Write-offs, adjustments, and patient out-of-pocket:  How your PPO impacts dental billing

An account analysis should be performed on each patient account with a credit balance to determine if there is a real credit balance and to whom the credit belongs. For all accounts where there may have been more than one plan, and the provider is in-network with one or more of those plans, check to see that any PPO adjustments were applied correctly. It is not uncommon to find errors, and the result is the error is monies belonging to the practice (i.e., PPO write off applied twice, etc.). When the conclusion is that an actual credit balance exists – does it belong to the patient or the insurance payer? If the credit does not belong to the practice, it is typically subject to unclaimed property rules of your state.

• You can also potentially deduct the cost of lodging on the days when you’re not conducting business, but it depends on how you schedule your trip.
• Have you ever looked at your bank account and did not know why the balance was too high or too low?
• You want to avoid costly missteps when billing for procedures, especially when adjusting fees.
• By contributing to an IRA, you could avoid the percentage of investment tax on your investment income.

We recommend that the government payer accounts are reviewed quarterly. These insurance credits should be accounted for as a potential liability in your https://www.bookstime.com/ practice A/R. George Cohan gave us “Yankee Doodle Dandy” and “Give My Regards to Broadway”, and he gave us a small business tax deduction rule.

Dental Office Bookkeeping Checklist:

This reduces the amount of taxes you owe and can increase your refund. Dental practices are ever-important and one of the leading professions globally. With the volume of work it has, keeping up with its bookkeeping and accounting needs is also necessary. Keeping a tab on necessary accounting principles and the primary do’s and don’ts help you assess your business model better and make necessary alterations for increased profits and decreased errors. Having the right accounting team who understands the needs of your industry is the first step in that direction of accounting efficiency and an enhanced financial health.

If input correctly, you’ll see your adjustments from the gross amount and then you can calculate your write-off percentage. We want to give you this table to help summarize the business deductions that are clearly not allowed (black), the ones that clearly are allowed (white), and the gaggle of exceptions (grey). Should we need to schedule an additional consultation, dental bookkeeping our fee is $250 for 40 minutes. If we decide to press forward with a Business Advisory or Tax Patrol Services engagement, we will credit the consultation fee towards those services. Though Quicken does have a payroll solution called QuickPayroll®, it is additional software to Quicken. QuickBooks comes with its payroll built in and is easy to set up and use.