Monthly Archive for: ‘March, 2013’

  • What is IPPS (inpatient prospective payment system) for Medicare?

    The purpose of the post is to briefly explain how to calculate operating and capital DRG (diagnosis related groups) payments. “Under the IPPS, each case is categorized into a diagnosis-related group (DRG). Each DRG has a payment weight assigned to it, based on the average …

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  • Operating and Capital Cost-to-Charge Ratios (CCR)

    The purpose of this post is to explain how Medicare calculates the operating and capital cost to charge ratios. Medicare informs that it is the latest settled or tentatively settled cost report that is used for calculating cost-to-charge ratios. First, we must obtain a statistic …

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