finances Archives - Page 2 of 2

Fight for your money

Did you know that 30% of the insurance claims submitted for payment of medical services in the United States are denied and of that amount 15% are never resubmitted? According to Medicare, 40% of their claims denials are never resubmitted. These are daunting statistics. Experts state that 70-80% of appealed claims are eventually paid - That's a good reason to fight for your money! It may be time for you to audit your billing practices to make sure you aren't throwing money down the drain. Prepared by The Capko Team- Our missision is to make your practice shine! Sources: Healthcare Business Advisors, LLC, Albany, NY Centers for Mediare and Medicaid Services

By Judy Capko|2011-03-18T14:52:21-08:00March 17th, 2011|

Profit with a Clear View of Your Practice’s Competitive Landscape

Whether you're contemplating expanding your practice, starting a new practice, or simply wondering what your practice's profit potential might be, your profits depend on your understanding of local patient demographics. With a host of free online services available, it's easier and less expensive than ever to understand your area's demographics and how they might represent threats or opportunities. You need to know how well your area is being served by your practice-type! One very useful website is www.city-data.com that supplies wide-ranging demographic information on thousands of communities. Among the most telling information is the population and growth trends of your service area -- where your patients come from or nearby areas new patients could come from. Often service areas are defined by geographical barriers, valleys, rivers, etc.. When we work with medical practices, we find that compiling data from the various communities in their service area (and other areas of interest) in a spreadsheet is invaluable. First, we take note of these population demographics: total population, population growth, income and, naturally, any demographic segment particular to your type of practice, such as women, children or the elderly. Next, combine the separate community data so that you can have a single figure for "service area" for each demographic segment. Now that you've compiled data to define the demographics of your service area, you can compare how your service area compares to nearby or similar-sized areas anywhere in the country. Is there a relatively high, low or average number of your practice-type in your service area when compared to similar other regions? You'll need to employ your first-hand knowledge to help you define the "service areas" that compare to yours. Be mindful of population density, income and geography and you should be able to identify at least two competing service areas. You can plug these data from their respective communities into your spreadsheet to calculate the same measures you have for your service area. Now that you've become somewhat of an expert on the population, it's time to gather information on the physicians. You'll goal is to find the number of physicians (FTEs)

By Joe Capko|2022-01-01T22:52:56-08:00March 8th, 2011|

Rate Practice Performance

Does your practice know how well it is performing - and if not, why not? It's important for physicians and managers to examine performance each month by looking at specific Key Performance Indicators, KPIs. This will help you understand your position and is powerful in guiding decisions to improve performance. Medicine is a business and it's time to take this seriously. Here are a few basic KPIs to look at each month: Income and itemized expenses as a total percentage of income. This will tell you where the money goes. The highest expense is likely to be staffing costs. If this shows a jump it may be due to inefficiency that results in staff working overtime or adding another staff member to support the inefficiency. Then again it might be poor morale, resulting in lower productivity. Accounts receivable. The average A/R for physicians runs around 1.5 months of charges, if yours is more than 2 months it is important to examine billing procedures and find out what's causing the problem. Is it becomes someone is on vacation, the computer crashed, claims rejections or a lack of attention to aged accounts? Speaking of aged accounts if the amount 90 days aged of more is above 18% get more assertive with collection pursuit. Productivity reports are included in the month-end management reports typically produced by the practice manager and reveals the total charges, receipts and adjustments for the practice and should also compare each physician's individual production. Keep an eye on fluctuations that need to be explained. Sure, one docs charges will be down if on vacation or ill, but otherwise start looking for the cause. If adjustments are climbing, dig to be sure staff understands legitimate insurance adjustments and fights for your money when insurance plans make errors. Industry expert, Healthcare Business Advisors, states that 30% of claims in the US are denied and of that 15% are never resubmitted, despite the fact that 70-80% of appealed claims eventually get paid. Be proactive and get what you deserve! Missed appointments cost the practice plenty, so track them. More than one or two a day is not okay.

By Judy Capko|2011-03-08T12:36:41-08:00February 26th, 2011|

For better or for worse

The economy remains unpredictable. The outcome of health care reform is unknown and health care leaders keep on wondering what the future holds. Young physicians entering the market will proceed with caution when making a decision about their future. Employed physicians may sit on the sideline and watch the ball game, but if you are in private practice and entrenched in the community chances are you'll stick it out - for better or for worse. Take heart, there are steps you can take to make things better. Know your position. Examine practice finances; how well money is being managed in terms of improving revenue, controlling expenses and managing accounts receivable. Are you better off than you were this time last year? If not take strides to make a difference by setting financial goals and establishing methods to attain those goals. Embrace the future. Look at what's happening around you and the changes that are coming down the pike. Read, listen and explore the impact of these changes. Use this information to develop a strategic plan that positions you for the future. Identify what resources you need to accomplish this and turn to experts to help you out It's all about being prepared and responding sensibly. Act, don't react and you'll make better decisions for your future! Capko & Company, a leader in healthcare management and marketing consulting.

By Judy Capko|2022-01-01T22:52:57-08:00December 29th, 2010|

Our Mission

Our mission is to make your practice shine.Our vision to achieve this: 1) Support business principles that drive a medical practice's success.2) Offer management continuing education presentations, articles and books.3) Foster the value of job training and enrichment programs.4) Coach physicians and administrators in mastering their leadership skills.5) Be the go to person for practices that seek to be top performers.Judy Capko is one of America's leading practice management and marketing consultants and author of the runaway top-selling book Secrets of The Best-Run Practices now in its second edition. Check it out by clicking on the book icon at www.capko.com

By Judy Capko|2022-01-01T22:52:58-08:00May 26th, 2010|

Collections rule the day

It doesn't matter how busy you are if production doesn't turn to revenue - collections rule the day! Here's what you can do to keep the money flowing. First, establish solid financial policies. Put them in writing, communicate your expectations of staff, give them the training and the tools to succeed, and then hold them to the task. It can be done, but your success depends on you giving staff the support they need and paying them what they are worth.Next, review and analyze collection performance. It is wise for the manager and physician to review these reports together each month, compare performance to historical trends and look for hot spots that should be addressed.1. Unpaid claims 2. Aging reports3. Aging by payer class 4. Patient balance report 5. Payer performance reportsAnalysis of these reports should include several months with graphs to identify trends. The trends revealed help you understand how the practice is performing and determine if a change in procedures or policy might improve performance. These actions are essential steps to ensure you are getting paid for what you do. Contact Judy Capko, one of America's best known practice management consultants; www.capko.com

By Judy Capko|2022-01-01T22:52:59-08:00March 2nd, 2009|

Doctors: Dig for the gold

Doctors can increase revenue by as much as $100,000 by all but eliminating the missed appointments. Here's how....First, look at the historical scheduling patterns for the past 30 days to get the average number of no shows and double-booked appointments. If it's more than 2 a day your scheduling is out of control and you are losing money. It's time to look at scheduling parameters; the amount of time allocated on the schedule for different patient types.Second, abandon the typical "everybody gets 15 minutes" because it isn't realistic and it isn't happening. All things aren't equal so schedule based on patient types and consider shifting to 10 minute increments to allow more flexibility. I call it the "Go-Ten" scheduling system and it works! Scheduling 10 minutes for follow-ups, 20 minutes for chronic or more complicated patients, 30 minutes for new patients and pre-ops, and 40 minutes for annual physicals is a perfect example - but you decide what works for your practice based on your patients.3rd, honor the schedule - start on time and stay on time! And if you don't want patients to make last minute cancellations you must do the same. Once you get this wired down you can start training everyone to value the appointment.4th, script out language for staff to tell the patients how important the appointment is. "Doctor is dedicating this time just for you" or "We expect you to be here on time." These are strong messages that get the patient's attention.Finally, set up an automated appointment reminder system that confirms appointments 48 hours in advance. It's a great return on investment.Enjoy the results; more compliant patients, getting out of the office on time and a bump in practice revenue!Contact Judy Capko, one of America's best known practice management consultants: www.capko.com

By Judy Capko|2011-03-13T12:21:33-08:00November 26th, 2008|

Six ways to make 2009 a better year

Not enough, not enough money and too many demands. I've been hearing a lot of this from physicians and administrators who are worried about the future of the practice and wondering how in the heck they can make things better. If you want 2009 to get better quit singing the blues. Here's a few things you can do to make a difference.Have a plan! Start by looking at the numbers to see how well your practice performed in 2008 in comparison to the prior year. Are your charges up or down? Is your accounts receivable stable? How about your profit - are you taking more or less home this year? If trends are out of norm ,you had better start digging deeper to get to the cause and the fix. Once you have the numbers in hand, set realistic performance goals for 2009. If reimbursement is expected to be about the same, increasing production means seeing more patients or providing more services. If your goal is to take home a bigger piece of the pie look for ways shrink some of those expenses by managing operations better and giving staff the tools and motivation to be more productive.Develop a Quality Plan that reduces errors and improves outcomes throughout the office. This plan should include setting performance expectations for each position. Hold staff accountable to specific standards that are measurable and can be monitored. Attract more patients. Look for ways to expand your referral base from within the practice. Start by taking a critical look at your website, make it a marketing tool and a customer service tool. Spotlight your services and the benefits of choosing your practice. Develop a patient portal that makes it convenient for patients to check lab results, request prescription referrals and even make appointments.Get every patient's cell phone number and e mail address. This will enable you to reach them with ease and communicate better. The age of technology is here and e mail can move information at the speed of light, saving lots of time and eliminating "telephone madness" in your office.Embrace technology - make

By Judy Capko|2022-01-01T22:53:00-08:00November 24th, 2008|