The medical industry is a complex field, providing valuable care and support to people in need. However, while medical practitioners spend years honing their craft, they may be out of their depth when handling financial expectations.
The finances of the medical industry are far more involved than you might expect. From rebates to taxation requirements, staying on top of your obligations is crucial to running a successful practice.
This is why having a specialist medical accountant is so valuable. But what does a medical accountant actually do, and how can they help your practice succeed? In this article, we’ll detail the financial expectations medical practices face, along with how a specialist medical accountant can help.
For further advice on medical accounting and financial planning, contact our team at Curve Accountants today.
Why is a Specialist Medical Accountant Different?
While accounting can help track your finances and regular tax obligations, the medical industry has far more complex factors that need to be addressed. Many medical practices regularly deal with individual patient insurance claims, reimbursements, and billing that are different from regular accounting.
A specialist medical accountant has experience dealing with these different factors. They can help to streamline your processes, ensuring accurate billing and keeping detailed financial records. Likewise, they can help you navigate your tax obligations, ensuring you stay compliant.
What is the Healthcare Revenue Cycle?
The healthcare revenue cycle is the entire process of paying for and reimbursing medical care. This includes the administrative processes and protocols that practices must follow.
Step-by-step, the healthcare revenue cycle follows this course.
- Enrollment: The enrollment of the patient, or their first appointment. This is when their information must be taken and accurately filed.
- Billing: The patient is then billed for the services they required.
- Coding: The patient’s diagnosis or required procedures and services are then coded.
- Claims Filing: With correct coding, patients’ insurance and invoices can be filed and claimed.
- Correspondence: Insurance companies may have additional questions or potential disputes. Correspondence is where these issues are addressed.
- Collecting Payments: This is where payments are made, either through insurance, Medicare, or by the patient.
- Evaluation: This entire process is then evaluated, reviewing that the accurate codes were used and all medical regulations were adhered to.
Every step of the process is relatively involved; even one small error at any stage could cause significant issues for your practice and your patients. Accurate record-keeping and filing are then crucial to ensure smooth operations.
The Benefits of a Specialist Medical Accountant
A specialist accountant for medical practices can have a wide range of benefits and impacts, such as:
1. Streamlining Processes
A dedicated medical accountant can keep detailed records of your finances, all while streamlining your processes. Using the latest tracking systems and financial programs, they can automate certain financial processes. This can increase your efficiency while reducing your risk of errors.
Likewise, better financial processes can improve the experience of your patients so that they can trust in accurate billing and timely reimbursements.
2. Cash Flow Monitoring
A trained medical accountant can accurately track your cash flow across your revenue cycle. This can help with budgeting your practice so that medical practitioners can make better current and future financial decisions.
This can ensure your medical practice not only runs smoothly, but also has the opportunity to grow.
3. Meeting Tax Obligations
Even regular people struggle to navigate different tax obligations and requirements. An experienced medical accountant can easily navigate these obligations, ensuring that medical practices file their taxes accurately and on time, avoiding potentially costly fines.
Further, they can ensure you are taking advantage of available tax deductions and schemes, helping you save money.
4. Managing Payroll
Payroll and superannuation obligations are also an important part of running a medical practice. Medical accountants can ensure that these calculations are completed accurately and on time. By doing so, you and your team can focus on what matters most– helping people.
Your Trusted Medical Accountants are Here
Has your medical practice been inundated with financial red tape and confusing taxation requirements? Are you looking for an experienced medical accountant in Melbourne or Geelong?
Curve Accountants is an expert accounting firm that has years of experience supporting a wide variety of medical practices and practitioners. From surgeons and dentists to general practitioners and even veterinarians, we have the financial knowledge you need to keep your business on track.
Reach out to our friendly staff in Geelong today to get personalised advice and financial guidance. Your practice will thrive with the right support.
