# Billing Manager Bonus Structure



## Texascoder64 (Jan 20, 2013)

Want to get some input from Billing/Coding Managers of private physician group practices that are familiar with  bonus structures based on productivity, exceeding base goals. 
What is considered common practice for billing managers to receive as a bonus (ie. monthly, quarterly).  I was thinking to take the average collections for the previous year to come up with an average monthly amount, then ask for a percentage of anything over that.  I  have PA's getting quarterly bonuses based on collections (in addition to their salary), but I am the one making sure that money is collected, so I feel I am due the collections bonus, not the PA.
Ideas are greatly appreciated and feel free to privately message.


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## krburke (Jan 21, 2013)

*Bonus based on aging*

I am familiar with billing staff getting bonuses based on how low they keep their insurance aging numbers. If the percentage of claims over 90 days old is greater than 10% of the total outstanding claims, there is no bonus available, but if the percentage is kept below 10%, there is a monthly bonus available. The exact amounts should vary based on the type of practice (primary care vs. specialist vs. surgeon) but tying your bonus to your ability to keep A/R low is a fair measure of your performance as a billing manager.


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## lbennett@azaleahealth.com (Sep 5, 2013)

I help run a billing company and our billing managers get a percentage of billing revenue if they meet five benchmarks. The owners like the benchmarks because it means you earn the bonus. We measure (1) % of primary ins aging within 60 days, (2) % of secondary ins aging within 90 days, (3) average days to file claims, (4) payment ratio, (5) and % of encounters billed with errors. I hope that helps.


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