---
title: "Item Management"
description: "How to manage billable items in NICE HMS — medicines, consumables, services, pricing, tax configuration, account linking, and physical stock adjustments."
date: 2026-07-19
lastModified: 2026-07-25
category: "billing"
author: "Dr. Umesh Bilagi"
beta: false
---

## Overview

Item Management is where you define everything that can be billed: consultation services, procedures, medicines, lab tests, room charges, consumables, and miscellaneous items. Items are linked to accounts in the Accounts Master for proper financial tracking.

## Adding an Item

1. Go to **Admin > Item Management**.
2. Click **New Item**.
3. Fill in:

| Field | Description |
|-------|------------|
| **Item Name** | e.g., "Paracetamol 500mg Tablet", "CBC Test", "General OPD Consultation" |
| **Category** | Medicine, Service, Lab Test, Radiology, Procedure, Consumable, Room, Miscellaneous |
| **Unit** | Tablet, Vial, Test, Session, Day, Piece |
| **Rate** | Selling price per unit |
| **Cost Price** | Purchase cost (for pharmacy items) |
| **Tax Type** | IGST, CGST+SGST, CST, or Nil |
| **Tax %** | 5%, 12%, 18%, 28%, or custom |
| **Account** | Link to the corresponding income account from Accounts Master |
| **Reorder Level** | For inventory items — minimum stock before alert |
| **Is Active** | Yes/No |

## Item Categories

| Category | Examples | Tracks Inventory? |
|----------|---------|-------------------|
| **Medicine** | Tablets, capsules, syrups, injections | Yes |
| **Service** | OPD consultation, nursing charge, procedure | No |
| **Lab Test** | CBC, LFT, lipid profile, HbA1c | No |
| **Radiology** | X-ray, USG, CT, MRI | No |
| **Procedure** | Dressing, suturing, catheterization | No |
| **Consumable** | Gloves, syringes, bandages, cotton | Yes |
| **Room** | General ward, private, ICU (per day) | No |
| **Miscellaneous** | Any other charge | No |

## Inventory Items

For items that track inventory (medicines, consumables):
- Stock is updated automatically when items are dispensed from pharmacy.
- Stock alerts when below reorder level.
- Expiry tracking for medicines.
- Purchase orders for restocking. See [Pharmacy Workflow](/docs/pharmacy-workflow).

## Bulk Import

For initial setup or adding many items at once:
1. Prepare a CSV with the required columns.
2. Contact support for bulk import — this is typically done during implementation.

## Linking to Accounts

Every item must be linked to an account in the Accounts Master. This ensures:
- Revenue is categorized correctly in financial reports.
- Tax is applied based on the item's configuration.
- The chart of accounts reflects the actual business structure.

## Physical Stock Adjustment

When actual stock count differs from the system (damage, expiry, counting errors, or physical verification), use physical stock adjustment vouchers.

### Access

Physical stock adjustment is accessed per-item from **Item Management**. Open an item and use the stock adjustment panel.

### Voucher Types

| Type | Purpose |
|------|---------|
| PHYSICAL_POSITIVE | Add stock (found items, correction upward) |
| PHYSICAL_NEGATIVE | Deduct stock (damaged, expired, lost, correction downward) |

### Making an Adjustment

1. Open the item from **Item Management**.
2. In the stock adjustment panel, click **Add Batch**.
3. For each batch entry, fill in:

| Field | Description |
|-------|-------------|
| **Quantity** | Number of units to add or deduct |
| **Batch** | Select an existing batch or type to create a new one |
| **Mfg Date** | Manufacturing date for the batch |
| **Exp Date** | Expiry date for the batch |

4. Add more batch rows if needed (click **Add Batch** again).
5. Click **Submit** to save the PHYSICAL_POSITIVE voucher.

Each batch row becomes a line item in the voucher. The adjustment creates an accounting entry: debit/credit to the STORE account linked to the item.

### Stock Tracking

- Inventory-tracked items (medicines, consumables) update stock count automatically on adjustment.
- Batch-level tracking preserves manufacturing and expiry dates per batch.
- Stock adjustments are auditable — they appear in the Voucher Audit tool like any other voucher. See [Voucher Audit](/docs/audit).

## FAQ

**Q: Can I change an item's price without affecting past bills?**
A: Yes. Changing the price updates future bills only. Past bills retain the price at the time of billing.

**Q: Can I deactivate an item instead of deleting it?**
A: Yes. Set "Is Active" to No. It won't appear in dropdowns but stays in historical records.

**Q: How do I correct a stock counting error?**
A: Use Physical Stock Adjustment — PHYSICAL_POSITIVE to add missing stock, PHYSICAL_NEGATIVE to deduct excess. Both create auditable vouchers.