Many U.S. physicians who are close to retiring are weighing the benefits and potential consequences of adopting electronic health records before leaving their practices, American Medical News reports.
Benefits
Beginning in 2011, physicians who demonstrate “meaningful use” of EHRs can qualify for up to $44,000 in Medicare incentives across five years or $64,000 in Medicaid incentives.
In addition, physicians will avoid reimbursement penalties that begin in 2015 if they adopt EHRs.
Furthermore, experts consider EHRs to be a great selling point for physicians looking to sell their practices when they retire.
Concerns
However, EHR adoption requires a significant financial investment and is not guaranteed to produce an instant financial return, according to Joseph Mack, a California-based health care consultant. Mack said EHRs alone will not add value to a practice.
The value of EHR systems will result from what physicians accomplish with the technology over time, which might vary depending on when they plan to retire.
The Choice
Todd Sherman, lead partner of the Sherman Sobin Group, said physicians who plan to retire within 10 years should concentrate on building up savings accounts before leaving the business.
Sherman noted that taking on a major expense like an EHR system could jeopardize that plan and threaten the doctor’s financial ability to retire, but it would also provide access to the federal incentives.
Ultimately, Mack said, doctors must examine the cost benefit of the EHR system. He said that physicians must determine if the system will increase profitability and thereby the value of a medical practice (Dolan, American Medical News, 8/16).
