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Take action to prevent Medicare payment cuts in 2022

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Health care professionals are facing imminent payment cuts of up to 9.75 percent stemming from Medicare Physician Fee Schedule (PFS) adjustments as well as the Medicare sequester and the Statutory Pay-As-You-Go (PAYGO) Act. Congress took action in passing the Consolidated Appropriations Act, 2021 to mitigate the impact of payment cuts initiated by the CY 2021 PFS. The Consolidated Appropriations Act contained a 3.75 percent payment adjustment for all PFS services in CY 2021 as part of the congressional relief provided for the impending payment cuts. This payment adjustment afforded some short-term stability for health care professionals struggling with the impact of the COVID-19 pandemic. This critical piece of congressional relief is expiring at the end of the calendar year and adds to impending cuts resulting from the expiring moratorium on the 2 percent Medicare sequester cut and the 4 percent Medicare payment cut due to PAYGO, which was triggered by the passage of the American Rescue Plan. The combined impact of the PFS cut, Medicare sequester, and PAYGO means that all health care professionals are likely facing at least 9.75 percent in cuts to Medicare payment unless Congress takes action.

As Congress considers a framework to ensure appropriate reimbursements and improve the Medicare payment system broadly, lawmakers must act before the end of the year to avert the imminent cuts, including extending the 3.75 percent payment adjustment, and provide continued stability for physicians and other health care professionals. Otherwise, the profound exhaustion from the pandemic combined with the stress of uncertainty in payments may lead to further retirements, office closures, or reduced staffing, ultimately limiting patient access to care.   

Take action by contacting your lawmaker to share how these cuts could jeopardize patient care or negatively impact your practice.

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