FAQ
Frequently asked questions
Accounting questions specific to healthcare – NFZ contracts, equipment, provisions, and audit obligation.
Does a medical clinic or hospital need a statutory audit?▾
The audit obligation arises from the general Polish Accounting Act thresholds for the preceding year: assets >PLN 17m, revenue >PLN 34m, or headcount >50 (at least 2 of 3). In practice, public hospitals (SPZOZ) and county hospitals regularly exceed these thresholds. Private clinics depend on their scale of operations. Healthcare entities forming part of a capital group (e.g. clinic or laboratory chains) may be subject to a group audit regardless of their own thresholds if the parent prepares consolidated financial statements.
How should public payer contracts and over-limit services be recognised?▾
Revenue from the National Health Fund (NFZ) is recognised on the accrual basis – at the point of service delivery, irrespective of payment timing. Key challenges include: valuing over-limit services (procedures performed beyond the contracted volume where reimbursement is uncertain), inter-regional settlements, and the correct presentation of disputed receivables. The auditor examines the methodology for estimating over-limit recovery rates and the historical collection record on contested amounts.
What accounting risks are specific to healthcare entities?▾
The healthcare sector involves several unique risks: valuation of high-value medical equipment (specialist depreciation profiles, finance leases), provisions for patient claims and damages (based on claims history and legal opinions), employee obligations in public hospitals (collective settlements, statutory minimum pay regulations for medical staff), and the correct recognition of public-sector grants and investment subsidies. An experienced auditor must be familiar with current NFZ guidelines and case law on publicly-funded healthcare.
How should employee benefit obligations and healthcare provisions be valued?▾
Provisions for jubilee awards, retirement gratuities, and other long-service benefits are measured using the actuarial method (IAS 19 or analogously under Polish GAAP where material). The auditor verifies the underlying assumptions: discount rate, employee turnover, projected salary growth, and restructuring plans. In the healthcare sector – where pay is regulated by minimum wage legislation for medical staff – legislative changes can materially affect the provision balance even mid-year.