What is the purpose of medical practice management reporting?
Reporting is a critical function that helps practices stay on track of their financial goals and objectives. It identifies medical practice financial performance such as charges, payments, and adjustments by source. Reports are essential to the practice’s financial health, as it shows what the practice has produced monthly and provides a snapshot of the practice’s total accounts receivables. Consistent monthly reporting also provides a timely opportunity to respond to trends within 30 days of being discovered. Without reporting, a practice is performing in the dark.
Report reviews should be used to identify issues or trends that may arise. Comparing performance to previous months or periods of time helps to determine if the collections efforts need to be adjusted or changed. Reviewing the Days Sales Outstanding (DSO) or Days in AR will immediately reveal if an issue is developing with collections. According to MGMA standards, 70% of a practice’s receivables should fall into the 30 day aging window.
Aging reports can help identify more detailed issues about both payer and patient payment collection efforts. The absence of reviewing the aging can result in growing accounts receivable and will contribute to lost revenue. Monthly reporting helps to identify financial performance issues early and will decrease the potential for large write-offs later. Physicians, administrators and practice managers of every practice should review reporting on a consistent and regular basis.
What is AssuranceMD’s reporting protocol?
AssuranceMD delivers monthly reporting to every revenue cycle management client regardless of their level of engagement or practice management application. Healthcare data solutions and financial metrics are the foundation of our work and are used to establish agreed upon goals. Reporting punctuates our performance guarantee and assures our clients that we deliver the financial performance they hired us to achieve.