A medical invoice is for any licensed practitioner requesting payment from their patients for healthcare provided. Like a bill, the invoice is commonly sent to the patient’s home address and requests that payment is made within thirty (30) days.
- Ambulance Service Invoice
- Caregiver Invoice
- Chiropractor Invoice
- Doctor (Physician) Invoice
- Dentist Invoice
- Hospital Invoice
- Medical Expert Invoice
- Medical Records Invoice
- Medical Insurance Invoice
- Nurse Invoice
- Pharmacy Invoice
- Psychiatrist Invoice
- Psychologist Invoice
- Therapist Invoice
What are Medical Services?
Medical services are any type of service related to healthcare or medicine prescribed to a patient. The medical industry is made up of many facets, some of which are:
- Healthcare services and facilities (inpatient, outpatient, residential care, etc.);
- Emergency services;
- Holistic medicine;
- Medical devices and equipment; and
- Managed care
If you receive treatment from a healthcare provider, you have received some form of medical service. These services are normally billed to the patient with an invoice. Depending on the type of visit, the patient can receive multiple invoices, from the doctor to the lab to the hospital, and so on.
Are Medical Expenses Tax Deductible?
According to the IRS, an individual is allowed to deduct medical expenses that exceed 7.5% of their adjusted gross income (taxable income). This deduction must be stated on Form 1040, Schedule A. If the individual has dependents (spouse, children, etc.), medical and dental expenses can be applied to the individual’s total medical expenses. For example, if an individual has an annual income of $60,000, they would be able to deduct medical expenses that exceed $4,500. Almost all types of medical expenses are qualified, even the cost of travel when it pertains to going to and from treatment.
Those that are self-employed are eligible for the self-employed health insurance deduction. Funds reimbursed from a health insurance provider are not eligible to be deducted. This means that if an individual has medical expenses that exceed their adjusted gross income, they can not claim to make a deduction if their medical provider pays off their medical expenses. Therefore, if an individual has medical insurance, it’s important to know the extent of their coverage.
Under new FDIC regulations, beginning September 15, 2017, medical bills will not be allowed to be placed on a consumer’s credit report until one-hundred and eighty (180) days of being outstanding.
What is Medical Billing and Coding?
Medical billing and coding is a classification system published by the World Health Organization (WHO) that currently uses the ICD-10-CM (for diagnosis) while used in conjunction with CPT (for procedures). This coding system is used during the billing process when reporting services that a patient received to health providers and insurance companies. An itemized medical bill (invoice) will detail a code matching each diagnosis and treatment. This coding is mostly irrelevant to the patient, but it’s very important for medical providers and health insurers for billing or when a patient makes a claim.
The majority of patients, even those with medical insurance, are confused as to how their medical bills are calculated, which is why it’s important to use a medical invoice that is clear and concise when requesting payment from patients.