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Practice Fusion · May 10, 2016

Earn $63,750 in State Medicaid EHR Incentive Payments

The Centers for Medicare & Medicaid Services (CMS) currently provide EHR incentive payments to eligible professionals participating in Medicare and Medicaid programs who adopt, implement, upgrade, and demonstrate meaningful use of certified Electronic Health Record (EHR) technology.

The last year to begin participating in the Medicaid EHR Incentive Program is 2016. Eligible professionals may receive Medicaid EHR incentive payments for up to $63,750 over six years, although it is not required for an eligible professional to participate on a consecutive annual basis. However, 2021 is the final year the eligible professional can receive Medicaid EHR incentive payments.

Medicaid Incentive Payments Overview:

  • Only one incentive payment per year.
  • Pattern of incentives are same regardless of start year.
  • First year payment is $21,250.
  • Maximum incentives are $63,750 over six years.
  • Must begin by 2016 to receive incentive payments.

Medicaid Incentives

Max payout per year First year of participation First year of participation
  2015 2016
2015 $21,250  
2016 $8,500 $21,250
2017 $8,500 $8,500
2018 $8,500 $8,500
2019 $8,500 $8,500
2020 $8,500 $8,500
2021   $8,500
Total $63,750 $63,750

Key differences between the Federal and State Medicaid Incentive programs:

Federal Medicare EHR Incentive Program State Medicaid EHR Incentive Program
Administered by CMS. Administered by your State Medicaid Agency.
Maximum incentive amount is $44,000. Maximum incentive amount is $63,750.
Payments over five consecutive years. Payments over six years, does not have to be consecutive.
Providers must demonstrate meaningful use every year to receive incentive payments. In the first year providers can receive an incentive payment for adopting, implementing, or upgrading EHR technology.
Providers must demonstrate meaningful use in the remaining years to receive incentive payments.
Medicare EPs include:<ul><li>Doctor of medicine or osteopathy.<li>Doctor of dental surgery or dental medicine.<li>Doctor of podiatric medicine.<li>Doctor of optometry.<li>Chiropractor. Medicaid EPs include:<ul><li>Physician.<li>Nurse practitioner.<li>Certified nurse – midwife.<li>Dentist.<li>Some physician assistants.<li>Doctor of optometry (certain states only).</ul>

The EHR Incentive program is administered voluntarily by states. Hardship extensions and participation grace periods are provided in some states.

Select a state below to learn more about participating:

Meaningful Use support every step of the way

We make participating in Meaningful Use easy. With a Practice Fusion account, contact our Meaningful Use Specialists and maximize your EHR Incentive payments.