What charity care is
Charity care is when your agency reduces or waives a patient's balance because they cannot afford to pay. Many agencies have a charity care policy that defines who qualifies, often based on income or financial hardship.
How to mark an account
- Click Collections in the menu.
- Find the account in the list.
- Click Charity in the Actions column.
- Confirm the prompt that says "Mark as charity care? This will write off the balance."
The account moves to the Charity Care stage, the balance is written off, and the account closes. You won't get a form for a note on this action, so record the justification somewhere else — the claim, the AR Log, or your own paperwork — before you mark it.
Example
A patient owes $800 after insurance. They contact your agency and explain they are on a fixed income and cannot pay. Your billing manager reviews their situation, confirms they qualify under the agency's charity care policy, and signs off. You find the account in Collections, click Charity, confirm the prompt, and the balance is waived.
Tips
- Follow your agency's charity care policy exactly. Document the reason in your notes so there is a clear audit trail.
- Charity care is different from a write-off. Charity care means the patient qualifies for financial relief. A write-off means you are giving up on collecting for other reasons.