1. Using Table 8-3 and the existing Health Information Department Budget attached, calculate the new budget total if the CEO announces that the Wages and Salaries of all departments will be increased by 3% from January 1-June 30 (instead of the 5% shown in table 8-3). 2. Calculate a new total for Fringe Benefits for department employees, if fringe benefits amount to 30% of total Wages and Salaries. 3. Calculate a new Supplies total if General Stores Supplies are expected to increase 5%. Summary: Personnel Costs Equipment Supplies Services Cost Transfers Total of Adjusted Budget 270 CHAPTER 8 BUDGET PLANNING AND IMPLEMENTATION Wage and salary calculations are displayed to show these details: Factor Current annual base July-December of current calendar year-total earnings January 1 cost of living increase (5%) New annual base effective January 1 Example $58,000 $29,000 $2,900 $60,900 $30,450 January-June of coming calendar year-total earnings Total needed for full 12-month period of the fiscal year $29,000+ $30,450 $59,450 Table 8-3 displays the wage and salary by position and title. Table 8-3 Wage and Salaries by Position Title Current July Through January 1 January Total for Base December 5% Increase New Base Through June Fiscal Year Director Compliance Specialist 75,000 37,500 42,000 3,750 78,750 39,375 76,875 21,000 2,100 44,100 22,050 43,050 Registries Coordinator 42,000 21,000 2,100 44,100 22,050 43,050 Coder A 34,000 17,000 1,700 35,700 17,850 34,850 Coder B 35,000 17,500 1,750 36,750 18,375 35,875 Evening Shift Coder 32,000 16,000 1,600 33,600 16,800 $2,800 Billing Compliance Specialist 36,000 18,000 1,800 37,800 18,900 36,900 Release of Information Specialist 36,000 18,000 1,800 37,800 18,900 36,900 Secretary 25,000 12,500 1,250 26,250 13,125 25,625 Medical Transcriptionist A 34,000 17,000 1,700 35,700 17,850 34,850 Medical Transcriptionist B 34,000 17,000 1,700 35,700 17,850 34,850 Evening Shift Transcriptionist 32,000 16,000 1,600 33,600 16,800 32,800 Release of Information Support Clerk 22,000 11,000 1,100 23,100 11,550 22,550 Registration Specialist 34,000 17,000 1,700 35,700 17,850 34,850 Certified Documentation 40,000 20,000 2,000 42,000 21,000 41,000 Improvement Specialist Health Record Specialist li 25,000 12,500 1,250 26,250 13,125 25,625 Health Record Specialist I 24,480 12,240 1,224 25,704 12,852 25,092 SAMPLE BUDGET: HEALTH INFORMATION SERVICE Health Information Department Budget Personnel Costs Object Code 01 Wages and salaries $617,492.00 233 02 Fringe benefits $179,073.00 03 Vacation relief coverage $4,000.00 04 Sign-on bonuses $9,600.00 Subtotal A $810,165.00 Equipment Object Code 10 Office chairs (six at $128 each) $768.00 Step stools (three at $59 each) $177.00 Multiterminal word processing system $74,000.00 Subtotal B $74,945.00 Supplies Object Code 021 Printed Forms and Folders (2-year supply; $51,999.00 external vendor) 026 Books and Software $3,380.00 027 Journals Subscriptions $1,620.00 028 General Stores Supplies (internal supply chain) $3,400.00 030 Specialty Items (health information $610.00 management week commemorative/ promotional Items; external vendor) 035 Parking (guest) $500.00 044 Travel $2,430.00 051 Training DVDs (rental) $600.00 Subtotal C $64,539.00 272 CHAPTER 8 BUDGET PLANNING AND IMPLEMENTATION Services Object Code 122 Contractual Temporaties $3,850.00 131 Equipment Rental $2,000.00 134 Outside Contractual Service $5,000.00 136 Equipment Repair Contracts $2,000.00 138 Computer License Agreement $32,000.00 Subtotal D $44,850.00 Cost Transfers Object Code 150 Telephone $3,840.00 151 Work Orders $1,400.00 152 Postage $360.00 153 Photocopy/Print Shop $200.00 158 Food Service $560.00 Subtotal E $6,360.00 Summary Personnel Costs Equipment Supplies . $810,165.00 $74,945.00 $64,539.00 Services Cost Transfers TOTAL $44,850.00 $6,360.00 $1,000,859.00