Accounting Services + Bookkeeping For Doctors

Doctors, therapists and other medical professionals spend years learning how to help patients recover and live a healthy life. Running payroll, planning for tax season, and handling complex transactions were likely not part of that training.

The CPAs at Lowden Financial bring years of industry-specific experience to your practice, and we can help you with outsourced bookkeeping, accounting services, and even fractional CFO support. We allow you to focus on growing and maintaining your practice without worrying about recordkeeping and financial reporting.

Our Accounting and Bookkeeping Services For Doctors

Let us handle the bookkeeping tasks while you and your administrative staff focus on healing and helping patients. Our CPAs provide the highest level of insight, assurance, and accuracy, and whether you need monthly closing of your books, customized financial statements and reports, or a full budget analysis, we are happy to help.

One of the primary monthly tasks we handle is the reconciliation of bank accounts. This involves matching your practice's financial records with bank statements to ensure every transaction is accounted for, a process crucial for detecting discrepancies or irregularities. We want you to know exactly what your cash flow looks like at all times, and this process helps.

If you are on an accrual accounting method, our CPAs can also track and manage accounts receivable and payable. We monitor funds owed to the practice by insurance companies, ensuring timely billing and follow-up on outstanding accounts. For accounts payable, we oversee the timely payment of bills and expenses, ranging from supplier invoices to utility payments, thus avoiding late fees and making sure you aren't accidentally tracking more profit than you should be. Along those lines, we can help you understand the difference between accrual and cash basis accounting, so you can make an informed decision regarding which method to use.

Payroll processing is another significant monthly duty. Our CPAs accurately calculate salaries, benefits, and deductions for staff to ensure compliance with tax laws and employment regulations. We also handle payroll tax filings and deposits.

Each quarter, we can prepare and review financial statements, including the balance sheet, income statement, and cash flow statement. Our analysis helps identify trends, cost-saving opportunities, and areas needing improvement. We can also monitor insurance contracts and reimbursements for you - we want to make sure your practice is reimbursed correctly and promptly for services rendered.

Does Your Medical Practice Really Need Bookkeeping?

Yes, you need to invest in professional bookkeeping and accounting services at your medical clinic or healthcare institution. While it's more expensive on its face than simply using a DIY software platform, the return is worth it. Our small business bookkeepers are experts at what they do, and we can help you run a tight ship.

Our Bookkeepers Optimize Quickbooks for You

We are experts at setting up Quickbooks for clients, importing your "stone age" spreadsheets or other data sources, and automating reports and useful information for you. We can integrate with your business bank account, payroll and other software, and we will make sure you have all of the financial information you need, right at your fingertips.

We Provide the Highest Level of Assurance

Truthfully, bookkeeping tasks are probably not even being done at your medical practice. You might be paying your quarterly taxes, but you likely have no idea how much extra tax you are paying, what opportunities you might be missing, or what your long term financial outlook should be. Our regular analysis of cash flow, bank and credit card statements, and general ledger account information will help you make informed decisions and learn how you can grow your medical practice.

Help With Expense Management

Expense management requires meticulous recording, categorization, and analysis of all outgoing funds. We work to ensure that every transaction aligns with your practice's budget and financial policies, and we audit receipts and invoices, verify expenditures, and maintain up-to-date records. We often use digital tools to streamline our processes and provide real-time expense tracking and reporting. This service also involves advising on cost-saving opportunities and budget optimization.

Are You Up To Date With Accounts Receivable?

Believe it or not, some medical practices do not collect all of the necessary information from a patient up front, like a social security number and insurance information. As you can imagine, this leads to significant delays when the practice tries to get paid. Doctors also need to get an Assignment of Benefits, known as an AOB, from the beginning as well -- this way, insurance payments are paid directly to the office immediately.

Our CPAs can identify delays in AR and point you in the right direction. For example, software like Kareo or Athenahealth helps in accurately coding services, automating claim submissions, and tracking the status of reimbursements. These tools reduce the likelihood of errors and omissions that can lead to claim rejections or delays. We can also show you where to find valuable analytics and insights in your billing process.

Benefits of Customized Financial Reports For Medical Practices

Customized financial statements might include detailed analyses of patient billing, insurance reimbursements, operational expenses, and equipment costs, inventory management, and more. For example, a customized income statement could highlight the profitability of different services, like general consultations versus specialized treatments. A cash flow statement, as another example, can track the timing of insurance payouts. This can help medical practitioners make good decisions about resource allocation, identify ways to save money, optimize revenue streams, and ensure compliance.

We Take the Guesswork Out of Profit Distribution

If there are partners at your medical practice or medical facility, you can reduce tension and questions by outsourcing profit distributions to our experienced team of CPAs.

One common method is equal distribution, where profits are shared equally among all partners. Alternatively, profits can be distributed based on ownership percentages, reflecting each partner's investment in the practice. This is common for S Corps and businesses where there are shares in the company. Another approach is distribution based on productivity, where profits are allocated in proportion to the revenue each physician generates. This is also common in law firms, and it can incentivize partners to produce more while also freeing up partners to scale back their workload without feeling like they are siphoning profits off from more deserving colleagues. Our accounting services for doctors can help make that decision clear, or maintain the books during distribution periods.

Full Service Bookkeeping, Accounting and CFO Services For Medical Practices

Whether you are a local medical practice needing help with the books, or a larger healthcare system that could use the support of a fractional CFO, contact Lowden Financial. We would be happy to schedule a free consultation at your earliest convenience.

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