Mystery of Closer Donna Magnuson A/R Consultant

1. Mystery of CloserDonna MagnusonA/R Consultant

2. Agenda • Why should I close? • Closing Transactions • Pre-closing Process • Closing • Review of the Reports • Duplicating the Numbers

3. Why Should I Close • The moment you click the OK button in Closer, closing looks at your entire database, calculates the totals for the closing reports, and locks transactions into a period (this doesn’t mean you can’t make changes to charges or credits) • The data is written to separate period_close tables in the database that never change • The numbers will make your accountant smile

4. Why Should I Close If you don’t close, you are always chasing a moving target • Adjustment periods don’t exist, each period gets updated as the transactions change • You can never go back in time and run a report to match a previously run report. The data always changes

5. Mystery of Closer Closing Transactions

6. Closing Transactions Charges use TRIP DATE • RN assigns Charges to the period of the TRIP DATE unless the period is closed • If the period of the TRIP DATE is closed then RN assigns the charges to the next open period and is reflected as a Charge Adjustment

7. Closing Transactions For example, if you are closing 201104……. • All charges with a trip date of 04/01/2011 through 04/30/2011 will be included as a Charge in Period • All charges that have been added or deleted for trips prior to 04/01/2011 will be included as a Charge Adjustment

8. Mystery of Closer Let’s look at some Charge examples

9. Closing Transactions The Last Period Closed and the next period To Close is shown in the Closing Companies screen within closer 201104 is the current open period

10. Closing Transactions Scenario 1 – Mileage Charge was modified 3 months after the trip date Post Date = 7/15/2011, Trip = 4/8/2011, Open period = 201104 Period assigned 201104

11. Closing Transactions Even though the mileage was modified on 7/15/2011, because the 201104 period was still open, the period assigned is 201104

12. Closing Transactions • When you close 201104, both the base rate and mileage will be included in the Charges in Period on the Closing reports

13. Closing Transactions Scenario 2 – Charges were added to a trip 4 months after, but the trip period was already closed Post Date = 7/15/2011, Trip = 3/28/2011, Open period = 201104 The system can’t apply these charges to the period 201103 because it is already closed, therefore the Adjustment period of 201104 gets assigned

14. Closing Transactions • When you close 201104, both the base rate and mileage will be included in the Charge Adjustments on the Closing reports

15. Closing Transactions Scenario 3 – Charge Adjustment A0427 applied when the period 201103 was open, A0427 was deleted and A0433 was added after 201103 was closed Post Date = 7/15/2011, Trip = 3/24/2011, Open period = 201104 Both the reversal of A0427 and the new charge A0433 are assigned the adjustment period of 201104

16. Closing Transactions • When you close 201104….. • A negative -700.00 will be included as Charge Adjustment • A positive $500.00 will be included as a Charge Adjustment The net amount of -200.00 will be reflected in the Charge Adjustment total and account receivable

17. Closing Transactions Credits use DEPOSIT DATE • RN assigns Credits to the period of the DEPOSIT DATE unless the period is closed • If the period of the DEPOSIT DATE is closed then RN assigns the credits to the next open period and is reflected as a Credit Adjustment

18. Closing Transactions For example, if you are closing 201104……. • All credits with a deposit date of 04/01/2011 through 04/30/2011 will be included as a Credit in Period • All credits that have been added or deleted for deposit dates prior to 04/01/2011 will be included as a Credit Adjustment

19. Closing Transactions Scenario 1 – payments were added with a deposit date within the current open period Post Date = 7/15/2011, Deposit Date= 4/28/2011, Open period = 201104 Period assigned 201104 Check Date does not matter, only for reference

20. Closing Transactions • When you close 201104, both the payments will be included in the Credits in Period on the Closing reports

21. Closing Transactions Scenario 2 – credits were added with a deposit date of a closer period Post Date = 7/15/2011, Deposit Date= 3/15/2011, Open period = 201104 201103 is closed, since the system can’t place transactions in a closed period, it assigns it as an adjustment to the next open period Period assigned Adj201104

22. Closing Transactions • When you close 201104, both the payments will be included in the Credits Adjustments totalon the Closing reports

23. Closing Transactions Scenario 3 – Credit Adjustment Original payment posted on 1/19/2011, deleted on 7/15/2011 and reposted with the same deposit date Even though the payment was posted with the same deposit date, the original period can’t be re-assigned. The reversal and new payment is assigned an Adj period. The net for the new period is $0

24. Closing Transactions If you run a report for the credit adjustment period (-201104) , you won’t see the transactions, the net affect is $0.00.

25. Closing Transactions To keep the integrity of original payments posted intact is not recommended that you delete payments. However, there are times when you need to reverse the payment so you can bill another carrier. The following is recommended;

26. Closing Transactions • Create a credit called Payment Reversal • Make sure the “Type” and “Credit As” show as a Refund • Post 1 Payment Reversal for the full amount of the payment (base rate + mileage) and post a total (-) amount in the coinsurance

27. Closing Transactions • The refund will put the $298.47 balance back on the account • Change the primary payor and bill the insurance • Delete the Payment Reversal • ** Run a credit report at the end of the month for all Payment Reversals, amount should be 0.00

28. Mystery of Closer Steps to Closing

29. Mystery of Closer Following these steps will help you balance reports in the future and make the numbers meaningful

30. Steps to Closing All trips must be completed or cancelled This screen will appear when closing if there are unresolved Open trips

31. Steps to Closing • If you don’t have charges default, make sure that all trips have charges assigned • If you have multiple Companies and have Profit Centers defined, make sure all trips have the correct Company and Profit Center • All payments with the current month’s deposit date are entered with the corresponding date • It is recommended that you close when no one is actively working accounts

32. Mystery of Closer How to check this…..

33. Steps to Closing • Set up a workflow • Status=exclude all cancelled

34. Steps to Closing • Run the workflow, only include the current month’s trip dates i.e. if closing Jun 2011, set trip dates 06/01/2011 to 06/30/2011 • Make sure the columns are visible; Profit Center, Company, Charges, and Status

35. Steps to Closing If the monthly trips will exceed 1,000 check this box so you get all of the trips for a month

36. Steps to Closing

37. Steps to Closing • Sort the workflow by Company – identify all trips that have a Company of <None> • Sort the workflow by Profit Center – identify all trips that have a Profit Center of <None>\ • Sort the workflow by Status – identify all trips that have a dispatch status other than cancelled, i.e. Open, Assigned, Net transit, etc. • Sort the workflow by Charges – identify all trips that have $0 charges

38. Steps to Closing Payments Post payments to balance to your bank statement • Post Payments with the corresponding bank deposit date • Either account for all payments i.e. interest, collection payments, etc. in the system and/or on a separate spreadsheet • Insurance Take backs need to be represented as a Refund not a (-) payment. RescueNet forms and ecm’s don’t respect (-) payments. • If you use the Payment Reversal, run a credit report and make sure you don’t have any trips that you forgot to delete the credit.

39. Steps to Closing Bank RN

40. Mystery of Closing I’m Ready to Close

41. Closing Go to Administration>Advanced>Run Process

42. Closing Select Close Account Period

43. Closing Shows Last Period Closed Shows Next Period to Close

44. Steps to Closing • If you have never closed, you have to start with the first period for each company and close • You don’t have to print the reports. Unselect the checkboxes • If you have a PDF printer installed, select it as the default and the reports can be saved to PDF • You can close multiple companies at once • Click the “Select All” button • Click on the “Ctrl” key and with your mouse, select the trips you want to close • Highlight the first company, click on the “Shift” key and select the last company which will highlight all companies in between

45. Closing Once companies and reports are selected, Click on Close Period

46. Closing A confirmation box will appear, select OK

47. Closing Depending upon the amount of data, the closing process can take anywhere from 5 minutes to over an hour

48. Mystery of Closer Closing Reports

49. Review of Reports Closing Balance Summary • This report shows the changes in your financial situation since the last closed period. Here’s the formula: • Previous Balance (AR). The previous Closing’s Balance Forward. • + Charges in Period. Charges that are posted to trips with a trip date in the accounting period you are closing. • – Credits in Period. Credits posted with a deposit date in the accounting period you are closing. • + Charge Adjustments. Charges posted to trips during this accounting period belonging to a previously closed accounting period. • – Credit Adjustments. Credits posted with a deposit date belonging to a previously closed accounting period. • __________________________________________________ • =New Balance Forward (AR).

50. Review of Reports The Payor Aging report’s Grand Total is the number that everything should balance to. The system balances the Total from the Closing Balance Summary (Charges-Credits+ChargeAdj-Credit Adj) to the Closing Payor Aging report’s Grand Total. If there is a discrepancy, a Miscellaneous Adjustment appears on the Closing Balance Summary.