1. Payment Processing
Chapter 26

2. Process a payment and post it to an invoice
Objective

3. Key Concepts Batched totals Weekly deposit Daily deposit Lock box
Auditing and control
Unapplied payment amounts
Tax identification number
Explanation of benefits
Balance bill
Key Concepts

4. Medical facilities receive payments in several ways:
Some patients pay for services at front desk
Can be full amount, copy or coinsurance
Some payments arrive in mail from patients, insurance, employers and other payers
Some payments are made electronically by insurance company
Payment Processing

5. Payments received at front desk typically are batched totaled for weekly deposit to bank depending on procedures of facility
Payments arriving in mail typically batch totaled for daily deposit to lock box at bank
Bank will make copies of checks and send copy to facility next business day which is faster access for facility
Medtrak Payment Batches screen records/tracks payment batches for facility-new batch record is added for each deposit made to bank-auditing and control is done by matching money in bank deposit by total of payments in batch
Payment entry staff access Billing menu from MedTrak Main Menu-On Billing Menu user clicks Payment Batches button to display Payment Batches screen for facility
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Payments

6. Displays only payment batches with unapplied payment amounts
Those batches with remaining balance will be applied to invoices or refunded to payer
Figure 26-1 Payment Batches Screen
Payment Batches

7. Payment Batches processor has the following options available:
Batch Type-payment batches can be displayed as:
Unsubmitted
Submitted
Approved
All
Payment Batches

8. Display Order-the view of the invoices can be sorted by:
Payment batch date
Payment batch number
Show all balances
Show only non-zero balances
Search
Some medical facilities separate payment processing functions for control purposes
One group of employees open checks, total them for bank deposit and record them in batches in Medtrak
The supervisor then reviews bank deposit compares to batch total in MedTrak
If amounts balance supervisor approves batch for application of payments to open invoices and bank deposit for delivery to bank
Then another group of employees applies payments to open invoices. Only approved payment batches can be applied to open invoices
Payment Batches

9. To add a new batch of payments click Add button
The Payment Batch; Add screen appears reflecting the following:
Batch Number
Date and Time
TIN (tax identification number)
Description
Batch Total
Figure Payment Batch: Add

10. Next screen is Payment Add screen for adding individual payments for the batch-Figure 26-3
Medtrak automatically sets Type of payment to Check(because most come in this form)
If payment is made another way payment entry staff use the Type of payment drop-down list to select other type of payment
For Source Type field Medtrak automatically sets field to Company-Use drop-down list to select type of payment source
The Pay INV # is important. To save time MedTrak allows payment entry staff to enter invoice number on his/her check or enclose and explanation of benefits (EOB) with check. Which explains what the payer is paying and why
Typically insurance companies do not pay full amount of line item
Adding A Payment

11. On individual payment screen record all info about payment:
Type of payment-check, cash, credit card etc..
Source Type-company, patient, private insurance, work comp, other payer
TIN-will automatically be filled in
Check #
Date of Check
Pay Inv #
Amount of Payment
Credit card info
After recording payment info click Submit button-next screen is Patient: Select screen-Figure 26-5
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Adding A Payment

12. Posting Payments To Line Items
This screen is broken down as follows:
The invoice info is in top frame in green
The payment info is in top frame in blue
The line item info is in bottom frame presents up to four line items on one screen
There are columns of numbers for each line item for the following: billed amount, total paid by all payments, total adjusted by all payments, amount paid by this payment, up to five adjustment, denial, and write-off codes/amounts, balance owed
Posting Payments To Line Items

13. Posting Payments To Line Items
Totals for entire invoice are at bottom
Buttons are used to do the following:
Submit payment
Paid in Full
Adjustment Codes
Line Item Log
Figure Payment: Add
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Posting Payments To Line Items

14. Posting Payments to Line Items
Figure 26-9 Payment: Add screen showing data
Figure Entity/Payers: Select screen
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Posting Payments to Line Items

15. Payment Posting Screen
Figure Payment Posting screen
Payment Posting Screen

16. Adjustment Codes Screen
Figure Adjustment Codes Screen
First five codes are standard that MedTrak uses for everyone. After DD code, the codes are specific to the facility:
BB-balance billing
RB-rebilling line item to next payer
CP-indicates amount next to code field is patient’s copay amount
CI-indicates amount next to code field is patient’s coinsurance amount
DD-indicates that amount next to code is applied to patient’s deductible
MedTrak is set up to accept 5 adjustment codes for each line item. Codes are not case sensitive.
Each payment posting screen only displays four line items on one screen
Adjustment Codes Screen

17. Adjustment Codes Screen
Page Up and Page Down buttons act just like Submit Payment button to move screen up/down
Figure Payment Posting screen showing Blue Cross payment(first screen)
Figure Payment Posting screen showing the Blue Cross payment(second screen)
Figure Payment Posting screen showing the invoice balance(third screen)
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Adjustment Codes Screen

18. Adjustment Codes Screen
Figure Batch Payments screen showing both payments Figure Payment Batches screen showing payment batch Do This! Pg. 336
Adjustment Codes Screen

19. Printing The Patient Statement For Mr. Baker
You will need to print and turn in your patient statement
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Printing The Patient Statement For Mr. Baker