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Healthcare Accountant in Roxborough

Our healthcare accountants at SD Associates, P.C. in Roxborough are dedicated to providing exceptional accounting services to local medical practices. We are familiar with the unique needs and challenges that healthcare organizations face today. With our expertise and qualifications, we can offer the guidance necessary to help them attain long-term financial stability.

Our accounting team is dedicated to providing a personal touch while maintaining the highest standards of professionalism. We take time to listen closely to our clients’ needs and offer guidance tailored to their individual situation. Our knowledgeable staff is also available for consultation, answering questions on specific topics and providing valuable insights into the healthcare industry. From understanding reimbursement rates to analyzing financial trends, our team of experts can help medical practices make informed decisions regarding the management of their finances. We strive to ensure that our clients have the financial resources they require to promote patient care and provide quality services.

Types of Healthcare Accounting Methods

Accrual Accounting

The practice of accrual accounting in healthcare accounting involves recording revenue and expenses when they are incurred, regardless of whether payment has been received or made. For instance, a medical office might record revenue when services are provided, even if the patient has not yet paid. This is often the case with medical practices that have to bill insurance companies instead of receiving immediate payment from the patient.

While accrual accounting provides a more comprehensive view of a business’s financial performance, it can result in cash flow and liquidity problems if anticipated payments are not received on time. Our team of experienced healthcare accountants at SD Associates, P.C. can help you understand and manage accrual accounting for your practice.

Cash Basis Accounting

Cash basis accounting, unlike accrual accounting, records revenue and expenses only when payment is received or made. This technique is often used by smaller businesses with limited resources due to its simplicity. However, it can result in an incomplete financial picture because income and expenses are often not recorded until much later.

Like accrual accounting, cash basis accounting has its pros and cons. On the positive side, it is simpler to handle. On the other hand, it can result in less accurate financial reporting. Furthermore, cash basis accounting is not recognized under GAAP regulations and may not be the best option for businesses that need to comply with these standards.

Which Method is Best For Your Medical Practice

When it comes to selecting between cash-based and accrual-based accounting, it can be a tough call for medical practices. It’s vital to evaluate the advantages and disadvantages of each method before making a decision. The choice should depend on how each approach works and how it affects your finances.

When it comes to accounting for medical practices, SD Associates, P.C. understands the complexities involved and can offer expert guidance on which method will work best for you.

Unique Aspects of Healthcare Accounting

Reporting

Healthcare accounting reporting can be complex and intricate, and requires expertise in the relevant laws, regulations, and standards. Our team at SD Associates, P.C. is well-versed in the intricacies of healthcare accounting and can provide accurate and comprehensive financial reports that adhere to all relevant rules and regulations.

Depreciation Tracking

For medical practices, depreciating assets such as equipment and vehicles decrease in value over time. It is important to accurately calculate the depreciation value of these assets for tax purposes, expense tracking, and insurance paperwork. Our accounting team at SD Associates, P.C. has the expertise to assist in accurately tracking depreciation values for these assets.

Credit Balances

Credit balances, or refunds owed to patients, can be a complex and time-consuming process. Our team at SD Associates, P.C. is experienced in managing credit balances for all types of medical practices, ensuring that any overpayments are accurately refunded to the patient in a timely manner. We have developed processes for efficiently tracking and processing credit balance refunds so you can rest assured that your practice is compliant with all applicable regulations.

Confidentiality

HIPAA regulations require that all healthcare data be kept confidential and secure, which is why our team at SD Associates, P.C. takes the utmost care when managing financial information for medical practices. Our experienced accountants are well-versed in HIPAA compliance and are committed to safeguarding your patient data.

Healthcare Accounting FAQs

Why should my medical practice work with a professional accountant?

Working with a professional accountant can provide many advantages to your medical practice. Professional accountants have the experience and knowledge to accurately track and analyze financial data, ensuring that you remain compliant with applicable rules and regulations while maximizing the profitability of your business. They also understand the complexities of healthcare accounting and have access to specialized tools and resources that can help you meet your goals and objectives in a timely manner.

 

Are medical practices subject to income tax?

Yes, medical practices are subject to income tax. Medical practices must report any income that is earned from services rendered or products sold. This includes income from patient care, laboratory services, and other ancillary services. Depending on the type of practice, taxes may also be due on rental income or other associated business activities.

 

What deductions can physicians claim?

It is possible for physicians to claim various deductions. Common deductions include business expenses such as supply costs, rent or lease payments, payroll costs, and professional fees. Other potential deductions may include research expenses, charitable contributions, marketing expenses, and home office expenses if applicable. Our healthcare accountant in Roxborough can advise you on the most advantageous deductions for your medical practice.

Contact Our Roxborough Healthcare Accountant Today

With years of experience in healthcare accounting, SD Associates, P.C. is a highly recommended accounting firm for medical practices in Roxborough. Our services cater to practices of all sizes and specialties. To learn more about how we can help your practice achieve financial success, call us today at (215) 517-5600.

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