Sequestration 101

Unless Congress and the President act in the next week, a process called “sequestration” – a product of the federal Budget Control Act of 2011 – will take effect in which significant cuts in federal spending will automatically and immediately take effect.

Significantly, from the perspective of hospitals, all Medicare payments to hospitals will be cut two percent.  (Medicaid is not affected by sequestration).

But what is sequestration and what are its implications for Medicare and those who depend on Medicare to pay for their patients’ services?

Learn more about sequestration here, on The Medicare Newsgroup web site, where you also will find several FAQs on different aspects of sequestration and its implications for Medicare.

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