How Dental Owners Keep Millions (While Associates Lose It)
Learn from Dr. David Park, CEO of Clear Lakes Dental Franchise, as he shares the truth of why dentists make more.
Why Owner Dentists Make More Money Than Associates
Learn from Dr. David Park, CEO of Clear Lakes Dental Franchise, as he shares how dentists of all ages can successfully start and own their own clinics today.
Everyone says that owner dentists make more money than associates, but is that really true? The answer is yes, and today, we’ll break down why.
The two main reasons owner dentists earn significantly higher returns are leverage and strategic spending. Let’s dive in.
Point #1: Leverage
Learn from Dr. David Park, CEO of Clear Lakes Dental Franchise, as he shares how dentists of all ages can successfully start and own their own clinics today.
An associate dentist’s pay structure usually includes a guaranteed salary or a percentage of collections. While stable, it’s limited.
As an owner dentist, you have the ability to leverage a team to increase your revenue. You’re in control of hiring dental therapists, hygienists, and LDAs — each contributing to patient care while freeing you to focus on high-value procedures like extractions, root canals, and complex treatments.
For example, as an owner, you collect 100% of your practice revenue, unlike a 30% cut as an associate. Paying your team is an investment, but the return can be substantial.
Pro Tip: Optimize your systems so each team member works at the top of their license. Your LDA can take X-rays, a dental therapist can handle fillings, and you focus on the procedures only a dentist can perform. This leverages your time and maximizes profit.
But here’s the challenge: taxes. That’s where smart financial planning comes in.
Point #2: Spend Before You Pay Taxes
Learn from Dr. David Park, CEO of Clear Lakes Dental Franchise, as he shares how dentists of all ages can successfully start and own their own clinics today.
One of the most powerful principles of business is spending before taxes. Let’s compare two scenarios:
Scenario 1: Associate Dentist
Dr. Sally is an associate dentist earning $300,000 per year. Sounds good, right? But living in Minnesota as a single filer, she pays $108,664 in taxes, leaving $191,336 for living expenses, student loans, and lifestyle. Even with a high income, tax obligations significantly reduce net earnings.
Scenario 2: Owner Dentist
Now, meet you — an owner dentist at Clear Lakes Dental generating $5,000,000 in revenue. Using smart business strategies, you spend $3,000,000 on equipment, labor, rent, supplies, legal fees, team outings, and other business expenses.
After these expenses, your profit is $2,000,000 — and only then do you pay taxes. This strategy dramatically reduces tax exposure and results in pure profit far exceeding what an associate dentist could earn.
This demonstrates why owner dentists earn significantly more than associates. By leveraging a team and managing expenses strategically, you retain more income, minimize taxes, and grow long-term wealth.
