Inpatient Prospective Payment Systems (IPPS)

More than three-quarters of the nation's inpatient acute-care hospitals are paid under the inpatient prospective payment system, while nearly a quarter are paid based on costs and are called Critical Access Hospitals. The IPPS pays a flat rate based on the average charges across all hospitals for a specific diagnosis, regardless of whether that particular patient costs more or less. Everything from an aspirin to an artificial hip is included in the package price to the hospital.

Medicare Operating Disproportionate Share Hospital Payments: Impact Calculator
We are pleased CMS reversed the effects of the 0.2 percent payment reduction that was part of the original 鈥渢wo-midnight鈥 policy, and restored the resources that hospitals are lawfully due. However, we are disappointed that CMS finalized an unjustified cut to reimbursement rates for hospital鈥
Members-only Webinar The FY 2017 Inpatient PPS Proposed Rule: What You Need to Know Monday, May 16 at 3 p.m. ET
CMS published its fiscal year (FY) 2017 proposed rule for the hospital inpatient prospective payment systems (IPPS) and long-term care prospective payment systems on April 18. Major provisions are described in this advisory.
The Centers for Medicare & Medicaid Services today issued proposed rules for inpatient rehabilitation facilities, skilled nursing facilities and hospice providers for fiscal year 2017.