Budgeting

Budget Preparation You have been assigned the task of completin" rel="nofollow">ing the proposed budget for the next fiscal year for your Department. The fiscal year is from January – December. As a tool, you have the budget from the previous year, the salary worksheet and the monthly expenses report. You will be usin" rel="nofollow">ing the historical data provided as well as considerin" rel="nofollow">ing your projections for future costs. You have been told to project a maximum 5% salary in" rel="nofollow">increase. You have been told to project an in" rel="nofollow">increase in" rel="nofollow">in supplies of 7%. You have been told to project a 5% in" rel="nofollow">increase in" rel="nofollow">in all other areas, except those discussed below. You must also evaluate travel expenses, membership and dues. It is the policy of your facility to pay for the coder CCS certification annual main" rel="nofollow">intenance, your AHIMA or other professional dues, and to reimburse any person who successfully passes the certification examin" rel="nofollow">ination. You know that two of your people plan to take the CCS exam next year. (Check AHIMA.org or other professional organization for these costs) You need to budget to attend the AHIMA or other convention (use current cost date). Be sure to estimate airfare, hotels, food, and registration fees for a 4 day convention. Attach appropriate document that details estimated expenses. (Yes, check actual airfare from your home to the site of the current convention and in" rel="nofollow">include that. Estimate $160.00 a night for hotel and $35.00 a day for food). You typically host lunch for your staff durin" rel="nofollow">ing HIM week in" rel="nofollow">in November. You have 12 employees in" rel="nofollow">in your department and you usually plan to spend $10.00 per person. You need to budget for education. You know that you must provide education for your employees to in" rel="nofollow">include, at a min" rel="nofollow">inimum, FY codin" rel="nofollow">ing updates (both ICD and CPT). Additionally, your employees need a min" rel="nofollow">inimum of 10 CE’s a year to main" rel="nofollow">intain" rel="nofollow">in their certification and the hospital provides that education. (check AHIMA’s or other professional website web site, go to the book store, and check the price of audio semin" rel="nofollow">inars. Budget enough to cover the cost for approximately 10 hours) You have also been advised to make any capital requests at this time. You need a new piece of equipment, you pick what you want, but must qualify as capital. (check the in" rel="nofollow">internet, choose a model, see if you can fin" rel="nofollow">ind multiple sites with the same product and compare pricin" rel="nofollow">ing, attach in" rel="nofollow">info to your budget.) Based on 2080 hours workin" rel="nofollow">ing a year, what is your department’s average hourly rate? What is the total average monthly expense for your Department each month? (total budget / 365 * days in" rel="nofollow">in month) 1. Create a budget for the current year. Justify all of your calculations and recommendations. 2. Create an excel spreadsheet for your budget. Create supportin" rel="nofollow">ing documentation in" rel="nofollow">in Word and answer the questions given related to budgetin" rel="nofollow">ing. You will turn in" rel="nofollow">in 3 excel spreadsheet tab for your proposed budget for the current year. One that lists salaries, one that is broken down by month and one that is an annual budget. You will turn in" rel="nofollow">in a Word Document that identifies the equipment you would like to purchase and a justification for that equipment. (Can be combin" rel="nofollow">ined with your justification and budget overview document just make sure you in" rel="nofollow">include enough detail.) You will turn in" rel="nofollow">in a Word Document that justifies your expenses for every category in" rel="nofollow">in your budget that is outside of the standard 5% in" rel="nofollow">increase and answer the followin" rel="nofollow">ing questions relate to the Excellence System: ¬ Discuss why budgets are used in" rel="nofollow">in healthcare organizations? What potential problems are bein" rel="nofollow">ing addressed by havin" rel="nofollow">ing a solid budget at the begin" rel="nofollow">innin" rel="nofollow">ing of the years? (ES 1 & 2) ¬ Create a problem statement that addresses why we have budgets in" rel="nofollow">in an organization. (ES 1) ¬ How will you implement this budget in" rel="nofollow">in your organization? How will you as the CFO ensure it is followed throughout the year? (ES 3 & 4) ¬ How can a budget’s effectiveness be evaluated throughout the year in" rel="nofollow">in order to create a more effective budget the next year? (ES 5) This assignment meets Problem Solvin" rel="nofollow">ing. Your presentation must be organized and well thought out. There are three tabs on Excel. Please check all tabs