A recent study showed almost 75% of private dental practices
did not give across the board pay raises to staff members in 2013, relying
instead on bonuses to reward staff. Of
those that did give raises, 72% limited increases to 2% to 3%.
There is a new 3.8% Medicare Payroll Tax on high income
(above $200,000 if single; above $250,000 if married) earners’ unearned income;
that is, dividends, interest, capital gains, and rental income. However, the IRS recently reversed its
position on one form of rental income, stating that rent the practice pays to
the dentist-owner of the office building is not subject to the 3.8% Medicare
Payroll tax. Good news for dentists
whose practice rents office space that is owned by that dentist.
As of April 8, 2014, Microsoft discontinued its technical
support for Windows XP. Windows XP
antivirus software, Microsoft Security Essentials, will be updated regularly
until July 14, 2015. If you are a
Windows XP user, it is time to consider transitioning to Windows 7, 8, or
8.1. The HIPAA Security Rule requires
covered practices to be aware of privacy threats and to implement security
measures. Older operating systems like
Windows XP are more vulnerable to viruses, hackers, and data crashes, security
risks that could expose users to liability in case of a data breach that
compromises patient privacy or confidentiality.
Suggestion: if your practice computer
operates on Windows XP, contact your computer vendor as soon as possible for
advice and help in updating to a newer Windows system.
The Supreme Court of the United States has agreed to hear a
case in which the North Carolina Board of Dental Examiners “sought to, and did,
exclude nondentist providers from the market for teeth whitening
services.” The Federal Trade
Commission’s claim against the NC Board for violation of antitrust laws was
upheld by the 4th Circuit Court of Appeals. ADA general counsel, Craig Busey, stated,
“This case is important because it threatens to impede the ability of all
professional boards, including dental boards, to fulfill the purpose for which
they were created….Boards’ actions should be protected from the federal
antitrust laws under the well-recognized state action exemption.” The SCOTUS will hear the case in its Fall
2014 session.