Many membership practices offer services beyond the core membership: additional screenings, wellness programs, supplements, or other offerings. They can increase revenue per member, and they can also blur your numbers if they are not tracked separately.
How add-on services may be priced, offered, and billed depends on your affiliation agreement, payer rules, and applicable regulations. Before launching or changing a service, review it with your healthcare attorney or compliance advisor. The bookkeeping job is to reflect what was agreed, consistently, as discussed in keeping membership and insurance revenue separate.
Track each add-on in a separate income account, with its direct costs in matching cost accounts. That lets you see revenue, cost, and margin for each service. A service that sells well but carries high costs may add little profit.
For each service, subtract direct costs such as supplies, lab fees, and staff time from the price. Staff time is the one most often forgotten, and it matters in a small team, as we discuss in staffing a membership practice.
A popular add-on that consumes staff time can strain service to the core membership. Track utilization and make sure you are not trading your best service for incremental revenue.
Retire services that do not earn their keep, and adjust pricing as costs change. Compare results with the assumptions in four myths about concierge profitability.
Review compliance, track each service separately, calculate margin including staff time, watch capacity, and review annually.
911 Bookkeepers works with cash-pay and membership-based medical practices across the Baton Rouge metro and surrounding parishes, separating and tracking add-on services so owners know what they add.
MDVIP is a trademark of its respective owner. 911 Bookkeepers is an independent bookkeeping firm and is not affiliated with or endorsed by MDVIP. Nothing here is legal, tax, or compliance advice; confirm specifics with your own CPA, attorney, and affiliation agreement.
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