Introduction
The Capitation Rate Calculator is a useful tool for healthcare providers and organizations to determine the capitation rate, which is the payment received per member per month. Capitation rates play a crucial role in healthcare finance, allowing providers to allocate resources effectively. This calculator simplifies the process of calculating capitation rates, providing accurate results in a matter of seconds.
How to Use
Using the Capitation Rate Calculator is easy and straightforward. Follow these steps:
- Enter the revenue per visit in dollars ($) in the designated field.
- Input the number of visits per 1,000 enrollees.
- Click the “Calculate” button to obtain the Capitation Rate.
Formula
The Capitation Rate (CR) is calculated using the following formula:
Where:
- CR = Capitation Rate (per member per month capitation rate)
- RPV = Revenue per visit
- V = Visits per 1,000 enrollees
Example
Let’s consider an example:
- RPV (Revenue per visit) = $75
- V (Visits per 1,000 enrollees) = 1,200
Using the formula:
So, the Capitation Rate in this example is $9.00 per member per month.
FAQs
Q1. What is a Capitation Rate?
A Capitation Rate is the fixed amount of money that a healthcare provider receives for each enrolled member per month, regardless of the actual services provided.
Q2. How can I use the Capitation Rate Calculator effectively?
Simply enter the revenue per visit and the number of visits per 1,000 enrollees, then click the “Calculate” button to obtain the Capitation Rate.
Q3. Can this calculator be used for insurance or healthcare budgeting?
Yes, healthcare organizations and insurance providers often use Capitation Rates to budget and allocate resources effectively.
Conclusion
The Capitation Rate Calculator is a valuable tool for healthcare professionals and organizations to determine the monthly payment per enrolled member. This calculation is essential for budgeting and resource allocation in the healthcare industry, making it an indispensable tool for financial planning.