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Major Updates in the CY 2026 Medicare Physician Fee Schedule Final Rule



On Friday, October 31, 2025, the U.S. Centers for Medicare & Medicaid Services (CMS) released Calendar Year (CY) 2026 Medicare Physician Fee Schedule (PFS) Final Rule (Final Rule). The Final Rule introduces significant policy changes affecting Medicare Part B payments and drug pricing as well as other provisions impacting Inflation Reduction Act (IRA) rebates. This document highlights the changes most relevant to pharmaceutical pricing, contracting, reporting, and reimbursement, particularly focusing on Average Sales Price (ASP) calculations, bona fide service fees (BFSFs), and Inflation Reduction Act of 2022 (IRA) provisions.

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