Practice operating-budget template

1. 01Read MeInstructions and the meaning of each sheet.

   What is in the workbook

   Read Me

   These instructions, the formulas and the worked examples.

   Startup

   One-time items you enter, including a startup reserve, summed to a total.

   Monthly

   12 month columns: collected revenue, fixed, variable, owner allocation and other entered costs, and the net planning balance.

   Scenarios

   The web break-even formula for up to three sets of assumptions.

   Before you fill it in

   • Use one currency throughout. The examples use US dollars.
   • Startup sums the one-time items you enter, including a startup reserve.
   • Monthly has 12 columns, with rows for collected revenue, fixed cost, variable cost, owner allocation and other entered costs.
   • Scenarios reproduces the web break-even calculator’s formula for up to three sets of assumptions.
   • No salary expectation or other default amount is included. Every amount is yours to enter.
   • Leave unused months blank; enter 0 only for a month that really is zero.

   Formulas

   • Startup total = sum of one-time items
   • Net planning balance = revenue − (fixed + variable + owner allocation + other)
   • Contribution per completed visit = R − V
   • Required completed visits = ceil((F + O) / (R − V))
   • Required scheduled visits = ceil(completed / C)
   • Average scheduled per working day = scheduled / D

   Net planning balance = revenue minus listed costs and allocations. It is not an accounting profit measure when owner allocations are mixed with operating expenses.

   Worked examples

   • Startup rows $1,000, $2,500 and $500 total $4,000.
   • A month with $8,000 collected, $3,000 fixed, $1,000 variable and $2,500 owner allocation leaves $1,500 before unentered items.
   • F=$3,000, O=$4,000, R=$150, V=$20, C=80%, D=20: contribution $130; completed ceil(7000/130)=54; scheduled ceil(54/.8)=68; average 3.40/day. With O=0: completed 24, scheduled 30, average 1.50/day.

   If R ≤ V: “No finite break-even result under these assumptions.” C = 0 is invalid.

   • A financially required appointment count is not evidence the market will supply it or that a practitioner has capacity.
   • Not included: Tax, startup recovery, debt and unentered expenses are excluded. Owner compensation is a target allocation, not a guaranteed wage.
2. 02StartupSums the one-time items you enter, including a startup reserve (PDF page 2).

   One-time items

   Each item records an amount and its source or quote with a date. The sheet sums them.

   • Registration, licensing and permit fees
   • Professional and business insurance (initial payments)
   • Premises deposit and fit-out
   • Equipment and furniture
   • Software setup and data migration
   • Website and printed materials
   • Adviser fees (legal, tax, accounting)
   • Startup cash reserve (your entered amount)

   Blank rows follow for your own items.

3. 03Monthly12 columns with rows for collected revenue, fixed cost, variable cost, owner allocation and other entered costs (PDF page 2).

   Rows

   One column per month plus a year total, in one currency.

   Collected revenue

   Actual collected, not billed

   Fixed cost

   Rent, software, insurance…

   Variable cost

   Per-visit transaction and consumable costs

   Owner allocation

   Your own entry; a target allocation, not a wage

   Other entered costs

   Anything else you choose to list

   Net planning balance

   Revenue − listed costs and allocations

   Net planning balance = revenue minus listed costs and allocations. It is not an accounting profit measure when owner allocations are mixed with operating expenses. Leave unused months blank; enter 0 only for a month that really is zero.

4. 04ScenariosReproduces the web break-even formula as a scenario summary, for up to three sets of assumptions (PDF page 3). Both visit counts round up to whole visits.

   Inputs

   Monthly fixed cost F

   USD per monthOverhead excluding owner compensation

   Desired owner compensation O

   USD per monthBlank counts as 0

   Average collected revenue R

   USD per completed visit0.01-10,000

   Variable cost V

   USD per completed visit0-10,000

   Completion fraction C

   % (1-100)Enter 80 for 80%

   Working days D

   days per month (1-31)Whole number

   Results

   Contribution per completed visit

   R − V

   Required completed visits

   ceil((F + O) / (R − V))

   Required scheduled visits

   ceil(completed / C)

   Average scheduled per working day

   scheduled / D

   • If R ≤ V, write “No finite break-even result under these assumptions.” Never divide by zero or record a negative target. C = 0 is invalid. If F + O = 0 and R − V is positive, the required visits are 0.
   • A financially required appointment count is not evidence the market will supply it or that a practitioner has capacity.
   • Not included: Tax, startup recovery, debt and unentered expenses are excluded. Owner compensation is a target allocation, not a guaranteed wage.

If a file does not download or open, use the HTML instructions on this page and report the problem through the corrections page, naming the file and version.

• Practice break-even calculator

  The same break-even formula, in your browser.

• Build a practice-administration startup plan

  Reserve, capacity and launch tasks.