1. United States
2. Neb.
3. Letter

The Medicare payment system is in desperate need of reform to address the unsustainable financial strain on independent physician practices. The latest 1.68% pay cut for physicians who treat Medicare patients, on top of last year's 2% reduction, fails to account for the soaring costs of running a medical practice due to inflation. This threatens to exacerbate the shortage of providers willing to accept new Medicare patients, jeopardizing timely access to essential care for millions of seniors. As the costs of staffing, supplies, and overhead continue to climb, physician payment rates have lagged far behind the rising expenses. When adjusted for inflation, Medicare reimbursement to doctors in 2024 is 30% lower than it was over two decades ago in 2001. Independent physician practices operating on tight margins cannot afford these compounding pay cuts while their practice expenses rapidly escalate. Comprehensive reform is urgently needed to provide an annual inflationary update to Medicare physician payments, ensuring practices can keep up with increasing operational costs. Failure to act will force more physicians to stop accepting Medicare, diminishing care access for vulnerable senior populations, especially in underserved rural and urban areas hit hardest. Permanent, systemic solutions like those in the Strengthening Medicare for Patients and Providers Act must be prioritized to sustain a robust physician workforce for the Medicare program.