Wednesday, March 26, 2008

Deductibles Influence Cash Flow

This time of year many of our doctors find their receivables down. Most of this is directly because of the deductibles that kick in with the new year. Instead of receiving Medicare checks in January and February, many providers receive eobs stating payment was applied to the deductible. Medicare may have forwarded the claim to the secondary, or you may have to submit the claim to the secondary, or the patient must be billed.

The effect this has on the office is a definite drop in the income for the first few months of the year.
Offices should learn to be prepared for this.

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