Making sure payments get properly processed and sent is likely a major challenge in your medical practice, and you may not always succeed with the system you have in place. Especially if you're still using a paper-based system or other outdated software, invoices could become misplaced or end up having discrepancies.
When a doctor at General Practice misses out on pay, things can get extra complicated in solving the problem. Not only does it require extra downtime to locate what happened, it may end up causing discord with your medical staff on who's to blame.
Placing the doctor into the equation, they may feel frustrated enough to a point where they won't want to stick around in your medical practice. Experiencing constant turnover can place your facility in turmoil without assuring things are in order.
The answer to this is going paperless and being able to handle payroll with digital technology.
Here's more on why this is important and why it eliminates manual errors.
Why Manual Entry is so Archaic
One of the biggest expenses you've likely had is hiring data entry operators to enter payroll information on paper, or into a database. This was already an added expense filled with liabilities.
You can figure what the cost of a manual data entry error could cost you by using the old 1-10-100 rule. With this, you'll see it takes $1 to find the source of one error, $10 to repair the problem, and $100 (or more) if nothing gets done to correct the document.
It's a sobering formula, yet it can show you how much risk you're taking on. When you find a quality financial management platform, you bring some automation to the fore and assure all the figures in payroll don't end up with mistakes.
All it takes is just one small error to set off a chain reaction in a doctor missing out on their pay. For them, missing out on their doctor share due to an error can lead to major infighting on what caused the issue.
Dealing With Transaction Volume
Another problem is the sheer volume of transactions your accounting department has to go through. You can end up with a major problem when reconciling bank accounts with recorded receipts, especially when it goes on endlessly.
Your accounting department has too much pressure trying to find mistakes, and it's frequently impossible when it's all done manually. Although even through a basic management program, it can become tough when it's not properly organized with thorough metrics.
The right software assures you can effectively track transaction volumes so they're easier to manage. Reconciliation can occur directly within the accounting system, so it doesn't involve having to enter and locate it manually, including figuring payroll.
Being forced into dealing with facility fees and payroll for contracted doctors could lead to even more confusion in the accounting side of your practice. A doctor revenue management system, splits these into two separate categories so it doesn't lead to misplaced figures or other gaffes.
By using granular integration, you're assured all receipts get matched in a bank reconciliation screen within your accounting system. In other words, all receipt reference information is easier to match with deposit references in bank feeds.
With the above, you have easier ability to scope out mistakes before they get out of control and become harder to find. The splitting of practice share and doctor share occurs in real-time, preventing any issues with doctor payments.
At the same time, you'll gain access to your daily balance in your revenue account. Plus, doctors can access their shares in real-time through any mobile device so they'll know they're being paid.
Contact us at Surgical Partners so we can provide our own doctor revenue managment service to address the above medical practice challenges.