LUPA & PDGM

    Days Sales Outstanding (DSO)

    Financial metric that measures the average number of days it takes an agency to collect.

    Definition

    Days Sales Outstanding (DSO) is a financial metric that measures the average number of days it takes an agency to collect payment after a claim has been submitted.

    Why it matters

    Lower DSO generally indicates a more efficient revenue cycle and healthier cash flow, while higher DSO may signal billing delays, claim denials, or collection challenges.

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