Days in accounts receivable measures how long it takes, on average, to collect payment after a service. A high number signals cash tied up in unpaid claims. Reducing it improves cash flow immediately, and you can often do it without hiring.
Submit clean claims faster
The clock starts at the date of service, so delays in charge entry and submission directly inflate your days in AR. Tightening the gap between service and submission is the single highest-impact change most practices can make.
Attack the front end
Accurate eligibility, registration, and authorization prevent the denials that stretch AR out. Fixing errors before submission is far cheaper than resolving them afterward.
Prioritize high-value follow-up
Focus follow-up effort where it moves the needle.
- Work large-dollar claims promptly
- Resolve denials within the appeal window
- Monitor your worklist daily, not weekly
- Track days in AR by payer to spot laggards
Measure and adjust
What gets measured gets managed. Reviewing days in AR regularly, and breaking it down by payer and service, helps you catch slowdowns early and keep collections on track.
