In situations where you would like to write off a balance that a client owes and you do not want to collect or if you have sent the account to a collection agency, your team will want to follow the below steps:
Navigate to the patient’s invoice screen (patient does not need to be checked in)
Click +New Invoice at the top of the Invoices column
Enter the Reason for Invoice and select Provider
Add a line item for the write off. If your hospital does not have a product titled ‘Write Off,’ you may use a miscellaneous product and rename it ‘Write Off.’
Set the price for the write off product as a negative value in the amount you are writing off. If there was more than one provider on the previous invoice, you can add more than one write-off line item with each provider’s total.
Navigate to the Payment Panel and issue a refund on the current invoice using Payment Type ‘Refund’ and Payment Method ‘Other’ for the negative invoice balance. It is always best to record payment notes explaining the situation (we recommend including the invoice ID)
From the Payments panel, select the previous visit invoice from the drop down
Apply a payment to this visit using Payment Type “Payment” and Payment Method “Other” for the amount of the refund just processed on the adjustment invoice and make a note regarding the write-off adjustment
Close the invoice. The account balance should now be $0
💡 The Write-Off product used in this workflow must be a commissionable product to ensure that commission is appropriately accounted for in reporting following the write-off.