Divide total accounts receivable by average daily charges to see how many days revenue waits — with the benchmarks that tell you if it’s healthy.
What days in A/R measures
Days in A/R answers one question: on average, how long does a dollar of billed revenue sit uncollected? It’s the single most-watched revenue-cycle number because everything feeds it — claim quality, payer speed, denial rates, patient collections. Enter the total A/R balance and the last twelve months of gross charges, and the calculator returns the figure with its benchmark reading.
How to use it
- Enter the total outstanding A/R from the aging report.
- Enter gross charges for the trailing 12 months.
- Read the days figure and where it sits against benchmarks.
The formula
A worked example
$450,000 of A/R against $3.65M in annual charges is $10,000 of average daily charges — 45 days in A/R. Under 35 is strong, 35–50 typical, and 50+ is where cash-flow problems live. The trend matters more than the level: 45 falling toward 40 is a different story from 45 climbing from 38, and the aging buckets say which payers or processes are driving it.
Estimates only — payer contracts, plan documents and the EOB are always the source of truth, and nothing here is billing, legal or medical advice. The calculator runs entirely in your browser: no patient data is entered, transmitted or stored.