You MUST review your practice financial data on a regular basis.
But by this, we don’t mean looking at spreadsheets once a in a while. By the time you see months-old data, you may already have lost the battle.
As a recent article in Healthcare Finance News pointed out, “Discovering significant reimbursement declines and payment denials several months in—regardless of cause—can be crippling.”
“To facilitate data-driven decision making, every key piece of information should be directly accessible…” the article also says.
It’s vital for physicians and practice managers to set aside a regular time—preferably at least once per month—to review key data including:
- What are your Days in Accounts Receivable (A/R) and how is it trending?
- What percentage of your A/R is greater than 120 days outstanding?
- How do your RVUs compare with your practice partners?
- Do you know the general trend of No Show Appointments in your practice?
- What is your denial rate and how is it trending?
By examining these trends and the underlying data on a frequent basis, you can prevent larger issues from developing.
For example, if you’ve started seeing more ACA patients and your patient collections begin driving your Days in AR up, you can adjust your collections process before the situation gets out of hand.
Or, if you suddenly begin seeing more No Shows, you can check to make sure that your reminder protocols are being followed or if they need to be adjusted to include additional reminders.
Or if your denial rate begins increasing, you can review your coding errors and/or payer policies to ensure that you catch a global problem before your cash flow is impacted significantly.
But all of these checks and balances need to be enabled by easy-to-read reports using real time data.
By this, we mean that you need practice management software (or medical billing software) that provides the following:
- Visual reporting with charts and graphs that help you see at a glance the state of your practice finances
- Customizable Excel-based reports for drilling down on financial performance indicators, based on provider, payer, code, location or date.
All of these reporting methods should be easy, so that you can check your key performance indicators (KPIs) in just a few minutes and then get back to seeing patients. If it’s not easy to check your financial KPIs, let’s face it: you’re unlikely to do it, just for lack of time.
That’s why we’ve designed our MediTouch medical billing software to be easy to use, particularly for reporting. We’ve included key features that make it easy for you to stay current on your financial trends:
- Real time data at your fingertips, with a comprehensive reporting module
- Dashboard reports that provide you “at a glance” overviews of your financial data, and explanations of how that data impacts your practice profitability
- Visual, easy-to-read report templates you can customize and save so that you can compare the data the same way each time, and the ability to schedule regular reports that are delivered to you
- And much more
Make sure you understand the real financial health of your practice; if your practice management software doesn’t give you the insights and control you need to manage your financial KPIs, you should switch to medical billing software that will give you that ability.
To learn more about what MediTouch medical billing software offers, schedule a live, personalized demo today.