HCP Transactions Explained

This information is for Australian Customers who provide HCP funded services.

Please always refer to the latest updates on the Department of Health website. Please confirm your organisation's eligibility when reviewing AlayaCare's Zendesk articles prior to making any updates to the configuration in your Production environment.

If you require further assistance, please contact the AlayaCare Cloud Support Team.

This article explains the differences between the different transactions created and used in AlayaCare for the management of Home Care Packages. The below transaction types are built into AlayaCare. A description of when each transaction is created and which GL accounts are involved is detailed below.

Income Transactions

HCP Claim

• An HCP Claim transaction increases the government portion of income, meaning it increases the amount of money in the Home Care Account “bucket” of unspent funds available to the client.
• This type of transaction is created for income items of the type Subsidy and Supplement when invoices are generated and marked as sent in AlayaCare and represent the expected amount of money the care recipient will "earn" in their Home Care Account held by Services Australia.

Debited Account	Receivables
Credited Account	Unearned Revenue

 

HCP Credit Adjustment

• An HCP Credit Adjustment transaction decreases the government portion of income, meaning it reduces the amount of money in the Home Care Account "bucket" of funds available to the client.
• This type of transaction is created when adjustments are confirmed against income items of type Subsidy or Supplement in a claim where the expected claim entitlement is higher than the actual claim entitlement earned for a claim period. 

Debited Account	Unearned Revenue
Credited Account	Receivables

HCP Debit Adjustment

• An HCP Debit Adjustment transaction increases the government portion of income, meaning it increases the amount of money in the Home Care Account "bucket" of unspent funds available to the client.
• This type of transaction is created when adjustments are confirmed against income items of type Subsidy or Supplement in a claim where the expected claim entitlement is less than the actual claim entitlement earned for a claim period.

Debited Account	Receivables
Credited Account	Unearned Revenue

 

HCP Income Sale

• An HCP Income Sale transaction increases the client portion of income, meaning it increases the amount of money in the Care Recipient "bucket" of unspent funds available to the client.  
• This type of transaction is created for income items of the type ITF, Basic Daily Fee, and Fees and Charges and represents the amount of money that is invoiced to a client or a billing contact of the client to contribute to the Home Care Package.

Debited Account	Receivables
Credited Account	Unearned Revenue

HCP Income Sale Credit Adjustment

• An HCP Income Sale Credit Adjustment transaction decreases the client portion of income, meaning it reduces the amount of money in the Care Recipient "bucket" of unspent funds available to the client.
• This type of transaction is created when adjustments are confirmed against income items of type ITF, Basic Daily Fee, or Fees and Charges in a claim where the client contribution is invoiced at a rate higher than it should have been. 

Debited Account	Unearned Revenue
Credited Account	Receivables

 

HCP Income Sale Debit Adjustment

• An HCP Income Sale Debit Adjustment transaction increases the client portion of income, meaning it increases the amount of money in the Care Recipient "bucket" of unspent funds available to the client. 
• This type of transaction is created when adjustments are confirmed against income items of type ITF, Basic Daily Fee, or Fees and Charges in a claim where the client contribution is invoiced at a rate higher than it should have been. 

Debited Account	Receivables
Credited Account	Unearned Revenue

 

Expense Transactions

HCP Revenue Transfer

• An HCP Revenue Transfer transaction decreases the client account balance in AlayaCare, meaning it moves money from the “bucket” of funds available to the organisation's revenue account.
• This type of transaction is created when expense items on the budget such as visits, visit premiums, or client billing premiums are invoiced and represent the amount of money spent from the Home Care Package.

Debited Account	Unearned Revenue
Credited Account	Recognised Revenue

 

HCP Revenue Transfer Credit Adjustment

• An HCP Revenue Transfer Credit Adjustment increases the client account balance in AlayaCare, meaning it adds money to the "bucket" of funds available that a client has to spend from their package.
• This type of transaction is created when adjustments are confirmed against an expense item in a claim where the expense item was invoiced at a rate higher than it should have been. 
• The amount of this transaction is deducted from the amount claimed in the next claim period. 

Debited Account	Recognised Revenue
Credited Account	Unearned Revenue

 

HCP Revenue Transfer Debit Adjustment 

• An HCP Revenue Transfer Debit Adjustment transaction decreases the client account balance in AlayaCare, meaning it reduces the amount of money in the "bucket" of funds available that a client has to spend from their package
• This type of transaction is created when adjustments are confirmed against an expense item in a claim where the expense item was invoiced at a rate lower than it should have been.
• The amount of this transaction is added to the amount claimed in the next claim period.

Debited Account	Unearned Revenue
Credited Account	Recognised Revenue

 

HCP Write Off

• An HCP Write Off transaction increases a negative client account balance.
• This type of transaction is created when reconciling a package overspend amount.

Debited Account	Expense
Credited Account	Unearned Revenue