Ah, the eternal question from Alfred E. Neuman, mascot of
As I write this, the UAW has struck GM, mostly over job security issues – specifically, the potential phasing out of more UAW jobs. We may be going into a recession, credit is less available (I told you to line up a line of credit! J ) and the looming 10 percent cut in Medicare reimbursement. Gee, 2008 is shaping up to be a great year, isn’t it?
The one controllable here is the Medicare cuts. You need to write a letter, get involved with your local medical society, and call upon your congressional representatives and US senators to reverse the cut – now. The reversal was pulled from the bill to extend and expand the SCHIP program, so now it is up to Congress to act.
For your personal financial planning, I would presume a flat income for 2008 at this point. For your staff, you’re in a quandary: on the one hand, you need to retain your good staff. On the other hand, you need to keep expenses flat to cushion the pending blow to revenue and profit.
The revenue equation is more complex. Maybe this is the year to hire a PA or NP to off-load more routine care and take on more new patients for the physicians. Start up a system for preventive care visits, and recalls as appropriate. For the long term, you should be actively working to continue to develop new referrals that will ultimately support a new clinician to see patients.
Look for more posts on planning for 2008 in the coming weeks.