CPAs in Towson | Protect Your Practice Against Employee Fraud

Towson CPAs

Did you know that at least one in three dental practices have been victim to some sort of embezzlement? Protect your practice against employee fraud by understanding the tactics involved, and how to watch for them with tips from a Dental CPA.

Check Fraud

Oftentimes, patients will pay for their portion of fees by check. One instance of fraud can happen by a team member instructing the patient to leave the payee section blank, letting them know they have a stamp for the payee section. Then, it’s as simple as writing in their own name or business and depositing the check. To combat this, do not allow the use of payee stamps and ensure that your checks are reviewed carefully, both before and after they are deposited.

Altering Book Transactions

Committing fraud is a two-part process — siphoning money or resources, but also covering up the tracks. As a business owner you need to be aware of both. A fraudulent employee may alter transactions in your accounts receivable to create a false trail that shows payment was made in the right steps. Ensure that any additions, deletions, or adjustments of activity in your accounting or bookkeeping software are properly logged and audited.

Skimming Cash or Patient Credits

A fraudulent employee may be stealing money directly from cash transactions, or indirectly, by refunding patients’ credit balances onto their own credit cards. Both of these examples of fraud are easy to catch with the proper systems in place. Tally your cash balance at the end of every office day and have it confirmed by more than one employee. In addition, ensure a proactive approach to any credit balances that patients might accrue so that they will not remain and be forgotten about.

Quick Tips from a Dental CPA to Protect Yourself

In addition to keeping watch for the potential fraud examples above, here are a few pointers to help avoid others:

  • Reconcile every payment logged in your accounting software by confirming them on the bank’s end.
  • Implement a business credit card to easily track any purchases made for the office, and to reduce the need for reimbursement.
  • Investigate transactional history that does not make logical sense or is overcomplicated.
  • Bring another agency aboard to monitor and control your accounting duties to ensure quality and validity.

If you feel that your business is at-risk for fraud or you have already been a victim to it, contact Dental CPA Allen M. Schiff today to schedule a consultation.

100 West Road, Suite 410
Towson, MD 21204
(410) 321-7707

Dental CPA Allen Schiff Gives Back to Maryland Community

Towson, MD: Dental CPA Allen M. Schiff, CPA, CFE has continued to make philanthropy a priority in his community after providing financial support to the Maryland State Dental Association Foundation (MSDAF). The donations made by Schiff & Associates to the MSDAF in 2018 helped bring dental care to over 1,300 Marylanders in need.

 
The MSDAF has dedicated itself to improving the oral health of Marylanders through education and support of programs that improve access to dental care. Through donor participation and volunteer support, the MSDAF helps thousands of Marylanders overcome barriers of care, connecting them with the treatment they need but may be unable to afford.

By supporting the MSDAF, Allen hopes to give back to his Maryland community and improve the education and level of care for those around him. As a Dental CPA, Allen has committed himself to helping empower not just dentists, but the communities they serve as well.

Allen Schiff is the managing member of Schiff & Associates, LLC and also serves as President of the Academy of Dental CPAs (ADCPA). He has over 35 years of experience in dental practice management and has received the SMART CEO award six out of the last seven years as one of the top CPAs in Maryland.

In addition, Allen is an active speaker on a national level, helping dental practices achieve top success. He has presented to the American Dental Association (ADA), the Academy of General Dentistry (AGD), the American Academy of Pediatric Dentists (AAPD), local Mid-Atlantic societies, as well as various dental study clubs. Allen has also taught dental practice management at a local dental school for over 30 years.

For more information on Allen Schiff or to request a consultation, please call Schiff & Associates, LLC at (410) 321-7707 or visit https://www.schiffcpa.com/.

Schiff & Associates, LLC
100 West Road, Suite 410
Towson, MD 21204
(410) 321-7707
www.schiffcpa.com