Top Accounting Services For the Medical Field

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Healthcare Accountant in Yardley

Our skilled healthcare accountants in Yardley 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.

Our team is here to examine your current financial situation and develop a comprehensive plan that can help you meet your goals. We provide services such as cash flow analysis, budgeting, bookkeeping assistance, tax planning and filing, payroll processing and consulting on health records compliance. We understand that the healthcare industry is a quickly changing sector and strive to provide our clients with up-to-date guidance on new regulations, tax credits, and other financial considerations. Our team can also help you find ways to maximize your profits and increase efficiency of your practice or organization.

Types of Healthcare Accounting Methods

Accrual Accounting

Accrual accounting entails recording income and expenses when they are earned or incurred, rather than when the actual cash transaction takes place. This means that a doctor’s office may record revenue when the patient receives treatment, rather than when the bill is settled.

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 major disadvantage of cash basis accounting is that it does not provide an accurate portrayal of a company’s financial performance since income and expenses are not recorded until they occur. Additionally, cash basis accounting is not recognized under GAAP standards, making it unsuitable for businesses that want to conform to these rules.

Which Method is Best For Your Medical Practice

Selecting the most appropriate accounting method for your medical practice depends on your specific requirements. For instance, if you require a more precise representation of financial performance, then accrual accounting is the optimal choice. If you need a more straightforward and easier-to-manage method, then cash basis accounting may be better suited for your practice.

Our healthcare accountant in Yardley can assist you in determining which method is most suitable for your medical practice. At SD Associates, P.C., we provide comprehensive accounting services that are customized to meet your distinct business needs and objectives.

Unique Aspects of Healthcare Accounting

Reporting

The reporting requirements for healthcare financials are intricate and challenging. Our professional accountants at SD Associates, P.C. possess the expertise and understanding to furnish you with precise and comprehensive financial statements in compliance with all applicable federal, state, and local regulations. Our team of professionals are well-versed in the specifics of healthcare accounting reporting requirements, enabling us to offer quick and dependable service for your organization.

Depreciation Tracking

A depreciating asset refers to an asset that diminishes in value over time. For medical practices, this includes medical equipment, office furniture, and other assets. Precisely tracking the depreciation of these assets is necessary for tax compliance and financial reporting. Our accounting team of experts at SD Associates, P.C. understands the intricacies of depreciating assets and can help you devise accurate depreciation schedules that align with your healthcare business needs.

Credit Balances

A credit balance arises when a patient has paid more for services than what was provided. Properly tracking and managing these balances is a crucial aspect of healthcare accounting, and our team at SD Associates, P.C. can provide guidance in this area to ensure that all balances are managed appropriately. We have extensive experience in tracking and managing credit balances across multiple providers.

Confidentiality

According to the Health Insurance Portability and Accountant Act (HIPAA), it is essential for healthcare organizations to maintain the confidentiality of patient information. Our team at SD Associates, P.C. understands the importance of ensuring that all data remains secure and confidential. We maintain the highest level 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 Yardley 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 Yardley Healthcare Accountant Today

If you are in search of a team of experienced healthcare accountants in Yardley who can offer the best advice on managing 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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