Monthly Billing Cycle

Purpose: 

To ensure accurate and efficient client billing.

Measurement:

  1. 100% of invoices are mailed to clients by the 3rd business day of each month for the charges of the preceding month.

Process:

Timeline

Detail – Each step must be completed by the indicated day and timeline to ensure invoices are sent at the proper time.

DAY 1: Administrator Review

  • All billable expenses must be entered in ClearCare by 12:00 PM
  • Administrator / Office Manager reviews all billable services in ClearCare to confirm accuracy and makes any necessary modifications by 2:00 PM
  • If for any reason, the 2pm deadline cannot be achieved, Administrator / OM must notify Director for support before 2:00 PM
  • Administrator / OM emails Billing Specialist (and cc’s Director) when he / she has completed the review; no further changes can happen from the office after this communication has occurred

DAY 2: Billing Specialist Review

  • Billing Specialist reviews and verifies Administrator / OM completion of task finalization
  • If any charges are not finalized, Billing Specialist must communicate with Administrator / OM
  • Administrator / OM to correct any outstanding charges 
  • Billing Specialist confirms all charges are finalized

DAY 3: Invoices Mailed & Overdue Balance Notifications Mailed

  1. Billing Specialist runs Discharge Report for prior month to include discharge date and service deposit total
  2. Billing Specialist sends Director discharge report with service deposits to approve all service deposits to be applied and refunded
  3. Service deposits for discharged clients are applied to final invoice
  4. Billing Specialist runs Aging Report to identify any “Unapplied Payments”
    • If there are any unapplied payments to outstanding charges,  apply to overdue invoices
    • If there are any credit balances for 3+ months, work with Operations to identify if a refund needs to be completed (is client discharged, etc.)
  5. Billing specialists will run Aging Report and follow overdue payment process below
  6. Billing specialist will review Aging Report and apply any “Unapplied Payments” to outstanding balances
  7. Invoices are Emailed / Mailed to client’s payers


Overdue Payment Process:

  • 1 Days Overdue – 
    • Billing Specialist will call all clients who have not paid notifying client payment has not been received
  • 15 Days Overdue – 
    • If payment has not been received 15 days following the invoice due date, Billing Specialist will notify Chief Operating Officer
    • COO will validate that termination notice letter should be sent
    • Per COO direction, Billing Specialist will send Account Past Due - 15 Days Overdue notice letter (on behalf of the Administrator,) indicating if balance is not paid in 30 days, Recover Care will suspend or terminate services until account is paid in full.
  • 35 Days Overdue – 
    • If payment has not been received 35 days following the invoice due date, Billing Specialist will notify Chief Operating Officer
    • COO will validate that service termination final warning should be sent
    • Per COO direction, Billing Specialist will send Account Past Due - 35 Days Overdue notice letter (on behalf of the COO,) indicating Recover Care will be terminating services in 10 days if payment not recieved
  • 45 Days Overdue – 
    • If payment has not been received 45 days following the invoice due date, service will be terminated  immediately.
    • Per COO direction, Billing Specialist will send Account Past Due - Termination of Services notice letter (on behalf of the COO,) indicating Recover Care will be terminating services immediately

DAY 4: Run Credit Card Payments and Issue Refunds

  1. Credit card payments are processed
  2. Remaining service deposit balance reimbursed to client
    • Credit Card deposits refunded on credit card 
    • Check deposits refunded by check. Above Director approval of service deposits serves as check approval for Accounts Payable.