Most medical billing service providers charge a specific percentage of the collected claim amount, with the industry average being approximately 7 percent for processing claims.

A medical biller takes the coded transcript of the patient visit, and inputs that information into special software. This information is submitted to the patient’s insurance company as a claim. After the insurance company pays their portion, the remaining amount is billed to the patient.

Medical Billing is the process of submitting health insurance claims on behalf of the patient to various health insurance payors for the purpose of acquiring payment for services rendered in a medical facility.

In terms of average salary, there is no difference between medical billing vs. medical coding. Employer, geographic location and years of experience are the factors with the greatest impact on earnings.

For companies that charge this fee, you can expect it to cost an average of $300 per physician. For offices with a large number of physicians, many companies will charge a flat fee starting at $1,000 per office.

Outsourcing medical billing helps ensure it’s profitable for your practice and that the medical billing process is up-to-date and free of human error. The right billing experts who specialize in your field have quality assurance measures in place that make them less likely to make errors.

To calculate the number of billing staff you’ll need, generally speaking, one medical biller can process and follow up on approximately 10,000 claims per year.

Compare Examples of Outsourced Medical Billing Service Prices. Medical billing services can cost from $875 to over $10,300 depending on enterprise size and whether or not you want on-site servers. Web-based or “cloud” software runs on off-site servers and can cost as little as $27 to $127 per month.

A Medical Biller in your area makes on average $18 per hour, or $0.41 (2%) more than the national average hourly salary of $17.11. ranks number 1 out of 50 states nationwide for Medical Biller salaries.

7 Ways to Get More Medical Billing Clients

1. Research Competition in your Area.
2. Offer Niche Medical Billing Services.
3. Seek Referrals and Testimonials.
4. Develop a Robust Digital Marketing Strategy.
5. Hire a Content Specialist or Graphic Designer.
6. Distribute Newsletters and Direct Mail.
7. Implement a Nurture Campaign.

The Automated Clearing House (ACH) is the electronic network to which 95% of the nation’s banks belong, including the Federal Reserve. For ACH, there is a one-time fee of $50. The cost per transaction starts at $0.45 but can be reduced to $0.23 depending on volume (this is explained in our Medical Billing Manual).

Startup costs typically range between $2,000-$10,000. Running a home-based small business lets you avoid overheads like renting out an office space and hiring and training employees. The most expensive cost in starting your billing service is billing software.

Billing – billing can be completely outsourced from the entering of charges to pushing accounts to collections, or it can be handled in-house. A typical ratio is one billing person to two providers.

The medical billing industry is extremely competitive. However, for the determined entrepreneur there is still a good opportunity to earn $40,000 per year or more operating a home based medical billing service.

Medical billing and coding can be hard at times, but it is by no means impossible. Like many healthcare careers, becoming a medical biller and coder will take education and training. In other words, it will take hard work. However, if you love learning, the tactics of medical billing and coding may come easily to you.

The Best Medical Billing Software

• CureMD. CureMD provides a cloud-based solution that offers robust billing and payment tools alongside core administrative features like scheduling.
• EpicCare.
• AdvancedMD.
• NextGen.
• DrChrono.

Regardless of payment method, industry experts say it takes at least five months before a medical billing business starts making money. Startup processes like connecting with a claims clearinghouse and converting providers’ existing billing processes to the medical biller’s system require both time and dollars.

Medical billing and coding had been among the most in-demand professions. In fact, the Bureau of Labor Statistics listed medical coding among the 20 fastest-growing occupations. AAPC notes that “job security factors into quality of life, which is one reason why medical coding is a good career choice.