2. Medicare reimburses your practice $79.13 for HCPCS 99214, Office Visit, Established Patient (for contrast 99204, New Patient is reimbursed at $166.13). You, the physician, want to know how much money you make on these patients. Calculate the cost for 99214 given the information below, how much do you make for your efforts, assume you devote 20 minutes per patient. Assume you see three patients per hour, work five days per week, and 48 weeks per year, what is your expected total income?

Standard Cost Profile for Nursing

(V+F)*P

Cost Category Variable Fixed Input Price Avg Total Cost

Salary (nurse) - 0.5 $32.00 ____________

Health Insurance - 0.5 $2.50 ____________

SSI (7.65% of salary) - - - ____________

Retirement (4% of salary) - - - ____________

Unemployment Ins (0.5% of salary) - - - ____________

Average total cost per visit ____________

Standard Treatment Profile

Service Unit Quantity ATC Total Cost

Appointment/Registration (visit) 1.0 $5.00 ________

Nursing (visit) 1.0 ____ ________

Medical Supplies (units) 4.0 $2.50 ________

Malpractice (visit) 1.0 $1.00 ________

Utilities (hour) 0.5 $1.00 ________

Rent (hour) 0.5 $7.00 ________

Pat. Acctg. (visit) 1.0 $6.00 ________

Other - $5.00 $5.00

Total Cost per Visit ________

Total Profit per Visit ________

Total Income per Year ________