Develop the HIM Department operations budget using an excel spreadsheet for the next AY. Allocate the funding throughout the AY on a monthly basis and be sure to note within your budget the specifications below. Note: The AY at HIT Hospital begins July 1.

Personnel Salaries and Wages

• Calculate amounts for the following:

1. Salaries with fringe benefits
2. Allowed overtime

• Second, calculate total personnel budget.

**Use the information in Table 6-34 to calculate the payroll costs for the new AY. New salaries include:

1. A new approved Analyst/Coder/Abstractor position that will go into effect at the beginning of the new AY with a salary of $48,500.00.

2. Fringe benefits of 30% of monthly salaries.

3. A merit raise of 5% that will go into effect in December.

4. Overtime limits not to exceed $4,000.00 for the year.

Table 6-34Personnel Salary Information

Personnel Salary Information
Classification	Number of Employees	Current Salaries	Salaries for New AY
Director	1	79,450
Assistant Director	1	67,478
Coding Supervisor	1	55,971
Receptionist/Clerk	1	31,502
Transcription Supervisor	1	56,800
Transcriptionists	4	46,000
Coders	3	47,500
Chart Completion Supervisor	1	50,000
HIM Technicians	2	44,052
*Analyst/Coder/Abstractor	1	New position
SALARIES & FRINGE BENEFITS
BUDGETED OVERTIME
SUBTOTAL PERSONNEL

^*Denotes new approved position

Operating Expenses:

On a second worksheet within in the budget file, develop operation expenses shown in Table 6-35 and should be allocated throughout the AY. Indicate whether the expense is a fixed or variable cost. Show the operations budget for the new AY, including line items given.

Table 6-35Operations Expenses for New AY

Operations Expenses for New AY
Expense	Budget
Telephone	$1,000.00
Supplies	$10,500.00
Folders	$10,000.00
Equipment	$25,000.00
Copy Machine	$8,000.00
Education	$2,500.00
TOTAL

ABDELHALK CHAPTER 16 READING