Prospective Payment System

CMS Proposes 2.6% Inpatient Prospective Payment System Rate Increase for FY 2025

What’s happening: The Centers for Medicare & Medicaid Services (CMS) has proposed a net increase to base Medicare inpatient payment rates (market basket update) of 2.6% for fiscal year (FY) 2025. 

What else to know: The increase is included in the FY 2025 Medicare hospital inpatient prospective payment system (IPPS) and long-term care hospital (LTCH) prospective payment system proposed rule. Comments on the proposed rule are due to CMS by June 10. 

CMS Issues Post-Acute Care Payment Proposed Rules

What’s happening: The Centers for Medicare & Medicaid Services (CMS) issued its proposed payment policies for inpatient rehabilitation facilities (IRFs), skilled-nursing facilities (SNFs), and hospices for federal fiscal year (FFY) 2025.  

What else to know: Comments on the proposed rules are due to CMS by 2 p.m. (PT) on May 28. 

Summary: Details of Final Outpatient Payment Rule

What’s Happening: A comprehensive summary of the finalized payment updates and policy changes to the Medicare outpatient prospective payment system for calendar year 2024 is available.  

What Else to Know: The provisions are generally effective Jan. 1, 2024.