Is Your Practice At Risk? Try Our Fraud Checklist

Health care practices that have a strong system of internal controls, a keen awareness of anti-fraud measures, and a desire to fraud-proof their business are less likely to suffer losses from fraud.  Use this checklist to assess how much fraud exposure your practice has.

• Do you monitor key collection statistics for significant variances?

• Have you conducted a recent review of your cash receipts system to determine if theft could be committed without detection?

• Do you bond employees responsible for cash-related functions?

• Are blank checks, petty cash, and business credit cards kept in a secure place?

• Has your system of internal controls been designed or evaluated by a professional?

• Does anyone selectively review patient accounts to ensure proper procedures have been followed?

• Does an owner or someone not involved with practice bookkeeping receive the unopened bank and credit card statements for review?

• Are there established procedures for making account adjustments, and is this ability limited to a small, controllable number of people who do not collect or record fees?

• Is check-signing authority and the use of business credit cards restricted?

• Are all incoming checks immediately stamped "for deposit only?"

• Do you have any means of guarding against fictitious invoices?

• Do you insist that employees with cash-related responsibilities take blocks of vacation?

If you answered no to any of these questions, your practice could be at unnecessary risk for fraud. Price Kong specializes in health care practices and can perform a detailed risk assessment and recommend control improvements.  Learn more about our Dental Practice Group and our Health Care Services Group.

If you are interested in learning more about the Price Kong approach to dental practice accounting and how we leverage and integrate tax planning, income tax preparation, accounting procedures and financial controls, please contact Chris Torregrossa, CPA.

Christopher Torregrossa, CPA
Director Dental Practice Group
Price Kong & Company
Chris@pkcpa.com
(602) 776-6317