CMS is proposing a 2.4% increase in aggregate Medicare payments to home health agencies for 2027—about $420 million compared with 2026. That is the headline. It is not yet the final rule, and it is not a 2.4% raise for every provider.

Wage indexes, case mix, LUPAs and each organization’s patient mix still decide what lands in the bank. The practical move now is to run 2026 claims through a 2027 scenario, then find where authorization delays, missed visits and late documentation erase the gain.

A payment update can improve the top line. A clean workflow protects what reaches the bottom line.

Source reviewed: CMS: CY 2027 Home Health PPS proposed rule. The source supports the reported update; the operational recommendations are DomAfina’s analysis.