DSO Secrets: Commission Compensation

Commission Compensation

Editor’s note: The DSO Secrets: Dentist Entrepreneurs Growing Dental Organizations Facebook page is a place to find resources, networking opportunities, information about upcoming industry events, and a forum to ask fellow dentist entrepreneurs questions you may have about running your business. The following was a recent discussion among DSO Secrets Facebook page members.

Ramin Bahram asked: Hi, is anyone using a commission based compensation system for their hygienists? With salaries of hygienist having gone up quite a bit lately, does it make sense? What kind of percentages are we talking about?

DSO Secrets Facebook page members responded:

“My daughter is a hygienist and makes 25% of her net production. She does two columns with an assistant.” – Angela Jones Golden

“We tried in our office and it just didn’t work. Hygienists got overly competitive with each other, and created a lot tension with the front when there were holes in the schedule. Now we do a competitive market hourly wage and then bonus based on KPI such as perio dx & fluoride.” – Chris Vanderpool “We do 30% of adjusted production. The requirement is that the hygienist needs to average $225 average production per patient to quality for the commission.” – Brooke Adair

“I have also used a hybrid. The hygienists I have employed by and large want the safety of an hourly, so that’s what they get. In addition they have gotten a percentage of additional procedures they can influence and perform. In Florida that’s sealants, fluoride, etc.” – Dick Lester “I built a 3 tier option for hygienists for their compensation. Not every hygienist wants the same thing or is motivated the same way. 1. Slightly lower base plus compensation (15% bonus after prod goal is hit for the day) 2. Higher base 3. Straight commission percentage of net production that day It gives your hygienists the autonomy to pick what is right and motivating for them and they feel very valued too.” – Kalie Popp