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Tier 1payment_ruleApprovedev-us-ipps-fy2026-fs

FY 2026 Hospital Inpatient Prospective Payment System (IPPS) and LTCH PPS Final Rule, CMS-1833-F

Centers for Medicare & Medicaid Services (CMS)

Summary

CMS pays acute care hospitals a single payment for each case, set by the MS-DRG assigned at discharge. FY2026 operating rates rise 2.6 per cent for hospitals meeting quality reporting and Promoting Interoperability requirements, a projected 5.0 billion dollar increase overall, of which about 192 million dollars is new-technology add-on payments for other technologies. The same rule carries the Transforming Episode Accountability Model, the Hospital-Acquired Condition Reduction Program 1 per cent penalty for the worst-performing quartile and the Hospital Value-Based Purchasing 2 per cent withhold.

Supporting location Background on the IPPS and LTCH PPS; Changes to IPPS Payment Rates; Changes to TEAM

Open source

Published

31 Jul 2025

Applicable from

1 Oct 2025

Accessed

2 Sep 2026

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