For DME providers, bank reconciliation helps identify any potential accounting or banking errors before it becomes a more extensive problem. When you reconcile with your bank, you’re comparing your accounting records to your bank statement to make sure all the information matches.
Why is Bank Reconciliation Important?
It’s important to remember that when you receive confirmation that a claim is approved, don’t record the payment as completed or closed until you reconcile the money with the bank. This is because claim payments can be delayed or have banking errors. Due to these errors, you might receive payment much later than expected, which could result in your business books not matching your bank statements.
When is the Best Time to Reconcile to the Bank?
Depending on your accounting process, weekly or monthly reconciliation is the ideal timing. Daily reconciliation is also another option. You can have someone monitor incoming payments electronically transferred to post to the daily record of claims paid. However, if you wait to reconcile every two months (or longer), in that case, any errors or problems can become bigger problems the longer it goes unnoticed.
Additional Benefits of Bank Reconciliation
Regularly reviewing your accounts allows you to discover other potential business errors.
- Find or prevent administrative problems, including:
– Catching bank errors
– Doublechecking that all transactions are included in the accounting system
– Following outstanding payments
- Detect fraud before it’s too late
- Notice accounting errors
- Track any fees or interest charges from the banks
- Easier to maintain a good standing account
Working with a DME Billing Company for Your Billing Needs
Outsourcing to a trusted and reputable DME billing company, like Medbill, might be the ideal option for a growing company. As the company grows, more claims are processed, and you should reconcile with the bank more frequently.
Outsourcing is another ideal option if there is a concern for overworked staff. Outsourcing DME billing services ensure cash posting steps, like reconciliation, aren’t overlooked.
How Does Outsourcing Work?
During the Medbill DME cash posting services, we review your revenue cycle processes and look for ways to increase your income.
Some of the areas we address include:
- Address common problems
- Compare and reconcile payments with your records and the bank
- Make sure your billing and coding regulations are up-to-date
- Review your revenue cycle for areas of improvements
- Ways to streamline your procedures
The Medbill Advantage
The Medbill team can address possible issues in your revenue cycle and resolve them to increase your income. In addition, we will work with you to guarantee you are getting the maximum revenue from the most streamlined and efficient processes possible.
Contact us to learn about how we can help you.