News|Slideshows|November 4, 2025

8 big takeaways from the 2026 Medicare physician fee schedule

Fact checked by: Chris Mazzolini

Reimbursement inches up, but new efficiency rules and telehealth changes may leave independent practices feeling squeezed.

What your practice should do now

1. Model your reimbursement changes.

Use your top 20 CPT codes and model how the new conversion factors and efficiency adjustments will affect revenue. CMS provides detailed tables and relative value file downloads for this purpose.

2. Reassess your telehealth workflow.

Confirm all billing locations and enrollment records match CMS requirements. If physicians work remotely, ensure proper credentialing and compliance under the new supervision rules.

3. Prepare for documentation and coding updates.

Train billing teams on new G-codes for integrated care management and ensure EHR templates align with 2026 coding changes.

4. Monitor specialty-society advocacy.

Stay connected to updates from groups like the AMA, MGMA, and your specialty association — many are urging Congress for mid-year fixes or inflationary adjustments.

5. Adjust budgets early.

Factor in the efficiency adjustment when setting 2026 budgets, especially if you rely heavily on non-time-based procedures.

When the Centers for Medicare & Medicaid Services (CMS) released the 2026 Medicare Physician Fee Schedule (PFS) final rule, it gave practice administrators plenty to digest — from modest rate bumps to new efficiency adjustments and shifting telehealth rules.

While CMS framed the changes as part of its effort to “modernize and align payment accuracy,” many independent physicians see the update as a mixed bag. Medical Economics called it a “policy grab bag,” warning that smaller practices could feel the brunt of the adjustments.

Here’s what you need to know — and what it means for your practice.

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