Unearned / Prepayment

In the Account Module, at the upper right, is the Unearned Income balance.

Unearned income is usually a Prepayment. It's income from a Payment that is not allocated to a procedure or needs to be refunded. When a Payment Split's unearned type is set, the paysplit is considered unearned / prepayment. Once treatment is completed, the unearned income can be allocated to providers and procedures. See Allocate Unearned Income.

Prepay Button

In the Payment window, at the upper left, is a Prepay button. Before Clicking the Prepay Button, verify Clinic and Payment Type. Also, process any Credit Card Payment.

Click Prepay. One unallocated paysplit will be created for the total prepayment amount, and the window will immediately close.

Unearned Types

The default unearned type is Prepayment. Other types can be created in Definitions: PaySplit Unearned Types. There can be many unearned income types such as overpayments, credits, copays, etc. All Paysplits that have an unearned type are pooled together for the family and show as unearned income in the Account Module Aging area.

See Account Module Preferences:

Change a Paysplit's Unearned Type

Reopen the Payment. Double click the Paysplit at the lower left.

Use the Unearned Type dropdown to select a new unearned income type.

Assign a Provider (optional). Useful to pay providers on unearned income.

Click OK to save changes.

Showing in Account

The payment will show as a credit line item in the Account Module. The total unallocated amount will show under Unearned in the top aging bar.

When a patient has unearned income and a claim is created on the account, user will be prompted to allocate the unearned income to completed procedures.