Setting Up of Bad Debt Transaction Codes

File Maintenance Help for NextGen® Enterprise 8

Setting up of Payer-Level Default Bad Debt Transaction Codes

You can set payer-level bad debt transaction codes to be used as the default codes when insurance payments are processed for bad debt encounters. To set the default transaction codes for encounters with Bad Debt status, perform the following steps: If you want to set the transaction code as the default used for payments or adjustments, open the Payers master file. Do one of the following: For the main payer, select the Practice > Transactions. For the alternate payer, select the Alt Payer tab. In the Default Payment for Bad Debt and Default Adjustment for Bad Debt fields, select the default transaction codes to use for ERA and manual transaction entry when the encounter is in Bad Debt status. These fields list the codes designated in the Transaction Codes master file as Third Party and Bad Debt Only. Open the Transactions Practice Preferences, and then select the Use payer default bad debt tran codes check box to enable the use of the default transaction codes set up in the Payers mast

File Maintenance Help for NextGen® Enterprise 8

Bad Debt Transaction Codes and the ERA Process

The ERA process can use the default bad debt transaction codes from the Payers master file for auto-posted transactions for bad debt encounters. If the Remittance Profile posting rules allow posting to bad debt encounters, the ERA process uses these default codes to generate the payment. Note: If a reason code associated with a transaction has a specific transaction code set in the Reason Codes library, then the bad debt transaction ignores the transaction associated with the reason code. To allow the ERA process to use the default transaction codes, perform the following steps: Open the Remittance Profiles library. Under Posting Rules, make sure the Do not post to encounters in Bad Debt option is not selected. Parent topic: Setting Up of Bad Debt Transaction Codes

File Maintenance Help for NextGen® Enterprise 8

Setting Up of the Transaction Codes

From the Master Files - System list, select System or PM or Optical Management > Transaction Codes. The Transaction Codes List window displays. Select the Open Menu button and choose New. The Add Transaction Code Information window opens. Use the following table to enter transaction codes and then select OK. Field Description Transaction Description Enter the transaction description. This is the code that displays in the system. Note Enter any additional notes, if needed. Type Enter the type of transaction that this code represents: Adjustment Payment Refund Source Enter the source of the transaction as being expected from the Patient or Third Party. To make the transaction code available: In the Transactions Practice Preferences, select Patient. For automatic adjustments in the Contracts library, select Adjustment as the Type and Third Party as the Source. Sign Type Select the sign to associate with the transaction. Positive increases the balance. Negative decreases the balance. By de

Help Guide for NextGen® Enterprise PM 8

Set Up Default Payment/Adjustment Transaction Codes

Access File Maintenance. Select System Master Files > PM > Payers. The Payers List window opens. From the list, select and open the desired payer. The Modify Payer Information window opens. Select the Practice tab, and then select the Transactions sub-tab. Use the following table to select Transactions parameters for the payer. To save changes and close the window, select OK. Field Description Default Payment Select a third-party payment transaction code for the payer. The code defaults to the Pay Code field on the Payment Entry screen for manually entered payments and for ERA payments received from the payer. This field is required. Default Adjustment Select a third-party adjustment transaction code for the payer. The code defaults to the Adj Code field on the Payment Entry screen for manually entered adjustments and for ERA adjustments received from the payer. This field is required. Default Payment for Bad Debt Select a third-party bad debt payment transaction code for the payer. Th

File Maintenance Help for NextGen® Enterprise 8

Set Up Default Payment/Adjustment Transaction Codes

Access File Maintenance. Select System Master Files > PM > Payers. The Payers List window opens. From the list, select and open the desired payer. The Modify Payer Information window opens. Select the Practice tab, and then select the Transactions sub-tab. Use the following table to select Transactions parameters for the payer. To save changes and close the window, select OK. Field Description Default Payment Select a third-party payment transaction code for the payer. The code defaults to the Pay Code field on the Payment Entry screen for manually entered payments and for ERA payments received from the payer. This field is required. Default Adjustment Select a third-party adjustment transaction code for the payer. The code defaults to the Adj Code field on the Payment Entry screen for manually entered adjustments and for ERA adjustments received from the payer. This field is required. Default Payment for Bad Debt Select a third-party bad debt payment transaction code for the payer. Th

Help Guide for NextGen® Enterprise PM 8

Settings - default transaction codes for the alternate payer

Field Description Default Payment Select a third-party payment transaction code for the alternate payer. The code defaults to the Pay Code field on the Payment Entry screen for manually entered payments and for ERA payments received from the alternate payer. If a transaction code is not selected, then the Default Payment code from the Practice > Transactions is used for payments from the alternate payer. Default Adjustment Select a third-party adjustment transaction code for the alternate payer. The code defaults to the Adj Code field on the Payment Entry screen for manually entered adjustments and for ERA adjustments received from the alternate payer. If a transaction code is not selected, then the Default Adjustment code from the Practice > Transactions is used for adjustments from the alternate payer. Default Payment for Bad Debt Select a third-party bad debt payment transaction code for the alternate payer. The code defaults to the Pay Code field on the Payment Entry screen for man

Setting Up of Bad Debt Transaction Codes

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