How to Prepare Your Bank Deposit
Do you, the doctor, balance your own bank statement each month, or do you have a bookkeeper or accountant who completes this task? It is always a challenge to balance your practice management’s total collections for the month to your bank statement and/or P&L. Typically, your accountant extrapolates the income line on the P&L from your bank statement, and 9 times out of 10 this will not match your software’s deposits. Have you ever wondered why not? Let’s review how deposits should be handled to assist in the process of balancing the P&L or bank statements to your practice’s software.
Electronic Transfer of Funds
With many of the ETFs, in order to create an Explanation of Benefits (EOB) your business team must manually print the EOB from the emailed report sent from the insurance company. This takes time and supplies. Should you feel that the timeliness of the deposit to your bank account outweighs the importance of reconciling your bank statement and preparing an accurate daily deposit, then at least make sure that payments are posted daily to patient accounts.
When to Prepare Deposits
When does your business team actually take the deposit to your bank? This depends on the hour that your bank closes. If your business team can balance and prepare the deposit and take it to the bank at the end of the day, that is just fine. If you take it daily, that is fine too. Some offices take it to the bank the next morning. Whichever option you choose, be consistent. If the deposit is made the next morning, it will have that date on the bank statement, even though the deposit is actually from the previous day in your computer. Same if the deposit is made the same day.
The Daily Deposit
When the deposit is presented to the bank teller, a receipt is given back. This receipt should be attached to the “yellow” carbonless copy of the prepared deposit in your deposit book in the office. Do not remove both copies when the deposit slip is prepared, only the original that is added with the cash and checks.
The second deposit report illustrates the total credit card payments and should also balance with all the signed receipts from the patients in the office, any telephone receipts generated and made by mail AND the close-out of the credit card machines. If you have more than one credit card machine, each machine must be closed out and the totals of the machines reconciled to the second report. This is very important. All of the receipts and credit card machine close-outs should be attached to the report showing that it all balances. If it does not, something is wrong. Fix it ASAP!
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