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5 benefits of outsourcing medical bookkeeping and payroll services

Bookkeeping and payroll are common challenges for doctors and practice managers. Outsourcing key accounting tasks can help your practice thrive.

Sunday, 19 May 2024

Bookkeeping and payroll are common challenges among doctors and practice managers. Outsourcing key accounting tasks can alleviate the administrative burden and improve operational efficiency. 

Bookkeeping and payroll are critical business functions integral to your practice’s operational success. However, they can be time-consuming and overwhelming for doctors and practice managers who juggle countless daily tasks. 

Outsourcing your medical bookkeeping and payroll can provide invaluable support to your practice. It can help you streamline processes, reduce administrative costs, and mitigate the risk of non-compliance, meaning you can free up time to focus on what’s important: patient care. 

5 benefits of outsourcing bookkeeping and payroll services 

Below are five benefits of outsourcing your medical bookkeeping and payroll to experts.

1. Mitigate risk and remain compliant  

The healthcare industry is highly regulated and has complex requirements regarding ATO, taxation, billing, record-keeping, and compliance. Discrepancies could expose your practice to financial and legal risks. 

Doctors and practice managers are not bookkeeping and payroll specialists, so handling important financial tasks in-house can be risky. Enlisting the expertise of a medical bookkeeper and payroll specialist will help your practice remain compliant. 

Medical bookkeeping experts understand ATO, BAS, PAYG, Single Touch Payroll (STP) and payroll tax compliance requirements. They can handle key bookkeeping tasks such as recording financial transactions, reconciling accounts, managing accounts receivable and preparing financial reports and statements, lodging STP and superannuation, and more.  

When it comes to payroll, there isn’t room for error. Expert medical bookkeepers can complete complex payroll tasks such as calculating Long Service Leave Entitlements and managing payments under the Fair Work Award. 

2. Streamline processes  

Bookkeeping and payroll tasks can be time-consuming and labour-intensive, especially when relying on manual processes (like Excel spreadsheets) and non-integrated software.  

Manual processes are also error-prone and may increase the likelihood of financial inaccuracies and discrepancies that could put your practice at risk of non-compliance. 

Experts in medical accounting and finance can streamline complex financial processes. They have hands-on experience managing financial tasks for medical practices so can work quickly and efficiently to complete tasks. 

You should find an expert bookkeeper with experience using your medical practice software systems such as Genie, Best Practice, Medical Director, Gentu, Xestro and Clinic to Cloud, and the ability to work between those systems and cloud-based accounting software like Xero and MYOB. 

By centralising all your financial data, you will have better visibility of your financial records and business information and the ability to manage resources more efficiently. 

3. Reduce admin time and spend  

Clunky and unprofessional bookkeeping processes may be hindering your practice’s efficiency. You may be spending unnecessary time and money training internal employees on complicated bookkeeping and payroll tasks without the assurance they will be completed correctly. 

Leveraging the expertise of BAS-accredited bookkeeping and payroll specialists means you don’t need to spend money on training, tools and software and can ensure financial obligations are completed accurately and on time. 

Simplifying bookkeeping and payroll will reduce administrative overhead costs and give you and your practice manager time back in the day. 

4. Empower confident decision-making 

Expert medical bookkeepers understand that it’s important for practice owners and managers to access accurate financial information, such as revenue and expenses, profit and loss statements, financial ratios and KPIs, and budget and forecasting reports.  

Therefore, they ensure your important financial information is organised and secure, ready for tax time and auditing. 

Having up-to-date, accurate records at your fingertips will empower you to analyse the financial health of your practice and make quick business decisions with confidence.

5. Ensure business continuity  

The biggest impact you can make on your practice is your ability to generate revenue from medical activities. It is more profitable for you as a doctor to see patients than to do admin work, so removing the admin burden by outsourcing is smart. 

For example, if your payroll is completed in-house and the person responsible is on leave, your staff will not get paid, so it will be up to you to figure out a solution. 

When you outsource payroll, this scenario won’t occur. You will be given the space to breathe and focus on patient care, which is necessary for the growth and success of your practice. 

Avant Practice Solutions provides a comprehensive medical bookkeeping and payroll service. Whether you’re a single doctor or a large practice, our qualified bookkeeping specialists can handle critical financial tasks to enable your practice to thrive. 

To find out how Avant Practice Solutions can benefit your practice, book a meeting for a 15-minute chat with our qualified team.  

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