/doctors to give discounts to those who pay in cash?  if so what's the standard?  more like 20% or close to 40%....?



-- Modified on 4/29/2005 10:23:53 AM

No, I don't give discounts for cash payments.

Not my dentist.  You might be able to use credit up to a limit, but over a certain amount, you'll be paying a credit surcharge to cover the fees.  Most providers and agencies that I've seen that take credit apply a surcharge.  However, I don't used credit because of the fees and the dreaded paper trail.

The surcharge is typically in the 6- 8% range.  Even if you got a cash discount, I doubt you'd see anything in the 20-40% range.  Maybe 5 - 15%.

Cash discounts are legitimately given for avoiding use of credit cards and other costs or delays that the service provider incurs in processing your payments (AMEX used to be notorious for taking 45 to 90 days to pay).

One non-legitimate use of a cash discount is to evade income taxes.  Nobody pays 40% income tax, so that is an unrealistic amount, if you are trying to negotiate a discount.

Any cash discount above 6% is suspect.  

-- Modified on 4/29/2005 9:57:35 AM

I have received a 20% discount a number of times from doctors' offices for paying cash. There are a couple of reasons for the discount. No bounced checks, no credit card processiong fees and unlike health insurance, the whole bill is being paid. Health insurers pay only a percentage of the bill submitted to them from doctors and the percentage can vary from month to month.

or going on the basis that it's not advertised?  it is never advertised because it would  raise huge irs red flags if a dentist/doctor advertised this. the reason a cash discount is  sometimes allowed is because then the dentist doctor doesn't have to pay taxes on that income.  

re: escorts and credit card surcharges, that's unrelated.

nobody pays 40% but  no income tax + no insurance headaches + no credit card processing fees + no bill collection issues... makes me think somewhere in the 20-40% range is realistic..

did you ever get the huge eyeroll or the stare when you take out all the cash from people around you...

Its pretty funny... I always turn around and say.." I'm a hooker.. sorry " followed by a grin or giggle.

The expressions are priceless and they never believe me !!!

Its generally my amusement for the week!

Being uninsured, as soon as I schedule an appt and they ask me my insurance carrier, I tell them I am uninsured and am paying cash.  I then ask them what the approximate cost will be in order to bring the right amount.  At that point, they always tell me there is a discount for paying cash.  I recently scheduled a pelvic ultrasound and they told me it would be 10% off.  That has been about standard in my experience. Hope that helps!

Dude, I wanna live in your world.

Most recent health care provider offered a 20% cash discount without me asking.

Dont know about plastic surgeons but dentist usually mark up their prices so that the insurance cah haggle and the delay. If you are a "self pay" you should get a deep discount. even with hospitals.But get it in writing first,,

-- Modified on 4/29/2005 3:39:47 PM

I've known dancers who were able to pay for their breast augmentation, lipo,and/or nose job at a discount for paying in cash. Like maybe a grand or so less for a BA...4.5k instead of 6K or something like that.

I would love to see that Ciara and my expression would be one of fascination.

I usually offer sigificant cash discounts on procedures which are commonly done.  Since I am not a  plastic surgeon or dentist, my procedures are always insurance reimbursable which means there are fee schedules much lower than my posted rates.  I figure that is only fair.