Navigating the New Revenue Recognition Rules for Healthcare Providers

PYA_Revenue_Recognition_WP-Slider-eNewsletter (3)A new white paper from PYA provides an overview of a recently issued Accounting Standards Update that addresses revenue recognition from contracts with customers and examines the impact of this new standard on healthcare providers.

With the recent issuance of Financial Accounting Standards Board Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, healthcare providers are finding they must again adapt to a game-changing standard that addresses the ways in which they must deal with revenue recognition. While the new standard’s implementation date is effective in December 2017, public entities are required to adopt earlier, and non-public entities may choose to early adopt. Therefore, entities must be aware of what this new standard will mean for their organizations, and begin to prepare now.

PYA has released a new white paper, “Navigating the New Revenue Recognition Rules for Healthcare Providers,” which outlines the new principle-based approach for recognizing revenue—essentially a five-step process. In addition, the white paper summarizes items which will require healthcare providers to use increased focus and judgment. One such consideration is the transaction price and how the provider should estimate variable consideration and report price concessions. The paper also touches on recognizing revenue when no contract is present.

As the new ASU could potentially affect the way healthcare providers conduct business and perform daily accounting functions, the white paper offers guidance that these entities can use to better understand the regulation and its implementation in their organizations.

Download White Paper Here

PYA provides audit and accounting services to healthcare entities ranging in size from small physician practices and ancillary providers to large multi-state integrated healthcare organizations. This experience across the spectrum of healthcare allows PYA’s healthcare auditors to quickly identify the financial reporting areas of greatest risk to an organization and to more efficiently and effectively perform audit or accounting services.

 


Doug Arnold

Doug Arnold

Principal

Related Posts
PYA is pleased to announce the promotions of Michael Ramey, Matt Stuart, and Jeff Pate to the level of Equity Principal. PYA has announced the promotion of Senior Manager Michael...
Read More

PYA Announces Three New Equity Principals

PYA Principal Bob Paskowski is charting risk-contracting territory in an article published in the December issue of hfm Magazine, a publication of the Healthcare Financial Management Association (HFMA). Included in...
Read More

Charting Success: Key Risk-Contracting Provisions

PYA Healthcare Consulting Manager Kathryn Culver authored an article, “Changing Landscape for Health Lawyers,” which was recently published in Connections magazine, a monthly publication of the American Health Lawyers Association...
Read More

“Changing Landscape for Health Lawyers”

In today’s business environment, cloud computing arrangements play a key role in the day-to-day operations of companies large and small. The Financial Accounting Standards Board’s (FASB) Accounting Standards Update (ASU)...
Read More

Clearing Up Cloud Computing Accounting

A recent article in DecisionHealth’s Part B News provides a glimpse into the future of charting patient encounters and the changes that will occur regarding Evaluation and Management (E/M) documentation....
Read More

PYA Thought Leader Quoted in Article Highlighting Potential Changes to E/M Documentation and Reporting

PYA made significant contributions to the recently released “BVR/AHLA Guide to Valuing Physician Compensation and Healthcare Service Arrangements,” which serves as the definitive guide for healthcare organizations seeking to understand...
Read More

PYA Lends Expertise in Premier Industry Publication for Valuing Physician Compensation and Healthcare Service Arrangements

An on-demand webinar, presented by Mike Shamblin, CPA, and brought to you by PYA, helps lay the foundation for the new revenue recognition standard.  The webinar guides healthcare providers of...
Read More

PYA On-Demand Webinar Outlines the New Revenue Recognition Standard in Preparation for Implementation

Gaining a deeper understanding of the legalities associated with academic medical centers (AMCs) and other teaching hospitals will be the focus this winter at the American Health Lawyers Association (AHLA)...
Read More

PYA Supports AHLA Programming for AMCs and Teaching Hospitals

PYA Senior Manager Valerie Rock authored an article, “New Payment Review Strategies: What to Do If You Receive an Outlier Coding Notice,” which was recently published in Medical Economics magazine....
Read More

“New Payment Review Strategies: What to Do If You Receive an Outlier Coding Notice”

Share This Insight

If you received value from this article, please share it with your network (e.g., Facebook, Twitter, LinkedIn). Icons below for your convenience.

Stay Current

* indicates required
Monthly eNewsletters
See more newsletter and alert options.

PYA Population Health Ascend

PYA Healthcare Blog

PYA Thought Leadership Services

The Healthcare Loop