What is to 'Capitalize'. Capitalize is an accounting method used to delay the recognition of expenses by recording the expense as a long-term asset. In general, capitalizing expenses is beneficial as companies acquiring new assets with a long-term lifespan can spread out the cost.
For orthodontics, most, if not all plans have a lifetime maximum amount that the carrier will pay for treatment. This is typically anywhere from $750 to $4000 and the patient is responsible for the remainder of the orthodontic cost.
The maximum amount is the total amount of dollars the dental plan will pay out for services you or your family receives. There can be different maximums: an annual maximum for most services, and a lifetime maximum which often applies for services such as orthodontia (e.g., braces).