Post Service Claims and Payments to General Ledger

Submitted by admin on Tue, 05/04/2021 - 15:37
Policy: 

After successfully submitting a valid service claim file, the <<Staff Title>> reconciles the recently submitted claim to the Accounts Receivable balance in the billing sub-system. The <<Staff Title>> updates the Billing Control form with the applicable Accounts Receivable values and creates a journal entry template. 

After reviewing the journal entry template and researching and resolving any discrepancies, the F/EA Accountant posts applicable entries to the General Ledger. A reconciliation process is performed monthly and is reviewed by the F/EA Accountant and <<Staff Title>> (See Policy and Procedure).
 
After receiving a payment for a previously submitted claim, <<Staff Title>> applies the payment to open claims in the Billing System and tracks denied claims. The <<Staff Title>> updates the Billing Control form and reconciles the payment to the Accounts Receivable balance in the billing system. The <<Staff Title>> creates a journal entry template.
 
After reviewing the journal entry template and researching and resolving any discrepancies, the F/EA Accountant posts applicable entries to the General Ledger. A reconciliation process is performed monthly and is reviewed by the F/EA Accountant and <<Staff Title>> (See Policy and Procedure 2.15).
Procedure: 

Post Service Billing to General Ledger

Performed Monthly
Account <<99999>>
  1. <<Insert Process>>

Post Accruals to General Ledger

Performed Monthly
Account <<99999>>
  1. An accrual is the amount that has been put on hold, meaning it has not yet been submitted as a claim to the Program, but must be counted in Accounts Receivable
  2. <<Insert Process>>
 
Post Payments to General Ledger
Performed Monthly
Account <<99999>>
 

<<Insert Process>>

Internal Controls: 

The internal controls used by F/EA to monitor this process establish responsibility, segregate duties, document procedures and ensure independent internal verification.

  1. <<Staff Title>> reconciles supporting documents to ensure billing is submitted appropriately and payments are applied to claims appropriately.
  2. <<Staff Title>> creates journal entry templates.
    • Each journal entry template is used as a control document.
    • Each reconciliation document is prenumbered
    • <<Staff Title>> signs and dates verifying accuracy
  3. F/EA Accountant reviews supporting documents and journal entry template for completeness and mathematical accuracy.
    • F/EA Accountant signs and dates journal entry template.
  4. <<Staff Title>> reviews supporting documents and journal entry template for completeness and mathematical accuracy.
    • <<Staff Title>> signs and dates journal entry template.
  5. F/EA Accountant posts journal entries.
  6. F/EA Accountant reconciles General Ledger to appropriate supporting documents at year-end.
  7. F/EA Accountant produces reconciliation documents, verifies, signs and dates.
  8. <<Staff Title>> reviews, verifies, signs and dates reconciliation documents