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RelibillMedical Billing
RelibillMedical Billing

Specialty

Therapy units come from documented minutes, not from the appointment slot.

Physical therapy billing applies timed-code rules, service-based evaluation codes, plan-of-care certification, and assistant modifiers. Medicare's 8-minute rule is a common standard. Commercial plans sometimes pay differently, so the payer on the claim decides which unit method applies.

Specialty rules are applied to the practice's payers, documentation, and schedule during the engagement.

Where the billing gets difficult

Units taken from the scheduled hour

Four units billed because the slot was an hour, while the note shows twenty minutes, will not survive a review.

Plans of care that expire

Treatment after a plan expires or before certification, when the payer requires it, denies in a string of dates of service.

Assistant minutes unreported

Modifiers for therapy assistants exist so payers can apply their policy. Omitting them when an assistant furnished the minutes is a compliance problem.

Coding considerations

Timed versus service-based codes

Evaluations are often service-based. Therapeutic exercises and manual therapy are often timed. The unit method follows the code.

8-minute rule

For Medicare and payers that use it, units are calculated from total timed minutes under that rule. Other payers are not forced onto it.

Assistant modifiers

CQ and CO modifiers are applied when a therapy assistant furnished the outpatient therapy minutes those modifiers describe.

Documentation the claim needs

  • Minutes by intervention
  • A current plan of care and certification status
  • Who furnished the minutes, therapist or assistant
  • Functional progress that supports continued care

Reimbursement complexity

Therapy revenue is unit-driven, so small minute errors repeat across a full schedule. Medicare also uses a threshold mechanism, often called the KX threshold, after which additional documentation and a modifier are required. The dollar amount of that threshold changes and is not printed here as a current figure. Commercial authorizations count visits or units and run out quietly. Patient collections rise when visit limits were not explained at the evaluation.

Proposed approach

  1. 01

    Calculate units from minutes

    The note's minutes are the input. The payer's unit rule is applied after that, not before.

  2. 02

    Track plan-of-care dates

    Certification and recertification dates gate the claim.

  3. 03

    Mark assistant-furnished minutes

    Modifiers are applied from the treatment log, not from memory at billing.

Workflow checks

  • Minute-to-unit calculation
  • Plan-of-care date check
  • Assistant modifier check
  • Authorization or visit-limit countdown

Questions

Do all payers use the 8-minute rule?

No. Medicare's timed-code rule is widely referenced. Other payers may use a different unit method. The claim follows the payer being billed.

What is the current therapy threshold amount?

It changes. We describe the mechanism and look up the figure that applies to the date of service during an engagement. This page will not quote a dollar amount that will go stale.

Related services

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