Patient Transaction Screen – Discounts & Adjustments
Discounts can also be considered adjustments, though they need to be handled differently. Unlike traditional adjustments, discounts are very clean from an accounting standpoint. When you give a patient a discount, you are simply charging less for a service than your normal fees. You charge you normal fee, give the patient a credit equal to 5% or 10% of the charge, and the patient pays the rest.
When you enter discounts you have the option to either type in a dollar amount for the discount or to let MOGO calculate the discount percentage for you. Discounts are shown in the balance information area at the bottom of the patient Transaction screen in the Adj & Disc field. Discounts and Adjustments are listed separately on reports.
You will link the discount to lines of treatment. By doing this, you will be able to view the Distribution Detail window at any time to see both treatment and discounts.
Discount codes must be set up under the Category of Credit and the Type of Discount in your Service Codes. If the discount code is not set up correctly, it will not appear in the Adj & Disc field.
Adjustments are generally used to write off balances, usually bad debts. If you participate with managed care insurance plans, adjustments are also useful for writing off remaining balances after insurance payments. Always remember that your adjustment totals are essentially lost profit and that they reduce your net production.
Adjustment codes must set up in Service Codes under the Category of Adjustment and Type of Credit.
You can change Category and Type selections by editing in Service Codes.