Issue link: http://read.dmtmag.com/i/59015
16 Smart Talk EMPLOYEE COMPENSATION Consider the total package BY ANA MCGARY Q. What is total compensation? A. When most of us hear the term "compensation," we typically think only of the money we receive in our paycheck each payday. However, "total compensation" goes beyond salary—it is the com- plete pay package for employees. This includes all forms of money, benefits, services and any other "perks" employees may receive when they work for your com- pany. Total compensation can be defined as the sum total of all ben- efits, monetary and otherwise, an employee receives from a compa- ny. Ideally, compensation packages are designed to attract and retain talent. Depending on the size of the company, a compensation package may have several com- ponents, including salary, stock options, in-kind services, bonuses and perks. Needless to say, large, well-established organizations can typically offer more comprehen- sive compensation packages, while salary may be the main compen- sation component in a start-up or WWW.HMENEWS.COM / APRIL 2012 / HME NEWS smaller company. The latest trends in total com- pensation packages see a rise in monetary benefits and a slow- down in stock options. Financial advice, family-oriented strategies, such as childcare facilities, well- ness programs, eldercare, assis- tance with relocating, paid time off, telecommuting and flexible schedules, are some other pre- ferred benefits included in a com- pensation package. Nasal Mask Zest™ Q Have you ever tried to describe quiet? Learn a new language BY GREGG TIMMONS Q. What is the ICD-10 conversion? A. The International Classification of Diseases, 10th Edition (ICD-10) developed by the World Health Organization will replace the ICD-9 coding system, which, among other issues, did not allow enough char- acters to classify new diagnoses. The goal is to improve care delivery through more specific diagnoses that match healthcare payments to outcomes, and promote efficiencies in care documentation, claims pro- cessing and business intelligence. In the short term, this switch has the potential to increase costs and disrupt reimbursements. The biggest implications for DMEPOS providers are increased training costs, improper quali- fication of new diagnosis, and increased audit risk. Patient intake and billing are the epicenter of risk. The key risk for intake and bill- ing is interpreting and applying proper diagnosis code, and apply- ing proper item codes for the prod- uct/therapy. Done correctly, the patient receives what they need, and the provider gets paid ASAP. Errors may result in denial, over/ underpayment or delayed payment. Once a provider is associated with too many denials, audits can occur. Intake and billing employees Coming soon. Experience a NEW meaning of quiet - F&P Zest Q The F&P Zest Q Nasal Mask includes the new Advanced Air Diffuser. The Zest Q is quieter than ever, minimising partner disturbance and helping to ensure a better SleepLife. For more information please contact your local Fisher & Paykel Healthcare representative on 1800 446 3908. will, in effect, need to learn a new language. ICD-9 codes have been around for 30 years and today "misqualifying" diagnosis codes are the No. 1 reason for denials. Couple this with new usage poli- cies, and the challenge is obvious. Employees will need ongoing train- ing pre- and post-transition. System infrastructures will also need to be updated. ICD-9 codes are three to five characters long, while new codes are three to seven char- acters. There will also be more alpha characters. Management systems that manage intake, billing and inventory must be updated. HME MEDTRADE BOOTH 538 Gregg Timmons is president and CEO of MedAct Software. Reach him at gtim- mons@medactsoftware.com or 800- 326-0314. It's important that employees understand their compensation package and the benefits of work- ing for your company. Many small- er employers don't do enough to promote their businesses in recruit- ing and retaining employees, but those that do find that it was well worth the effort. HME Ana McGary is president of PeopleFirst Enterprises. Reach her at ana.mcgary@ people1sthr.com. ICD-10