The Real Cost of a Practice Management Solution

for Optometrists

What’s the Real Investment?

Take a moment to think about all of the fees for software, hardware, upgrades,

and add-on solutions to get a clear picture of your total investment. There’s

more that goes in to purchasing a practice management and EHR solution

than just the actual software!

What’s the Real Investment?

Software

Hardware

IT Infrastructure

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So what are the other costs involved when you purchase a practice management and EHR software? We’ve broken down some of the most common factors that will impact your bottom line and how they might vary from vendor to vendor. We’ll go over the cost of:

Software fees are structured in a variety of ways. Some have a flat fee and you own a license for that version of the software for as long as you want to use it, others charge an annual fee for the software, and some give you access for a monthly fee. There are even some that use a combination of all of these.

Software Costs

Once you know the price, think about the next 5 years. If your practice grows, will the pricing still be attractive?

Think Long Term

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Flat Fee

With this structure, you pay a flat fee for a particular version of the software. This pricing is typical of solutions that are installed somewhere, like on a client-server or a cloud-hosted server. There will probably be limitations on the

number of computers, doctors, users, and locations that can utilize the license, so you should make sure that you consider all of these factors. If a new version of this software comes out and you want it, you’ll have to purchase the new version.

Software Costs 1

Monthly Subscription This pricing structure is common for cloud-based solutions. You pay a monthly fee in order to access the solution via an internet browser. The fees can be structured in a variety of ways, and what is included will also vary. You might pay a separate monthly fee for each provider, or you might pay a single fee for each location. There could also be varying subscription levels where you pay a premium in order to gain access to enhanced functionality.

Software Costs 1

Hardware Costs Client-server models, or legacy systems, will require that you have a server in order to run the software. If you don’t have one, you’re going to need to invest in one. Sometimes new versions of software from the same vendor will come with new hardware requirements. So even if the hardware you have is in good working order, you might need to buy new machines in order to use the new solution.

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Also, let’s say you need to add an additional workstation in your practice and there is a new version of your software available, and the vendor isn’t selling or supporting the version you have on the existing stations any longer. You’re going to have to upgrade all of your workstations in order to keep everything on the same version.

With cloud-based models, all you need is an internet browser in order to use the solution. That means that as long as your hardware can access the Internet, you can use the software. The result is that you have the flexibility to choose your hardware based on your own needs.

The Cloud Difference

Hardware Costs 2

If you’re using a cloud-hosted solution, there will probably be a fee that you pay for a certain amount of storage, and also for the service that your vendor provides to maintain those servers for you.

If you’re using a solution that requires a network or client-servers, you’re going to need to factor in the cost of IT support. If you’re skilled in this area and have the time to dedicate to server maintenance you might be able to work around this. But if you aren’t, you’re going to be investing in both the initial set up of servers and networks, as well as the ongoing maintenance.

IT Infrastructure 3

If you’re using a cloud-hosted solution, there will probably be a fee that you pay for a certain amount of storage, and also for the service that your vendor provides to maintain those servers for you.

My current vendors nickel and dime me for every

technology maintenance service and that's before I spend money on hardware

that has to be replaced every time I upgrade to

the newest version.

Kim Castleberry,

OD, Plano Eye Associates

“ “ Other things to consider in terms of IT infrastructure are security measures and data backups. How will these be handled? Is the onus on you or does the software vendor handle this? If it’s on you, what will it cost you each month? If it’s on the vendor, is there going to be a fee that you need to pay?

IT Infrastructure 3

Think Long Term… The cost of owning a practice management and EHR solution is not just a one-time fee. You should consider ongoing hardware and software cost and not to mention getting your practice’s IT infrastructure ready for the system you implement. Check out our total cost of ownership worksheet and start thinking about the costs of your system in 5 years. You may find that some solutions could actually be more cost-efficient in the long run.