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Physician payment outlook for 2012
  1. Laxmaiah Manchikanti1,2,
  2. Joshua A Hirsch3,4,5,
  3. Robert M Barr6,
  4. William D Donovan7,
  5. Greg N Nicola8
  1. 1Pain Management Center of Paducah, Paducah, Kentucky, USA
  2. 2Anesthesiology and Perioperative Medicine, University of Louisville, Louisville, Kentucky, USA
  3. 3Deparment of Radiology, Massachusetts General Hospital, Boston, Massachusetts, USA
  4. 4Deparment of Neurosurgery, Massachusetts General Hospital, Boston, Massachusetts, USA
  5. 5Department of Radiology, Harvard Medical School, Boston, Massachusetts, USA
  6. 6Mecklenburg Radiology Associates, PA, Charlotte, North Carolina, USA
  7. 7The William W Backus Hospital, Norwich, Connecticut, USA
  8. 8Hackensack University Medical Center, Department of Radiology, Hackensack, New Jersey, USA
  1. Correspondence to Dr L Manchikanti, 2831 Lone Oak Road, Paducah, Kentucky 42003, USA; drlm{at}


Physician spending is complex and intrinsically related to national health care spending, government regulations, health care reform, private insurers, physician practice and patient utilization patterns. Consequently, since the inception of Medicare programs in 1965, several methods have been used to determine the amounts paid to physicians for each covered service. The sustainable growth rate (SGR) was enacted in 1997 to determine physician payment updates under Medicare part B with an intent to reduce Medicare physician payment updates to offset the growth and utilization of physician services that exceeds the gross domestic product growth. This is achieved by setting an overall target amount of spending for physicians' services and adjusting payment rates annually to reflect differences between actual spending and the spending target. Since 2002, the SGR has annually recommended reductions in Medicare reimbursements. Payments were cut by 4.8% in 2002. Since then, Congress has intervened on 13 separate occasions to prevent additional cuts from being imposed. This manuscript describes certain important aspects of the 2012 physician fee schedule.

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  • The manuscript is a brief version of Manchikanti L, et al. Physician payment outlook for 2012: Déjà Vu. Pain Physician 2012;15:E27–E52. This version is published with the consent of all the authors and the permission of the journal Pain Physician.

  • Correction notice This article has been corrected since it was published Online First. The disclosure information on the first page has been updated.

  • Competing interests JAH is a consultant for CareFusion and serves on the Steering Committee for the KAVIAR trial (volunteer position) and the Data and Safety Monitoring Board (DSMB): CEEP trial (volunteer position).

  • Provenance and peer review Not commissioned; not externally peer reviewed.