Forecast calculation methods

The following calculation methods are used in the plan file Forecast tab.

Calc Method	Description
Depreciation	Used for Depreciation expense – Inflation can be applied to existing depreciation expense plus an input for depreciation for new capital purchases.
Expense	Used for NonSalary expenses. Inputs for Variable percentage and Expense Adjustments along with global lookup for inflation rate. Newer option: IP Admits\Discharge
GlobalData	Pulls a calculated value from the RFGlobalData tab in the Driver table. No inputs are allowed in the plan file.
IP Census	Intended for forecasting at the entity level. Used to forecast patient days, admissions, adjusted admissions, and CMI adjusted admissions. (Discharges can be substituted for admissions.) Also includes Average Daily Census and Average Length of Stay.
NA	Not Applicable. Used when no calculation method is needed.
No Forecast	Prevents any forecast entry or forecast calculation for the RFCodes that use it. Populates with historical data for reconciliation purposes, but no forecast is calculated.
Other Deduction	Used for calculating deductions on a percentage of gross revenue basis where there is no directly assigned gross revenue category. Commonly used for bad debt and charity care.
Other Revenue	Used for Other Operating and NonOperating Revenue – Inputs for Variable percentage and Revenue Adjustments along with global lookup for inflation rate. Different forecast methods can be used as the basis for the forecast.
Patient Revenue	Used to forecast the IP/OP/Other patient revenue, including deductions. Newer options include IP Admits\Discharge.
Patient Revenue New IP Census	Patient Revenue calc method paired with the IP Census calc method.
Patient Revenue Net Per Unit	Intended for forecasting at the entity level. Calculates gross revenue on a rate-per-patient-day basis. Deductions are optional using a rate per admission or discharge. New option: CMI Inpatient Admissions
Pct of Salaries	Used for benefits where salary cost drives the benefit expense such as FICA or pension expense as a percentage of salaries. For OTA One-time Adjustments, the Benefit Expense including OTAs is divided by Salary Expense including OTAs.
Per Unit IP Census	Used to forecast patient days, admissions, adjusted admissions, and CMI adjusted admissions, etc., just like IP Census, but this calc method is based on unit rates instead of calculating on a change in a percentage of the whole. This calc method allows for entering volume adjustments without resulting in exponential growth in revenue or other variable items driven by this volume.
Per Unit Volume	Based on unit rates, used for entering patient volume adjustments without resulting in exponential growth in revenue or other variable items driven by this volume. The Per Unit Volume calc method is used in the RFCODE table and the Volume section of the plan file Forecast worksheet.
Rate Per FTE	Used for benefits where FTEs (employees) drive the benefit expense, such as health insurance, using a rate-per-FTE basis.
Salary	Calculation of Salaries, Hours, and FTEs. Used for FTEs and salary expenses: FTEs: Inputs for Variable percentage and productivity adjustments to forecast FTEs. You can use different forecast methods as the basis for the forecast. Salaries: Uses an average hourly rate calculation along with global lookup for inflation rate times the forecasted FTEs.
Volume	Used to forecast and project key and other statistics that can be used in revenue calc methods to drive those forecasts and projections.