CMS Issues Proposed 2024 Medicare Physician Fee Schedule

8/31/2023

On July 13, 2023, the Centers for Medicare & Medicaid Services (CMS) released its proposed 2024 Medicare physician fee schedule (MFPS). Highlights of the proposed MFPS include:

• a reduction of the conversion factor by 3.34% for 2023, from $33.89 down to $32.75 due to the expiration of the 2.5% statutory payment increase for 2023, a 1.25% statutory payment increase for 2024, and a 2.17% budget-neutrality reduction.

• a proposal to maintain the definition of “substantive portion” of an E/M service performed by both a physician and non-physician practitioner. Clinicians who furnish a split visit will continue to have a choice of history, physical exam, medical decision making, or more than half of the total time spent to define the substantive portion to determine which practitioner will bill the visit.