Single-location practices and small groups where the owner needs financial visibility without a full back-office staff.
The Financial Challenge
The Financial Challenge
Revenue per visit varies by payer. Fixed costs stay constant. Reimbursement shows up weeks later. The schedule tells you how busy you are. It does not tell you whether that busyness is profitable or which parts of your patient mix are actually earning money.
The Money Arrives on Its Own Schedule
You bill the visit today. The insurance company processes the claim on their timeline. Adjustments happen. Denials happen. Eventually something gets deposited. But by the time the payment arrives, you have already paid the rent, the front desk, the therapists, and the equipment lease for that month. The gap between service and collection creates real confusion in the books.
Your billing system handles the claims. But the books need to reflect what actually collected, not just what was billed. Billed revenue looks strong. Collected revenue is lower. Cash flow is tight and nobody can explain why. This gap is where many PT practices lose visibility into their real performance.
Billed vs Collected
Billed vs Collected
We track what your practice billed against what actually arrived in the bank. Your financial statements show collected revenue, giving you an accurate picture of cash flow instead of optimistic projections based on what the schedule said should have come in.
Payer Mix in the Books
Payer Mix in the Books
Insurance visits versus cash-pay visits. Different rates, different collection timelines, different margins. Your books should show where the revenue actually comes from so you can make informed decisions about your patient mix and which payers are worth the administrative effort.
Margin Visibility Per Visit and Per Therapist
A busy therapist is not automatically a profitable therapist. It depends on the payer mix of their caseload, their compensation structure, and the overhead allocated to their visits. You need to see profitability at the visit level and at the therapist level to understand what is actually driving the practice forward.
Then there are the fixed costs. Clinic rent does not change whether you see twenty patients or forty. Equipment costs are sunk. Front desk staff get paid regardless of cancellations. Clean books separate these fixed costs from your variable costs so you can see your real contribution margin per visit and understand how volume changes affect the bottom line.
Equipment and Supply Tracking
Equipment and Supply Tracking
Treatment tables, modalities, therapy supplies, and consumables all affect your cost per visit. With proper inventory and cost tracking, you can see which visits earn money and which ones barely cover their direct costs. This clarity matters when you are pricing cash-pay services or evaluating new equipment purchases.
Therapist-Level Reporting
Therapist-Level Reporting
If you have multiple therapists, your books should show contribution by provider. This matters for compensation decisions, for evaluating whether to hire another PT, and for understanding which caseloads are generating the margins you need to keep the practice healthy.
Tax Planning for the PT Practice Owner
Most PT practice owners are still treating patients. You built the practice to do the work you love, and you are probably still working a full caseload yourself. Tax planning falls to the bottom of the list because you are exhausted by Friday and April seems far away.
But the structure of your practice affects how much you pay in taxes every year. Entity elections, retirement contributions, equipment depreciation, and timing decisions all add up. Mason Hunter works with PT practice owners on tax strategy throughout the year, getting ahead of these decisions rather than reacting to them at filing time. When your books are current month to month, those planning conversations happen naturally.
Entity Structure and Tax Strategy
Entity Structure and Tax Strategy
The right entity election can reduce your self-employment tax burden. As the practice grows and your income changes, we help you evaluate whether your current structure still makes sense and identify planning opportunities before the tax year closes.
Bookkeeping and Tax Together
Bookkeeping and Tax Together
When the same CPA handles your monthly bookkeeping and your tax returns, nothing falls through the cracks. The bookkeeping and tax package keeps everything in one place at one monthly price. If your books are behind, we can catch them up first. We would be glad to talk about what this looks like for your practice.
Your Trusted CPA
Next Step:
A Short Conversation
Tell us about your business and what you need help with. We'll ask a few questions, explain how we can help, and tell you exactly what it will cost.