diff --git a/interface/billing/sl_eob_help.php b/interface/billing/sl_eob_help.php
index c0b5fa255a6..97665d0fd3b 100644
--- a/interface/billing/sl_eob_help.php
+++ b/interface/billing/sl_eob_help.php
@@ -56,6 +56,14 @@
 were not applied; these must be processed manually.  Currently denied claims and
 payment reversals are not handled automatically and so will appear in red.','e')?>
 
+<p><?php xl('If you have entered a Pay Date in the search page, this will
+override the posting date of payments and adjustments that are otherwise
+taken from the X12 file.  This may be useful for reporting purposes, if
+you want your receipts reporting to use your posting date rather than the
+insurance company\'s processing date.  Note that this will also affect
+dates of prior payments and adjustments that are put into secondary
+claims.','e') ?>
+
 <p><?php xl('The X12 files as well as the resulting HTML output reports are archived
 in the "era" subdirectory of the main OpenEMR installation directory.  You will
 want to refer to these archives from time to time.  The URL is ','e') ?>
diff --git a/interface/billing/sl_eob_process.php b/interface/billing/sl_eob_process.php
index 7b6bc55693e..87b4ba88ef6 100644
--- a/interface/billing/sl_eob_process.php
+++ b/interface/billing/sl_eob_process.php
@@ -20,6 +20,7 @@
 	include_once("remark_codes.php");
 
 	$debug = $_GET['debug'] ? 1 : 0; // set to 1 for debugging mode
+	$paydate = parse_date($_GET['paydate']);
 	$encount = 0;
 
 	$last_ptname = '';
@@ -31,7 +32,7 @@
 
 	function parse_date($date) {
 		$date = substr(trim($date), 0, 10);
-		if (preg_match('/^(\d\d\d\d)(\d\d)(\d\d)$/', $date, $matches)) {
+		if (preg_match('/^(\d\d\d\d)\D*(\d\d)\D*(\d\d)$/', $date, $matches)) {
 			return $matches[1] . '-' . $matches[2] . '-' . $matches[3];
 		}
 		return '';
@@ -97,7 +98,7 @@ function writeOldDetail(&$prev, $ptname, $invnumber, $dos, $code, $bgcolor) {
 	//
 	function era_callback(&$out) {
 		global $encount, $debug, $claim_status_codes, $adjustment_reasons, $remark_codes;
-		global $invoice_total, $last_code;
+		global $invoice_total, $last_code, $paydate;
 
 		// Some heading information.
 		if ($encount == 0) {
@@ -184,8 +185,8 @@ function era_callback(&$out) {
 
 		// Simplify some claim attributes for cleaner code.
 		$service_date = parse_date($out['dos']);
-		$check_date = parse_date($out['check_date']);
-		$production_date = parse_date($out['production_date']);
+    $check_date      = $paydate ? $paydate : parse_date($out['check_date']);
+    $production_date = $paydate ? $paydate : parse_date($out['production_date']);
 		$patient_name = $arrow['name'] ? $arrow['name'] :
 			($out['patient_fname'] . ' ' . $out['patient_lname']);
 
@@ -193,11 +194,16 @@ function era_callback(&$out) {
 
 		// This loops once for each service item in this claim.
 		foreach ($out['svc'] as $svc) {
-			$prev = $codes[$svc['code']];
+
+      // Treat a modifier in the remit data as part of the procedure key.
+      // This key will then make its way into SQL-Ledger.
+      $codekey = $svc['code'];
+      if ($svc['mod']) $codekey .= ':' . $svc['mod'];
+      $prev = $codes[$codekey];
 
 			// This reports detail lines already on file for this service item.
 			if ($prev) {
-				writeOldDetail($prev, $patient_name, $invnumber, $service_date, $svc['code'], $bgcolor);
+				writeOldDetail($prev, $patient_name, $invnumber, $service_date, $codekey, $bgcolor);
 				// Check for sanity in amount charged.
 				$prevchg = sprintf("%.2f", $prev['chg'] + $prev['adj']);
 				if ($prevchg != abs($svc['chg'])) {
@@ -219,7 +225,7 @@ function era_callback(&$out) {
 				}
 				****/
 
-				unset($codes[$svc['code']]);
+				unset($codes[$codekey]);
 			}
 
 			// If the service item is not in our database...
@@ -228,15 +234,15 @@ function era_callback(&$out) {
 				// This is not an error. If we are not in error mode and not debugging,
 				// insert the service item into SL.  Then display it (in green if it
 				// was inserted, or in red if we are in error mode).
-				$description = 'CPT4:' . $svc['code'] . " Added by $inslabel $production_date";
+				$description = "CPT4:$codekey Added by $inslabel $production_date";
 				if (!$error && !$debug) {
-					slPostCharge($arrow['id'], $svc['chg'], $service_date, $svc['code'],
+					slPostCharge($arrow['id'], $svc['chg'], $service_date, $codekey,
 						$insurance_id, $description, $debug);
 					$invoice_total += $svc['chg'];
 				}
 				$class = $error ? 'errdetail' : 'newdetail';
 				writeDetailLine($bgcolor, $class, $patient_name, $invnumber,
-					$svc['code'], $production_date, $description,
+					$codekey, $production_date, $description,
 					$svc['chg'], ($error ? '' : $invoice_total));
 
 			}
@@ -275,13 +281,13 @@ function era_callback(&$out) {
 			if ($svc['paid']) {
 				if (!$error && !$debug) {
 					slPostPayment($arrow['id'], $svc['paid'], $check_date,
-						"$inslabel/" . $out['check_number'], $svc['code'], $insurance_id, $debug);
+						"$inslabel/" . $out['check_number'], $codekey, $insurance_id, $debug);
 					$invoice_total -= $svc['paid'];
 				}
 				$description = "$inslabel/" . $out['check_number'] . ' payment';
 				if ($svc['paid'] < 0) $description .= ' reversal';
 				writeDetailLine($bgcolor, $class, $patient_name, $invnumber,
-					$svc['code'], $check_date, $description,
+					$codekey, $check_date, $description,
 					0 - $svc['paid'], ($error ? '' : $invoice_total));
 			}
 
@@ -309,7 +315,7 @@ function era_callback(&$out) {
 					// Post a zero-dollar adjustment just to save it as a comment.
 					if (!$error && !$debug) {
 						slPostAdjustment($arrow['id'], 0, $production_date,
-							$out['check_number'], $svc['code'], $insurance_id,
+							$out['check_number'], $codekey, $insurance_id,
 							$reason, $debug);
 					}
 					writeMessageLine($bgcolor, $class, $description . ' ' .
@@ -319,12 +325,12 @@ function era_callback(&$out) {
 				else {
 					if (!$error && !$debug) {
 						slPostAdjustment($arrow['id'], $adj['amount'], $production_date,
-							$out['check_number'], $svc['code'], $insurance_id,
+							$out['check_number'], $codekey, $insurance_id,
 							"$inslabel adjust code " . $adj['reason_code'], $debug);
 						$invoice_total -= $adj['amount'];
 					}
 					writeDetailLine($bgcolor, $class, $patient_name, $invnumber,
-						$svc['code'], $production_date, $description,
+						$codekey, $production_date, $description,
 						0 - $adj['amount'], ($error ? '' : $invoice_total));
 				}
 			}
diff --git a/interface/billing/sl_eob_search.php b/interface/billing/sl_eob_search.php
index 2dc873f36ad..a9710404c6a 100644
--- a/interface/billing/sl_eob_search.php
+++ b/interface/billing/sl_eob_search.php
@@ -179,9 +179,12 @@ function bucks($amount) {
 <head>
 <link rel=stylesheet href="<?echo $css_header;?>" type="text/css">
 <title><?xl('EOB Posting - Search','e')?></title>
+<script type="text/javascript" src="../../library/textformat.js"></script>
 
 <script language="JavaScript">
 
+var mypcc = '1';
+
 function checkAll(checked) {
  var f = document.forms[0];
  for (var i = 0; i < f.elements.length; ++i) {
@@ -228,7 +231,8 @@ function npopup(pid) {
   </td>
   <td>
    <input type='text' name='form_paydate' size='10' value='<?php echo $_POST['form_paydate']; ?>'
-    title='<?xl("Date of payment mm/dd/yyyy","e")?>'>
+    onkeyup='datekeyup(this,mypcc)' onblur='dateblur(this,mypcc)'
+    title='<?xl("Date of payment yyyy-mm-dd","e")?>'>
   </td>
   <td>
    <?xl('Amount:','e')?>
@@ -611,7 +615,8 @@ function npopup(pid) {
  function processERA() {
   var f = document.forms[0];
   var debug = f.form_without.checked ? '1' : '0';
-  window.open('sl_eob_process.php?eraname=<?php echo $eraname ?>&debug=' + debug, '_blank');
+  var paydate = f.form_paydate.value;
+  window.open('sl_eob_process.php?eraname=<?php echo $eraname ?>&debug=' + debug + '&paydate=' + paydate, '_blank');
   return false;
  }
 <?php
diff --git a/library/Claim.class.php b/library/Claim.class.php
index 1c8afb9e97a..5afd4a191cf 100644
--- a/library/Claim.class.php
+++ b/library/Claim.class.php
@@ -34,6 +34,54 @@ class Claim {
   var $invoice;           // result from get_invoice_summary()
   var $payers;            // array of arrays, for all payers
 
+  function loadPayerInfo(&$billrow) {
+    global $sl_err;
+
+    // Create the $payers array.  This contains data for all insurances
+    // with the current one always at index 0, and the others in payment
+    // order starting at index 1.
+    //
+    $this->payers = array();
+    $this->payers[0] = array();
+    $dres = sqlStatement("SELECT * FROM insurance_data WHERE " .
+      "pid = '{$this->pid}' AND provider != '' " .
+      "ORDER BY type");
+    while ($drow = sqlFetchArray($dres)) {
+      $ins = ($drow['provider'] == $billrow['payer_id']) ?
+        0 : count($this->payers);
+      $crow = sqlQuery("SELECT * FROM insurance_companies WHERE " .
+        "id = '" . $drow['provider'] . "'");
+      $orow = new InsuranceCompany($drow['provider']);
+      $this->payers[$ins] = array();
+      $this->payers[$ins]['data']    = $drow;
+      $this->payers[$ins]['company'] = $crow;
+      $this->payers[$ins]['object']  = $orow;
+    }
+
+    $this->using_modifiers = true;
+
+    // Get payment and adjustment details if there are any previous payers.
+    //
+    $this->invoice = array();
+    if ($this->payerSequence() != 'P') {
+      SLConnect();
+      $arres = SLQuery("select id from ar where invnumber = " .
+        "'{$this->pid}.{$this->encounter_id}'");
+      if ($sl_err) die($sl_err);
+      $arrow = SLGetRow($arres, 0);
+      if ($arrow) {
+        $this->invoice = get_invoice_summary($arrow['id'], true);
+      }
+      SLClose();
+      // Secondary claims might not have modifiers in SQL-Ledger data.
+      // In that case, note that we should not try to match on them.
+      $this->using_modifiers = false;
+      foreach ($this->invoice as $key => $trash) {
+        if (strpos($key, ':')) $this->using_modifiers = true;
+      }
+    }
+  }
+
   // Constructor. Loads relevant database information.
   //
   function Claim($pid, $encounter_id) {
@@ -50,9 +98,15 @@ function Claim($pid, $encounter_id) {
     $res = sqlStatement($sql);
     while ($row = sqlFetchArray($res)) {
       if (!$row['units']) $row['units'] = 1;
-      // Consolidate duplicate procedure codes.
+      // Load prior payer data at the first opportunity in order to get
+      // the using_modifiers flag that is referenced below.
+      if (empty($this->procs)) $this->loadPayerInfo($row);
+      // Consolidate duplicate procedures.
       foreach ($this->procs as $key => $trash) {
-        if ($this->procs[$key]['code'] == $row['code']) {
+        if ($this->procs[$key]['code'] == $row['code'] &&
+            ($this->procs[$key]['modifier'] == $row['modifier'] ||
+             !$this->using_modifiers))
+        {
           $this->procs[$key]['units'] += $row['units'];
           $this->procs[$key]['fee']   += $row['fee'];
           continue 2; // skip to next table row
@@ -108,60 +162,29 @@ function Claim($pid, $encounter_id) {
     $this->referrer = sqlQuery($sql);
     if (!$this->referrer) $this->referrer = array();
 
-    // Create the $payers array.  This contains data for all insurances
-    // with the current one always at index 0, and the others in payment
-    // order starting at index 1.
-    //
-    $this->payers = array();
-    $this->payers[0] = array();
-    $dres = sqlStatement("SELECT * FROM insurance_data WHERE " .
-      "pid = '{$this->pid}' AND provider != '' " .
-      "ORDER BY type");
-    while ($drow = sqlFetchArray($dres)) {
-      $ins = ($drow['provider'] == $this->procs[0]['payer_id']) ?
-        0 : count($this->payers);
-      $crow = sqlQuery("SELECT * FROM insurance_companies WHERE " .
-        "id = '" . $drow['provider'] . "'");
-      $orow = new InsuranceCompany($drow['provider']);
-      $this->payers[$ins] = array();
-      $this->payers[$ins]['data']    = $drow;
-      $this->payers[$ins]['company'] = $crow;
-      $this->payers[$ins]['object']  = $orow;
-    }
-
-    // Get payment and adjustment details if there are any previous payers.
-    //
-    $this->invoice = array();
-    if ($this->payerSequence() != 'P') {
-      SLConnect();
-      $arres = SLQuery("select id from ar where invnumber = " .
-        "'{$this->pid}.{$this->encounter_id}'");
-      if ($sl_err) die($sl_err);
-      $arrow = SLGetRow($arres, 0);
-      if ($arrow) {
-        $this->invoice = get_invoice_summary($arrow['id'], true);
-      }
-      SLClose();
-    }
-
   } // end constructor
 
   // Return an array of adjustments from the designated payer for the
-  // designated procedure code, or for the claim level.  For each
-  // adjustment give date, group code, reason code and amount.
+  // designated procedure key (might be procedure:modifier), or for the claim
+  // level.  For each adjustment give date, group code, reason code, amount.
   //
   function payerAdjustments($ins, $code='Claim') {
     $aadj = array();
     $inslabel = ($this->payerSequence($ins) == 'S') ? 'Ins2' : 'Ins1';
 
+    // If we have no modifiers stored in SQL-Ledger for this claim,
+    // then we cannot use a modifier passed in with the key.
+    $tmp = strpos($code, ':');
+    if ($tmp && !$this->using_modifiers) $code = substr($code, 0, $tmp);
+
     // For payments, source always starts with "Ins" or "Pt".
     // Nonzero adjustment reason examples:
-    //   Ins1 adjust code 42 (Charges exceed our fee schedule or maximum allowable amount)
+    //   Ins1 adjust code 42 (Charges exceed ... (obsolete))
     //   Ins1 adjust code 45 (Charges exceed your contracted/ legislated fee arrangement)
     //   Ins1 adjust code 97 (Payment is included in the allowance for another service/procedure)
     //   Ins1 adjust code A2 (Contractual adjustment)
     //   Ins adjust Ins1
-    //   adjust code 42
+    //   adjust code 45
     // Zero adjustment reason examples:
     //   Co-pay: 25.00
     //   Coinsurance: 11.46  (code 2)
@@ -184,12 +207,14 @@ function payerAdjustments($ins, $code='Claim') {
             $rcode = $tmp[1];
           }
           else if (preg_match("/$inslabel/i", $rsn, $tmp)) {
+            // Nothing to do.
           }
           else if ($inslabel == 'Ins1') {
             if (preg_match("/\$adjust code (\S+)/i", $rsn, $tmp)) {
               $rcode = $tmp[1];
             }
             else if ($chg) {
+              // Nothing to do.
             }
             else if (preg_match("/Co-pay: (\S+)/i", $rsn, $tmp) ||
               preg_match("/Coinsurance: (\S+)/i", $rsn, $tmp)) {
@@ -219,23 +244,35 @@ function payerAdjustments($ins, $code='Claim') {
     return $aadj;
   }
 
-  // Return the amount and date paid by the designated prior payer.
-  // If $code is specified then only that procedure code is selected.
+  // Return date, total payments and total adjustments from the designated
+  // prior payer. If $code is specified then only that procedure key is
+  // selected, otherwise it's for the whole claim.
   //
-  function payerPaidAmount($ins, $code='') {
+  function payerTotals($ins, $code='') {
+    // If we have no modifiers stored in SQL-Ledger for this claim,
+    // then we cannot use a modifier passed in with the key.
+    $tmp = strpos($code, ':');
+    if ($tmp && !$this->using_modifiers) $code = substr($code, 0, $tmp);
+
     $inslabel = ($this->payerSequence($ins) == 'S') ? 'Ins2' : 'Ins1';
-    $amount = 0;
+    $paytotal = 0;
+    $adjtotal = 0;
     $date = '';
     foreach($this->invoice as $codekey => $codeval) {
       if ($code && $codekey != $code) continue;
       foreach ($codeval['dtl'] as $key => $value) {
         if (preg_match("/$inslabel/i", $value['src'], $tmp)) {
           if (!$date) $date = str_replace('-', '', trim(substr($key, 0, 10)));
-          $amount += $value['pmt'];
+          $paytotal += $value['pmt'];
         }
       }
+      $aarr = $this->payerAdjustments($ins, $codekey);
+      foreach ($aarr as $a) {
+        $adjtotal += $a[3];
+        if (!$date) $date = $a[0];
+      }
     }
-    return array(sprintf('%.2f', $amount), $date);
+    return array($date, sprintf('%.2f', $paytotal), sprintf('%.2f', $adjtotal));
   }
 
   // Return the amount already paid by the patient.
@@ -540,6 +577,12 @@ function cptModifier($prockey) {
     return x12clean(trim($this->procs[$prockey]['modifier']));
   }
 
+  // Returns the procedure code, followed by ":modifier" if there is one.
+  function cptKey($prockey) {
+    $tmp = $this->cptModifier($prockey);
+    return $this->cptCode($prockey) . ($tmp ? ":$tmp" : "");
+  }
+
   function cptCharges($prockey) {
     return x12clean(trim($this->procs[$prockey]['fee']));
   }
diff --git a/library/classes/WSClaim.class.php b/library/classes/WSClaim.class.php
index 13cb588e5aa..710b5e9d76a 100644
--- a/library/classes/WSClaim.class.php
+++ b/library/classes/WSClaim.class.php
@@ -133,15 +133,25 @@ function load_claim() {
 				$payer_info['payment_amount'] += sprintf("%01.2f",$result->fields['fee']);
 			}
 
-			$tii['maincode'] = $result->fields['code'];
-			$tii['itemtext'] = $result->fields['code_type'] .":" .
-        $result->fields['code'] . " " . $result->fields['code_text'] . " " .
+      // New as of 2007-06-21: wherever we put a procedure code in the
+      // invoice, append a colon and the modifier if there is one.  This way
+      // we can better match up payments and adjustments with the billing data
+      // in OpenEMR.
+      $codekey = $result->fields['code'];
+      if ($result->fields['modifier']) $codekey .= ':' . $result->fields['modifier'];
+
+      $tii['maincode'] = $codekey;
+      $tii['itemtext'] = $result->fields['code_type'] .":" .
+        $codekey . " " . $result->fields['code_text'] . " " .
         $result->fields['justify'];
 
 //		$tii['qty'] = $result->fields['units'];
 //		if (!$tii['qty'] > 0) {
 //			$tii['qty'] = 1;
 //		}
+
+      // We always store units as 1 in order to avoid awkward round-off errors
+      // that might happen when dividing the fee by units.
       $tii['qty'] = 1;
 
 			$tii['price'] = sprintf("%01.2f",$result->fields['fee']);
@@ -153,6 +163,8 @@ function load_claim() {
 			$counter++;
 		}
 
+    // I think maybe this info is not used.
+    //
 		for($counter = 0; $counter < 2; $counter++)
 		{
 			$fee = 0;
@@ -173,6 +185,7 @@ function load_claim() {
 			$invoice_info["interest$counter"] = 0;
 			$invoice_info["billtoid$counter"] = $billto;
 		}
+
 		$invoice_info['subtotal'] = sprintf("%01.2f",$total);
 		$invoice_info['total'] = sprintf("%01.2f",$total);
 
diff --git a/library/gen_x12_837.inc.php b/library/gen_x12_837.inc.php
index 62b3bbbff12..8e28e29b320 100644
--- a/library/gen_x12_837.inc.php
+++ b/library/gen_x12_837.inc.php
@@ -489,6 +489,8 @@ function gen_x12_837($pid, $encounter, &$log) {
     "*" . $claim->facilityZip() .
     "~\n";
 
+  $prev_pt_resp = $clm_total_charges; // for computation below
+
   // Loops 2320 and 2330*, other subscriber/payer information.
   //
   for ($ins = 1; $ins < $claim->payerCount(); ++$ins) {
@@ -521,17 +523,21 @@ function gen_x12_837($pid, $encounter, &$log) {
           "~\n";
       }
 
-      $payerpaid = $claim->payerPaidAmount($ins);
+      $payerpaid = $claim->payerTotals($ins);
       ++$edicount;
       $out .= "AMT" . // Previous payer's paid amount. Page 332.
         "*D" .
-        "*" . $payerpaid[0] .
+        "*" . $payerpaid[1] .
         "~\n";
 
+      // Patient responsibility amount as of this previous payer.
+      $prev_pt_resp -= $payerpaid[1]; // reduce by payments
+      $prev_pt_resp -= $payerpaid[2]; // reduce by adjustments
+
       ++$edicount;
       $out .= "AMT" . // Patient responsibility amount per previous payer. Page 335.
         "*F2" .
-        "*" . sprintf('%.2f', $claim->invoiceTotal() - $payerpaid[0]) .
+        "*" . sprintf('%.2f', $prev_pt_resp) .
         "~\n";
 
     } // End of things that apply only to previous payers.
@@ -599,11 +605,7 @@ function gen_x12_837($pid, $encounter, &$log) {
 
     ++$edicount;
     $out .= "SV1" .     // Professional Service. Page 400.
-      "*HC:" . $claim->cptCode($prockey);
-    if ($claim->cptModifier($prockey)) { $out .=
-      ":" . $claim->cptModifier($prockey);
-    }
-    $out .=
+      "*HC:" . $claim->cptKey($prockey) .
       "*" . sprintf('%.2f', $claim->cptCharges($prockey)) .
       "*UN" .
       "*" . $claim->cptUnits($prockey) .
@@ -613,11 +615,11 @@ function gen_x12_837($pid, $encounter, &$log) {
       "~\n";
 
     if (!$claim->cptCharges($prockey)) {
-      $log .= "*** Procedure '" . $claim->cptCode($prockey) . "' has no charges!\n";
+      $log .= "*** Procedure '" . $claim->cptKey($prockey) . "' has no charges!\n";
     }
 
     if (!$claim->diagIndex($prockey)) {
-      $log .= "*** Procedure '" . $claim->cptCode($prockey) . "' is not justified!\n";
+      $log .= "*** Procedure '" . $claim->cptKey($prockey) . "' is not justified!\n";
     }
 
     ++$edicount;
@@ -659,11 +661,11 @@ function gen_x12_837($pid, $encounter, &$log) {
       if ($claim->payerSequence($ins) > $claim->payerSequence())
         continue; // payer is future, not previous
 
-      $payerpaid = $claim->payerPaidAmount($ins, $claim->cptCode($prockey));
-      $aarr = $claim->payerAdjustments($ins, $claim->cptCode($prockey));
+      $payerpaid = $claim->payerTotals($ins, $claim->cptKey($prockey));
+      $aarr = $claim->payerAdjustments($ins, $claim->cptKey($prockey));
 
-      if ($payerpaid[0] == 0 && !count($aarr)) {
-        $log .= "*** Procedure '" . $claim->cptCode($prockey) .
+      if ($payerpaid[1] == 0 && !count($aarr)) {
+        $log .= "*** Procedure '" . $claim->cptKey($prockey) .
           "' has no payments or adjustments from previous payer!\n";
         continue;
       }
@@ -671,16 +673,13 @@ function gen_x12_837($pid, $encounter, &$log) {
       ++$edicount;
       $out .= "SVD" . // Service line adjudication. Page 554.
         "*" . $claim->payerID($ins) .
-        "*" . $payerpaid[0] .
-        "*HC:" . $claim->cptCode($prockey);
-      if ($claim->cptModifier($prockey)) $out .=
-        ":" . $claim->cptModifier($prockey);
-      $out .=
+        "*" . $payerpaid[1] .
+        "*HC:" . $claim->cptKey($prockey) .
         "*" .
         "*" . $claim->cptUnits($prockey) .
         "~\n";
 
-      $tmpdate = $payerpaid[1];
+      $tmpdate = $payerpaid[0];
       foreach ($aarr as $a) {
         ++$edicount;
         $out .= "CAS" . // Previous payer's line level adjustments. Page 558.