decisionhealth Newsletters, Coder Pink Sheets - 2025 Issue 11 (November)
2026 fee schedule: CF gets a boost, RVUs take a hit
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Article Overview
This article summarizes finalized 2026 Medicare physician fee schedule updates and explains how they affect reimbursement patterns across site of service. It focuses on broad policy changes to practice expense and work RVUs, the two conversion factors for 2026, and CMS’s efficiency adjustment framework. The piece is most relevant to physicians, surgeons, coders, and revenue cycle professionals tracking how Medicare payment methodology changes may alter relative reimbursement in different settings.
Why This Topic Matters
The article helps readers understand how 2026 Medicare payment methodology changes may shift reimbursement by site of service and by service category. It is useful for practices that need to anticipate budget, coding, and payment impacts from CMS fee schedule updates.
Article Sections
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Overview of 2026 Medicare fee schedule changes
Introduces the major changes finalized for 2026 and frames their impact on physician reimbursement. Summarizes the broad policy areas addressed in the rule.
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Non-facility setting favored in practice expense RVU revamp
Explains the site-of-service changes affecting practice expense RVUs and contrasts facility and non-facility payment patterns. Describes the broader rationale CMS gives for revising indirect practice expense methodology.
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Where to find the expected impact
Discusses how CMS presents the estimated impact of the practice expense changes and illustrates the effect on payment for a selected service. Focuses on how specialty and setting differences may show up in the final fee schedule.
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A 2.5% cut to work RVUs will ding thousands of services, procedures
Covers the efficiency adjustment applied to a large set of services and the associated work RVU revisions. Notes the scope of the change and the kinds of services affected.
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New and time-based codes exempted
Summarizes the exclusions CMS applies to the efficiency adjustment and identifies categories of services left out of the change. Also addresses the timing of future revisions.
What You Will Learn
- How the finalized 2026 Medicare physician fee schedule changes are structured
- Which broad reimbursement components are affected by the new rule
- How site of service influences practice expense RVU treatment
- What kinds of services are excluded from the efficiency adjustment
- How CMS approaches periodic revisiting of work RVUs and service times
Who Should Read This
- Physicians
- Surgeons
- Medical coders
- CPC-certified coders
- Revenue cycle professionals
- Practice managers
- Healthcare reimbursement analysts
Codes Discussed
Code Ranges Discussed
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