What is Healthcare Accounting?
Healthcare accounting is the practice of managing financial records, tax planning, and reporting for medical clinics — but unlike generic small business accounting, it requires understanding billing data, payer mix, denial management, and the unique cash flow patterns of insurance reimbursement. Sorso's healthcare accounting service includes monthly bookkeeping, tax planning, and proactive financial reviews specifically tuned to outpatient practices.
Stop paying for reports. Start getting a plan.
Most accountants reconcile your books and disappear. We show you exactly what's broken, what's working, and what to fix—every single month.
A 4-minute test your accountant hopes you skip.
At a glance
Is This Right for You?
This service is for clinic owners who:
Generating over $10M? Our Fractional CFO Service may be a better fit.
How We're Different
Same Data. Different Results.
| Traditional Accountants | Sorso Accounting | Your Result |
|---|---|---|
| Sends reports, disappears | Explains what the numbers mean | You actually understand your financials |
| Generic small business approach | Built specifically for healthcare clinics | Advice that fits your world |
| “Your overhead is high” | “Here are 3 specific ways to reduce it” | Actions you can take this month |
| Numbers from accounting software only | Integrates EHR, billing, and operational data | The complete picture |
| Compliance-focused | Profitability-focused | Numbers that grow your practice |
| You figure out what to do | We tell you what to do | Clarity, not homework |
What's Included
How The Accounting System Works
Four steps from confusion to clarity—every month.
Monthly Bookkeeping & Reconciliation
- •Transaction categorization and recording
- •Bank and credit card reconciliation
- •Accounts payable and receivable management
- •Month-end close within 15 business days
Financial Reporting That Integrates Everything
- •Monthly P&L, balance sheet, and cash flow statement
- •Reports that pull data from your EHR, billing, payroll, and practice management—not just QuickBooks
- •Clear month-over-month analysis explaining what improved, what declined, and why
Healthcare-Specific Benchmarks
- •Your metrics compared against clinic benchmarks (overhead %, A/R days, collection rate, staff-to-provider ratios)
- •Instant context: know if your numbers are good or bad for your size
- •Identification of trends affecting your profitability
The Priority Action Plan
- •Monthly list of 3–5 specific, prioritized actions to improve financial performance
- •Plain English explanations—no jargon, no 50-page reports
- •Recommendations you can actually act on
Ongoing Support
- •Monthly check-in call to review financials and answer questions
- •Responsive communication when issues arise
- •A team that knows your practice, not a rotating cast of strangers
What's Not Included
• Tax preparation and filing (we work with your tax preparer or can recommend one)
• Strategic financial planning and forecasting (that’s our Fractional CFO service)
• Payroll processing (we reconcile payroll but don’t run it)
Results
What Clinic Owners Experience
| Metric | Typical Outcome |
|---|---|
| Books closed | Within 15 business days |
| Errors found | In our onboarding process, we typically identify classification, reconciliation, or revenue cycle issues at nearly every new client engagement that we resolve in the first 30-60 days. |
| Time saved | 10+ hours/month |
| Clarity | Actually understand your financials |
Illustrative Scenario
What This Looks Like In Practice
A rapidly expanding outpatient practice with multiple locations and revenue above $5M. On paper, everything looked fine. In the weekly review, the owners were flying blind.
What owners in this situation are usually facing:
- •No location-specific visibility, so nobody can say which clinics are actually profitable
- •No clear payback period model for the last new clinic or the next one
- •Debt obligations coming due with no confidence the business can cover them without pinch points
- •Incumbent accountant delivering errors and inconsistencies
- •Hesitant to hire needed staff because the cash flow impact is unmodeled
What we typically find:
- •Financial records with meaningful errors and inconsistencies
- •No accurate P&L by location
- •No benchmark view against which to measure clinic performance
- •No clean ROI picture on the last clinic or clinics opened
What the engagement looks like:
- •Rebuild accurate financial statements for each location
- •Replace underperforming accounting with a stronger, more cost-effective team
- •Stand up monthly performance tracking with healthcare benchmarks
- •Create clear visibility into which clinics are underperforming and why
Representative outcomes
Year-over-year revenue growth range
EBITDA lift range
Annual savings range from streamlined operations
Freed for ownership
New clinics opened with clear financial projections from day one
A defensible multi-year path to scale EBITDA with a specific financial plan
The takeaway
The pattern we see in multi-location outpatient practices: once location-level P&Ls get rebuilt and monthly tracking is in place, owners move from reactive defense to strategic planning. The numbers that had looked fine on a blended P&L tell a different story once they are separated.
Common Questions About Our Healthcare Accounting Services
How is this different from my current accountant?+
Most accountants reconcile your books, send reports, and disappear until next month. Our healthcare accounting services go further: we integrate data from your EHR and billing system, compare your metrics to healthcare industry benchmarks, explain what the numbers mean in plain English, and give you a prioritized action plan each month. You get insights that grow your practice, not just compliance that satisfies your CPA.
What’s included in your healthcare accounting services?+
Our accounting services for healthcare organizations include: monthly bookkeeping and reconciliation, financial statements (P&L, balance sheet, cash flow), integration with your EHR and billing data, benchmarking against similar clinics, a monthly action plan with 3-5 priorities, and a check-in call to review everything. It’s accounting that actually tells you what to do—not just what happened.
What’s the difference between accounting services and fractional CFO?+
Healthcare accounting services focus on accurate bookkeeping, monthly reporting, benchmarking, and tactical action plans. Fractional CFO adds strategic financial leadership: forecasting, cash flow planning, expansion analysis, exit preparation, and board-level guidance. Most clinics generating $0.5M–$10M start with accounting; practices over $10M or preparing for major growth add CFO support.
Do you handle taxes?+
We don’t prepare or file taxes, but we ensure your books are tax-ready and work closely with your tax preparer. Need a recommendation? We connect you with CPAs who specialize in accounting for healthcare organizations and understand medical practice deductions and compliance.
What if my books are a mess right now?+
That’s common—and fixable. Most new clients have 6–18 months of errors and misclassifications we need to clean up. It’s a normal part of onboarding. We’ll rebuild accurate financial statements so you’re starting from a clean foundation. Healthcare accounting and bookkeeping services should leave you with books you can trust.
What accounting software do you use?+
We work with QuickBooks Online and Xero for core accounting. But outsourced healthcare accounting requires more than just accounting software—we integrate data from your EHR, billing/RCM system, and payroll to give you the complete picture. If you’re using different systems, we’ll discuss what makes sense.
How quickly will my books be ready each month?+
We close books within 15 business days of month-end. You’ll receive financial reports and have a monthly call scheduled shortly after. Timely healthcare accounting services mean you’re making decisions with current data, not numbers that are 60+ days old.
What size practices do you work with?+
Our accounting services for healthcare businesses are designed for clinics generating $0.5M–$10M in annual revenue. This includes single and multi-location practices across specialties: physical therapy, dental, dermatology, behavioral health, urgent care, and more. Practices over $10M typically need our Fractional CFO service for strategic financial leadership.
Can I upgrade to Fractional CFO services later?+
Absolutely. Many clients start with healthcare accounting services and add CFO support as they grow or prepare for expansion, acquisition, or exit. The transition is smooth since we already know your business, numbers, and goals.
How do you integrate with my EHR and billing system?+
We pull data from your practice management, EHR, and billing/RCM systems to reconcile against your accounting records. This is what separates healthcare accounting firms from generalist accountants—we show you the gap between what you bill and what you collect, track payer mix, and identify revenue cycle issues your regular accountant would miss.
What does onboarding look like?+
Onboarding typically takes 4-6 weeks. We’ll get access to your accounting software, EHR, and billing systems, clean up any historical issues, establish benchmarks, and set up your monthly reporting cadence. By month two, you’ll have a clear financial picture and your first action plan.
Don't pay for reports. Pay for progress.
Take the 4-minute financial assessment—and find out if your books are helping or hurting your practice.
The test your accountant hopes you skip.