What’s a Good Net Collection Ratio, and How Do You Improve It?

Key takeaways Net collection ratio divides total collections by net charges — not gross charges — so it reflects what you’re actually owed, not your full fee schedule. AAFP benchmarks : 95% is the minimum acceptable threshold, 95%–99% is average, and 99%+ represents top performance. The three most common drags on the net collection ratio are denied claims, unresolved patient balances, and claims outstanding for more than 90 days.