Self-pay is an additional burden for hospitals that are already struggling to reduce costs and increase revenue. Increasing efforts toward collecting past due medical debts on is a necessary process that many hospitals who have limited resources cannot afford to do on their own. Luckily, there are is a plethora of affordable outside services that can aid in this process, many of which are cloud-based.
2018 is upon us and as many accounting businesses prepare for the new year, it's important to understand some of the biggest industry trends. If you take a look back at the biggest accounting trends in 2017, the majority of them were surrounding a push toward cloud-based and automated solutions. So, what are some of the changes that we can expect to see in 2018? Have the trends changed much? Well, the short answer is no. But continue reading if you'd like to know the accounting trends for 2018.
According to Healthcare Finance, healthcare consumers are now responsible for 30% to 35% of their healthcare bill. Since patient payment and collection practices are consistently becoming more complex, deductibles have also continued to rise. Furthermore, collection costs are much higher for patients as compared to payer collection. Both of these factors have lead to the evolution of patients being the primary payer source. Although patients are now the primary payer source, let's face it, they have a lot going on and paying their bill is not a top priority.
Hospitals, pharmacies, and other healthcare providers are constantly searching for new ways to decrease bad debt and maximize their reimbursement. As they continue this process, it's imperative that they can identify which patients are true self-pay and which patients are self-pay after insurance. If they are self-pay after insurance they will have a high-deductible plan and still owe a large sum of money after coverage.
The healthcare industry is in the midst of a huge change with its patient collection programs. This change is causing strides towards designing sophisticated and patient-friendly programs that increase transparency, improve user experience, and minimize pressure from the IRS. These programs help hospitals, pharmacies, and other healthcare providers offer easy-to-understand patient statements and front-end eligibility help.
In case you didn't know, Millennials are classified as the age group that was born between 1980 and early 2000s. As they have started to enter the workflow, many Millennials have already established successful businesses, and 67% of the generation cohort want to start their own business. But, like most small business owners, Millennials are starting to run into a few major challenges that are inevitable.
Small businesses are the lifeblood of the United States economy because of their ability to innovate their industry landscapes. However, it's not uncommon for small business owners to feel overwhelmed due to the number of problems they have to face on a daily basis. Below we've listed the 3 biggest accounting problems small businesses face.
According to a recent survey conducted by KPMG, CEO's are continuing to gain more confidence in technology. This is especially true within the accounting world. Of the 400 CEO's surveyed, three-quarters of them said they are actively pursuing technology disruption in their own sectors, rather than waiting for competitors to do it. This initiative is accelerating accountants acceptance of technology and trending cloud-based accounting solutions.
Yesterday, August 28th, 2017, FASB issued a new standard that aims to simplify hedge accounting for financial statement preparers and users. Before looking into the specifics of the new FASB standard, it's important to note that it will take effect for public companies beginning December 15th, 2018 and one year later on December 15th, 2019 for private companies. Keep in mind that early adoption of this standard is permitted.
The new revenue recognition standard will be here before we know it and it should be a top priority of your organization to understand what it entails. The standard will officially be enforced upon public companies after December 15th, 2017. If your company ends its fiscal year on December 31st, the new standard will apply with quarterly reports starting in January. According to the Journal of Accountancy the standard is a five step process;
We've all heard the phrase, "time is money" since we were kids. This phrase is especially true within the accounting industry and if you've been keeping up with the current trends within the industry, you know that accounting bookkeeping is moving away from manual processes and more towards automated accounting solutions. There are so many benefits to automating your accounting processes that you are actually losing money if you still maintain your accounts manually.
Hacking costs companies $15.4 million per attack, according to the Senior Director of Security Consulting at cyber security firm, Spirent. As both, the costs and frequency associated with cyber crime continue to rise on a yearly basis it's important that your organization gets a firm understand of the cyber security environment. Although cyber crime doesn't show much of a biased towards a specific industry, there are a few different aspects of it that accountants should understand more so than other companies. We've listed the top 5 things accountants should know about cyber crime.
Accountants deal with a tremendous amount of sensitive customer information on a daily basis. According to a new report conducted by the ACCA USA, or U.S. arm of the Association of Chartered Certified Accountants, and Pace University nearly 40 percent of respondents said they have no knowledge of company policy on data encryption in transit or in storage.
Corporate culture is sometimes an over looked aspect of any business because of its abstract results, you can't place it on a data sheet or view the numbers of its success. However, it's an important aspect, especial for accounting firms, to establish in your organization. According to Accounting Today, there is a cultural trio that create a solid foundation for a firms culture; doctrine, leadership, and ritual.
It seems that whenever an industry-wide change comes to fruition, especially due to technological advancements, we hear about how it causes fear among industry leaders. However, according to a new global independent study, most accountants have a positive outlook on automation.
As more automated accounting systems are entering the market, traditional accounting firms are beginning to worry. You may even begin to worry if your job will still be around within the next five years. The answer to that question is if you focus on how automated accounting solutions can help your organization rather than how it's forcing you to change your traditional practices, the answer is yes. Below we've listed 4 ways to grow your accounting firm through automation.
Since we've been raving about how helpful cloud accounting is to your employees and organizations, the only true way to prove it's worth is by comparing and contrasting cloud accounting to traditional accounting.