> ## Documentation Index
> Fetch the complete documentation index at: https://www.practiceownersguide.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Associate comp models

> How practices pay associate clinicians: base, production, collections, and the contract terms that matter as much as the number.

## The models

| Model                  | How it works                                     | Trade-off                                                                                                                          |
| ---------------------- | ------------------------------------------------ | ---------------------------------------------------------------------------------------------------------------------------------- |
| Salary / per-diem      | Fixed pay                                        | Predictable for both sides; no upside, so strong producers leave                                                                   |
| % of production        | Pay on work billed                               | Rewards output, but you carry collection risk on their work                                                                        |
| % of collections       | Pay on cash received                             | Aligns with reality; associate inherits your billing quality, expect questions about your [denial rate](/guides/work-your-denials) |
| Base + threshold bonus | Guaranteed floor, % above a production threshold | The common compromise, especially year one                                                                                         |

Typical percentages run \~25-35% in dental and vary widely by medical
specialty; daily-rate floors are standard for new grads. Whatever the model,
define the base precisely: gross vs. net of lab fees, refunds, and
adjustments. Most comp disputes are definition disputes.

## The terms that matter as much

Who pays the [malpractice tail](/guides/malpractice-and-insurance) on exit
(decide at signing), restrictive covenants sized to survive your state's
current non-compete rules, patient records and follow-up duties on departure,
CE/license/DEA allowances, and the path to partnership if there is one,
with the valuation method named now
([ownership paperwork](/guides/ownership-agreements)).

Classification first, though: most associates are
[W-2, not 1099](/guides/hiring-w2-vs-1099).

## Related

* [Bring on associates or partners](/guides/associates-vs-partners)
* [Hiring: W-2 vs. 1099](/guides/hiring-w2-vs-1099)
* [Malpractice and business insurance](/guides/malpractice-and-insurance)
* [Ownership paperwork](/guides/ownership-agreements)
* [Payroll, benefits, and retirement](/guides/payroll-benefits-retirement)
