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How to Make Sense of Your Medical Bills in 5 Steps

How to Make Sense of Your Medical Bills in 5 Steps

According to a U.S. News and World Report article, about eight in 10 medical bills contain some sort of error. That’s crazy high, which also makes it pretty scary, especially since every error on your medical bill results in you dishing out more dough.

With unfamiliar medical codes and terms, however, it’s difficult for you to know exactly what you’re paying for. But, you’re not only the patient, you are also the customer. Therefore, you have the right to scrutinize every medical bill that you receive and demand an explanation on any charge that looks unfamiliar, too high, or downright suspicious.

In this article, we will give you an overview on what to look for on your bill(s) and who to call if you have issues regarding anything. Get out your highlighter and get ready to mark anything that you have a question about. Keep a notebook handy to write down your questions and notes.

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The Basics

When you begin your medical bill breakdown, it’s best if you begin with what you know: your name, address, insurance information, and admittance and discharge dates.[1] If your insurance information is incorrectly inputted, then you will, for sure, be charged more than you should.

Units

If you are given Tylenol in the hospital to help with your pain, you better believe that you will be charged per capsule. These per-item charges can be found under the “Units” section on your bill.[2] If you are being charged for 500 capsules of Tylenol, then highlight this as an item. There’s no way you took that many capsules during your stay. Double check the number of units per line item to make sure you are not being overcharged for items used during your stay.

Medical Codes

Hospitals and doctor’s offices use codes to identify services rendered.[3] You are charged based on the codes assigned. There are many different types of codes, but Current Procedural Terminology (CPT) Codes and International Classification of Diseases (ICD) codes are the most well-known.[4]

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CPT codes are ubiquitous in every U.S. doctor’s office and hospital. These are usually listed as service charges. ICD codes accompany CPT codes to assure that the diagnoses fit the billed procedure, prescription, etc.

We’re not saying that you should complete medical billing and coding training online, but you do have the right to contact the billing office of your healthcare provider and have every single code explained to you. Don’t be embarrassed, you’re not the only one requesting this service.

Service Description

Read. Every. Single. Thing. Yes, the service description section should be plentifully packed with each service and item you are being charged for, even for something like Basic Life Support (BLS). In this section, there will be a lot of abbreviations. If you don’t own a medical dictionary, then we suggest using good ole Google.

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Once you have made sense of the abbreviations, get out that highlighter and pad of paper and jot down anything that you don’t remember receiving, or any charges that seem bogus.

Charges

There may come a time where you receive a medical bill with just a summary of charges and the amount owed.[5] This is unacceptable and you need to call into your doctor’s office or the hospital billing department and request a full itemized bill, complete with all codes, units, service descriptions, and individual charges. Once you receive an itemized bill, you should go down the list and look at all of the charges. If some of the charges seem too high, highlight them.

Never ever think that if your hospital or doctor bill says that it is, then it must be so. Remember, it doesn’t matter if your bill is 10 pages long (heaven forbid) — you need to go through each page, line by line, highlighter in hand, and check that everything is correct. You will pay for any error that you don’t catch. So, it’s up to you to be vigilant.

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If you have any questions at all, make sure that you contact the health provider who sent you the bill. You can also contact your insurance company as well. They will be able to help with medical coding, as well as help you understand your patient pay portion of the bill.

Featured photo credit: Pixabay via pixabay.com

Reference

[1] https://www.nerdwallet.com/blog/health/how-to-read-your-medical-bill/
[2] http://www.medicalbillingandcoding.org/health-insurance-guide/understanding-medical-bills/
[3] http://vitals.lifehacker.com/how-to-navigate-the-confusing-and-expensive-world-of-me-1765507579
[4] http://www.aarp.org/health/health-care-reform/info-03-2011/how_to_read_your_medical_bill_cpt_codes.html
[5] http://health.usnews.com/health-news/patient-advice/articles/2014/07/15/infographic-how-to-read-your-hospital-bill

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Last Updated on January 21, 2020

How to Develop a Millionaire Mindset in 6 Simple Steps

How to Develop a Millionaire Mindset in 6 Simple Steps

We all like to dream about being financially wealthy. For most people though, it remains a dream and nothing more. Why is that?

It’s because most people don’t set their mind to achieving that goal. They might not be happy in their current situation but they’re comfortable – and comfort is one of the biggest enemies of growth.

How do you go about developing that millionaire mindset? By following these simple steps:

1. Focus On What You Want – And Take It!

So many people are too timid to admit they want something and go for it. When there is something that you want to accomplish don’t think “I could never actually do that”, think “I could do that and I WILL do that”.

Millionaires play to win, not to avoid defeat.

This doesn’t mean to have to become a selfish jerk. What it means is becoming more assertive and honest with yourself. You don’t have to grab off other people. There is a big pot of unclaimed gold in the middle of the table — why shouldn’t you be the one to claim it? You deserve it!

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2. Become Goal-Orientated

It’s almost impossible to achieve anything if you don’t set firm goals. Only lottery winners become millionaires overnight. By setting yourself attainable goals, you will get there eventually. Don’t try to get rich quickly — get rich slowly.

Let’s take the idea of making your first million dollars and expand on what kind of goals you might set to get there. Let’s also say you’re starting at a break-even position – you’re making enough to get by with a few luxuries, but nothing more.

Your goal for the first year can be having $10,000 in the bank within a year. It won’t be easy but it is doable. Next, you need to figure out the steps you need to take to achieve that goal.

Always look at ways to make growth before cutbacks. With that in mind, you might want to see if you can negotiate a pay rise with your boss, or if there’s another job out there that will pay better. You might be comfortable in your old job but remember, comfort stunts growth.

You may also have other skills outside of your workplace that you can monetize to boost your bank balance. Maybe you can design websites for people, at a fee of course, or make alterations to clothes.

If this is still not enough to make the money you need to save $10,000 in a year, then it’s time to look at cutbacks. Do you have a bunch of old junk that someone else might love? Sell it! Do you really need to spend $10 on your lunch everyday when you could make your own for a fraction of the cost?

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If you are to become a millionaire, you need to start accumulating money.

Here’re some tips to help you: How to Become Goal Oriented and Achieve More in Life

3. Don’t Spend Your Money – Invest It

The reason you need to accumulate money is for step three. Millionaires tend to be frugal people, and that’s because they know the true value of money is in investing. Being your own boss goes hand-in-hand with becoming a millionaire. You’ll want to quit your regular job at some point.

Stop working for your money and make your money work for you.

Rather than buying yourself a new iPad, that $500 could be used to invest in the stock market. Find the right shares (more on that later), and that money could easily double within a year.

There’s not just the stock market — there’s also property, and your own education.

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4. Never Stop Learning

The best thing you can invest in is yourself.

Once most people leave the education system, they think their learning days are over. Well theirs might be, but yours shouldn’t be. Successful people continually learn and adapt.

Billionaire Warren Buffet estimates that he read at least 100 books on investing before he turned twenty. Most people never read another book after they’ve left school. Who would you rather be?

Learn everything you can about how economics works, how the stocks markets work, how they trend.

Learn new skills. If you have an interest in it, learn everything you can about it. You’d be surprised at how often, seemingly useless skills, can become extremely useful in the right situation.

Start developing the habit of learning continuously: How to Create a Habit of Continuous Learning for a Better You

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5. Think Big

While I advise to start off with small goals, you absolutely should have a big goal in mind. If you have a business idea, then that is your ultimate goal – to start that business and make a success of it. If you want to invest your way to millions of dollars and do little work other than research, then that is your big goal.

There is no shame in not achieving a big goal. If you run a business and aim to make $1 million profit in a year and “only” make $200,000, then you’re still significantly ahead of most people.

Aim for the stars, if you fail you’ll still be over the moon.

6. Enjoy the Attention

To be successful, you have to be willing to promote yourself and enjoy the attention to a certain extent. Now the attention doesn’t need to be on yourself, it could be on your brand, but attention definitely attracts money.

Never be embarrassed to get your name out there. That means finding a spotlight and being brave enough to step right up underneath it.

If you run a business, try contacting the local papers. You’d be surprised at how amenable they often are to running a story about you and your business, and it’s all free publicity.

Above all, remember: You control your own destiny. Push hard enough for anything and you’ll get it.

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Featured photo credit: Austin Distel via unsplash.com

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