One-System for Billing, Revenue Recognition, and ASC 606 Compliance for the Healthcare Industry

The ASC 606 Revenue from Contracts with Customers standard holds difficulties in application for healthcare entities and providers. Companies in the healthcare industry need to take into account a customer’s ability and intention to pay a bill, often treated as variable consideration, as well as account for the total consideration expected from a customer over the contract term.

Pharmaceutical companies may need to recognize drug trials and other events on a percentage of completion basis, possibly with the need to project deferred revenue over remaining periods. The SOFTRAX Revenue Management System allows healthcare companies to meet these demands, while also automating key processes, such as contract renewals.