Becker's Healthcare February 5, 2025
As of Jan. 1, Medicare is paying physicians almost 3% less than last year for services provided to the country’s 66 million Medicare patients. The decreased payments aren’t a surprise or anything new, as CMS, by law, must keep physician payments budget neutral (cannot raise total Medicare spending by more than $20 million in a year).
As a result, since 2020, Medicare has cut physician pay each year, despite rising costs for physicians to run their practices. Congress has introduced special legislation four times since 2020 to try to roll back the pay cut, and this year is no different.
Five things to know about Medicare’s 2025 physician pay cut
1. The 2.83% pay decrease took effect Jan....