SIMPLE CMS EXPLANATION OF MEDICARE PHYSICIAN FEE SCHEDULE
CMS issued a relatively simple explanation of the Medicare Physician Fee Schedule on February 19, 2008. The release is entitled The Revised Medicare Physician Fee Schedule Fact Sheet for January 2008. It explains the following:
1. the work, practice expense, and malpractice expense components of the RVU formula;
2. the conversion factor process, the six month reprieve of the SGR reductions so that the conversion factor for the first six months of 2008 will be $38.0870;
3. the fact that the conversion factor will revert back to $34.0682 as of July 1, 2008.