Here are five major updates on physician pay cuts:
1. Congress halved 2024’s 3.4% Medicare pay cut for physicians to roughly 1.7% in a $460 billion spending package released in March. The cut comes on top of last year’s 2% Medicare physician pay reduction.
2. Many physicians were disappointed by Congress’ move. The American Medical Association said in a blog post that the cut was not enough as the cost of running a practice is becoming unsustainable for many physicians.
3. The original pay cut, released in CMS’ 2024 Physician Fee Schedule Final Rule Nov. 2, cut overall physician pay by 1.25% and updated the Medicare conversion factor to $32.74.
4. Additionally, many physicians are facing more pay cuts from the cost-performance category of the merit-based incentive payment system, which could reduce Medicare payments by up to 9%.
5. The Medicare Payment Advisory Commission released a report to Congress in March recommending a roughly 3% year-over-year pay increase for physicians.
At the Becker’s 32nd Annual Meeting: The Business and Operations of ASCs, taking place October 29-31 in Chicago, ASC leaders, surgeons and healthcare executives will explore strategies to drive growth, enhance operational performance, navigate reimbursement challenges and prepare for the future of ambulatory surgery. Apply for complimentary registration now.