At AAFP I learned that the average physician practice has revenues of about $500,000. Certainly there are many with more and some with less, but you can substitute your number into the calculation. I also learned that the average AAFP user does about 20% Medicare. Of course, each practice can pull up their own figures.
Using these averages, that means that the average practice does about $100,000 in Medicare reimbursement.
The penalties for now showing meaningful use of a certified EHR are:
2015 – 1%
2016 – 2%
2017 – 3%
2018 – 4% (HHS Secretary Option)
2019 – 5% (HHS Secretary Option)
or…using the Medicare numbers above that calculates out to:
2015 – $1000
2016 – $2000
2017 – $3000
2018 – $4000
2019 – $5000
Of course, this doesn’t take into account that many think the penalties will be delayed and may never go into effect. However, is $1000-$5000 of penalties worth the effort to show meaningful use? Although, when you add the Medicare penalties above, no matter the amount, on top of the other Medicare cuts and you can understand the outrage when it comes to Medicare.
This is certainly only one part of the EHR decision making process. However, it does illustrate well why the EMR stimulus penalties aren’t motivating providers to implement EHR software.