decisionhealth Newsletters, Answer Books - 2009 Issue 1 (January)
Answer_Book / Drugs_Injections / You_can_bill_Medicare_for_drug_supply_wastage
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Article Overview
This article addresses Medicare billing for drug supply wastage in office-based settings. It is relevant to physicians, facilities, and coding/billing staff who handle injectable or otherwise perishable medications and need to understand how Medicare expects wasted supply, partial doses, and single-use versus multiple-use packaging to be reported. The discussion focuses on general CMS guidance, documentation expectations, and practical billing scenarios involving medication administration and discarded remainder.
Why This Topic Matters
Drug wastage can affect how much Medicare pays and how providers document administered medication. Understanding the general rules helps practices reduce avoidable waste and report administered supply more accurately.
What You Will Learn
- How Medicare addresses wastage when drugs are opened before administration
- Why scheduling and dose planning can affect medication waste
- How documentation relates to partial doses and discarded remainder
- The general distinction between single-use and multiple-use drug supplies
- How office-based practices think about billed units versus administered amounts
Who Should Read This
- Physicians
- Hospital and clinic billing staff
- Medical coders
- Charge capture staff
- Revenue cycle professionals
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