Top Accounting Services For the Medical Field

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Healthcare Accountant in Washington Crossing

Our skilled healthcare accountants in Washington Crossing at SD Associates, P.C. recognize the intricacy and time-consuming nature of managing a healthcare business. Hence, we are here to assist you in navigating through the complex financial aspects of your medical practice and provide trustworthy accounting counsel that is personalized to meet your specific requirements.

At our firm, we aim to analyze your current financial status and devise a comprehensive plan to assist you in achieving your objectives. We offer various services such as cash flow analysis, budgeting, bookkeeping assistance, tax planning and filing, payroll processing, and consultation on health records compliance. We realize that the healthcare industry is rapidly evolving, and our team endeavors to provide you with the latest guidance on new regulations, tax credits, and other financial considerations. Moreover, we can help you identify opportunities to improve your profitability and increase the efficiency of your practice or organization.

Types of Healthcare Accounting Methods

Accrual Accounting

Accrual accounting is the practice of recording income and expenses when they are earned or incurred, rather than when the actual cash transaction occurs. For example, a doctor’s office might record revenue when the patient is seen, not when the bill is paid.

The accrual accounting method can offer a more accurate portrayal of financial performance as it includes all income and expenses, not just those related to cash transactions. Nevertheless, it has its pros and cons. The significant advantage is that it offers a more holistic view of the business’s financial situation, while the primary drawback is that it can be more difficult to monitor financial performance in real-time.

Cash Basis Accounting

Cash basis accounting is the practice of recording income and expenses only when they involve a cash transaction. For example, a doctor’s office would record revenue only when bills are actually paid – not when the bill is sent to a patient or insurance company. Cash basis accounting is generally simpler to track and manage because it only involves actual cash transactions.

The primary drawback of cash basis accounting is that it does not offer an exact representation of a business’s financial performance since income and expenses are not recorded until after they happen. Furthermore, cash basis accounting is not compliant with GAAP standards, making it unsuitable for businesses that wish to comply with these regulations.

Which Method is Best For Your Medical Practice

Choosing the best accounting method for your medical practice depends on your individual needs. For example, if you need a more accurate picture of financial performance, then accrual accounting is the best option. If you need a simpler and easier-to-track method, then cash basis accounting might be better suited for your practice.

At SD Associates, P.C., our healthcare accountant in Washington Crossing can help you identify the ideal method for your medical practice. We deliver all-encompassing accounting services that are personalized to meet your unique business requirements and aspirations.

Unique Aspects of Healthcare Accounting

Reporting

Healthcare financial reporting requirements are complex and demanding. At SD Associates, P.C., our professional accountants have the experience and knowledge to provide you with complete and accurate financial statements in accordance with all relevant federal, state, and local regulations. Our team of experts understand the nuances of healthcare accounting reporting requirements, allowing us to provide prompt, reliable service for your organization.

Depreciation Tracking

A depreciating asset is an asset that decreases in value over time. For medical practices, this includes medical equipment, office furniture, and other assets. Accurately tracking depreciation of these assets is important for tax compliance and financial reporting. SD Associates, P.C.’s expert accounting team understands the nuances of depreciating assets and can help you develop accurate depreciation schedules to meet your healthcare business needs.

Credit Balances

Credit balances occur when a patient has paid more for services than what was delivered. Effectively tracking and managing these balances is an essential component of healthcare accounting, and our team at SD Associates, P.C. can offer assistance in this area to guarantee that all balances are managed correctly. We have proficiency in tracking and managing credit balances across multiple providers.

Confidentiality

According to the Health Insurance Portability and Accountability Act (HIPAA), healthcare organizations must maintain the confidentiality of patient information. Our team at SD Associates, P.C. comprehends the importance of guaranteeing that all data is kept secure and confidential. We maintain the highest standard of confidentiality and security when managing your accounting needs.

Healthcare Accounting FAQs

Why should my medical practice work with a professional accountant?

The expertise of a professional Washington Crossing healthcare accountant, such as SD Associates, P.C., is invaluable when it comes to effectively managing your practice’s finances and staying compliant with industry regulations. Our team of experienced professionals provides comprehensive services ranging from financial planning to budgeting and forecasting, so you can make informed decisions that help your practice succeed.

Are medical practices subject to income tax?

Yes, medical practices are subject to federal income tax in the same way as other businesses. In addition, some states may have additional taxes or regulations that apply specifically to healthcare organizations. Our team of experts is well-versed in the relevant laws and will ensure your practice stays compliant with all applicable taxation requirements.

What deductions can physicians claim?

It is possible for physicians to deduct certain expenses, such as professional fees and medical supplies. Additionally, they may be able to take advantage of deductions related to wages paid to employees, rent or mortgage payments on office space and equipment costs. Your healthcare accountant can provide more detailed information about the deductions available in your specific situation.

How can I ensure my practice remains compliant with healthcare accounting regulations?

SD Associates, P.C. provides a range of services to help you stay in compliance with healthcare accounting regulations. Our experienced accountants are up-to-date on the latest industry changes and can help your practice remain compliant while maximizing efficiency and profitability.

Contact Our Washington Crossing Healthcare Accountant Today

Are you looking for a team of experienced healthcare accountants in Washington Crossing who can provide the best advice on how to handle your medical practice’s finances? Look no further than SD Associates, P.C. Our knowledgeable staff has years of experience working with clients in all aspects of healthcare accounting. Contact us today at (215) 517-5600 to schedule your consultation.

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