What is an Employee Benefits Cost Allocation Report?

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What is an employee benefits cost allocation report?

An employee benefits cost allocation report is a single spreadsheet that shows an employer every benefit billing charge for that month, broken down by their specific internal cost centers.

 

When employee benefit cost allocation reports are created, the first step is consolidating every carrier invoice and auditing all of the benefit charges, which is why cost allocation reports are typically included with invoice consolidation software, like VerifiaBill for example. The cost allocation auditing process will map every single charge to the organization’s employees and cost centers. The report itself is broken down according to the employer’s exact accounting specifications.

 

How do cost allocation reports help employers with benefits accounting?

A benefit cost allocation report enables an employer to account for every single dollar of their benefits spend, broken down by the specific divisions (or departments, business units, GL codes, etc). A benefit cost allocation report is broken down according to the employer’s exact accounting specifications so that all benefit costs can be accounted for. The report ties out perfectly with what the employer pays their carriers each month.

 

In addition, the report details all benefit charges from every carrier invoice all in one place. If the employer uses a benefits billing solution like VerifiaBill, they can view all of their carrier invoices through a single carrier invoice summary (and pay all invoices through one payment), and view audit reports like the benefit cost allocation report all through their online portal. This streamlines many of the manual and repetitive accounting processes for employers.

 

Need a streamlined solution for benefits cost allocation?

Software solutions like VerifiaBill provide consolidated invoicing and invoice auditing services that deliver major benefits for employers looking to streamline their entire benefits billing, payments, and accounting processes. With VerifiaBill, employers can access consolidated invoicing, benefit cost allocation, benefits reconciliation, carrier bill-pay, and self-bill generation features all within a single secure online portal.

 

Contact Beneration to learn more about VerifiaBill!

More To Explore

What is an Invoice Discrepancy Identification Report?

Employee benefits billing solutions like VerifiaBill generate a report for employers called a “Discrepancy Identification Report,” which contains the results of a Benefits Reconciliation audit.

What is Employee Benefits Reconciliation?

What is employee benefits reconciliation? Employee benefits reconciliation, or premium reconciliation, is the monthly process of comparing an employer’s carrier invoice data to the enrollment

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