Prepayments from patient can be entered as unallocated amounts then later allocated to providers. Prepayments themselves are not allocated to providers or procedures. Prepayments are reported in the Unearned Income Report.
Enter a Prepayment
- In the Account toolbar, click Payment.
- If using Clinics, make sure a clinic is assigned. The default clinic is determined by the setting in Account Module Preferences for 'Payments Use Patient Clinic'.
- For Amount, enter the total prepayment.
- Select the Payment Type. Options can be customized in Definitions, Payment Types.
- If a credit card charge, click X-Charge or PayConnect to process the payment.
- Click Prepay on the Payment window to complete the payment entry and create one pay split (unearned type = prepayment) for the total prepayment amount.
The payment will show as a 'credit' line item in the Patient Account ledger. The total unallocated amount will show under Unearned in the top aging bar.
Note: By default, pay splits for prepayments are assigned the 'Default unearned type for unallocated paysplits' that is set in Account Module Preferences. To create other unearned types, see Definitions, PaySplit Unearned Types. 'Prepayment' is always an option.
Allocate a Prepayment
Once treatment has been completed, you can allocate payments to procedures and providers.
- In the Account module, select the procedure(s) to attach to the payment, then click the Payment dropdown, Allocate Unearned.
Or, do not select procedures and click the Payment dropdown, Allocate Unearned. All completed procedures that are not yet paid off will list.
You have these three credit filter options:
- Include all credits (FIFO): Show all procedures that are not 'paid off' using first in/first out logic. This logic applies when credits in a payment are not explicitly attached/allocated to procedures.
- Only include credits explicitly attached: Show all procedures that do not have enough attached credits (e.g. pay splits, adjustments) to cover the full cost of the procedure (e.g. procedures that have attached pay splits that only cover part of the cost)
- Exclude all credits: Show all procedures on this patient's account.
Highlight the procedure(s) to attach to the payment, then click OK.
- The Payment window will open.
Pay splits for the selected procedures and unallocated amount will be auto-created, offsetting each other to equal 0.
The payment type will equal 'None' (indicating this is a transfer of income only).
- Click OK to save and close.
Viewing Prepayment Allocations
On the original prepayment, you can quickly view when and how much of the payment has been allocated.
- Double click the prepayment.
- Click the Allocated tab above in the Payment Splits grid.
For each allocation, the date, amount and patient list.