If you’re like most health care practitioners, the business side of your practice doesn’t always get the attention it deserves. At times you may feel starved for good information. Your billing, whether done in–house or through a billing service, should be giving you valuable insights into the procedural and financial health of your practice. If you find yourself looking for meaningful reports, here are some you should expect from your billers.
- Accounts Receivable – This one’s tricky. You should expect analysis containing both aging and average days in AR. Both of these reports contain the ability to spot trouble before it comes, giving you the capacity to manage your cash flow with more certainty. In you want more on this, see 2 Ways to Monitor AR.
- Billables – You should understand the amount of work being done each month. Understanding how much is being billed is the first step in being able to check the wellness of your practice. It is also important in this report that you already understand your contracts, expected payments, and expected adjustments. Knowing this provides a more accurate picture.
- Revenue Report– This report gives you revenue. Revenue is your top line on your income statement. This is the actual cash you get in. For future planning, you will want this revenue number is you consider your employees, bills, equipment depreciation, etc. Following your weekly, monthly, quarterly revenue will not only allow you have an understanding of your business, it is a tool to help you manage your capital planning and investment.
- Adjustments – Analyzing a report of adjustments for amounts of unpaid Medicare or contractual issues can help you understand your financial gaps and processes. Tracking this will allow you to react to unexpected missed payments. Your reaction is essential with your payer networks.
There are many reports you can expect from your billers. Billing is the front end of your entire cash process. Don’t let valuable insight slip away on account of non-savvy billers. Try to only analyze reports that help you manage. Insightful reports are the ones that help you make decisions.