Four Accounting Buckets

Accounting Definition: An exchange of money for goods, services, or other property.

patientNOW Definition: Products and procedures provided to the patient. These products and procedures must be received in order to be Sales.

Accounting Definition: Compensation, discharge or performance of an obligation, or reimbursement, by giving over something that is of satisfactory value to its recipient, such as money.

patientNOW Definition: Real money in the door entered as a Payment on an invoice (e.g. Cash, Check, Credit Card). Example of something that is NOT a Payment = Credit Payment)

Accounting Definition: Accounts receivable is short-term amounts due from buyers to a seller who have purchased goods or services from the seller on credit.

patientNOW Definition: Invoice line items that have a balance due > $0.00. Note: the Invoice may have a $0.00 balance due, but one or more line items may have a balance due > $0.00.

Accounting Definition: Unearned income occurs when a company receives money before the money is earned. This is also referred to as deferred revenues or customer deposits.

patientNOW Definition: Invoice line items for which the patient has paid, but not received, or has overpaid. Note: the Invoice may have a $0.00 balance due, but one or more line items may show unearned income (e.g. balance due < $0.00).

patientNOW recognizes 4 types of Unearned Income: Gift Cards, Account Credits, Surgery Deposits, and Prepaid Packages.