The Children's Health Insurance Program (CHIP) is funded jointly by the federal government and states through a formula based on the Medicaid Federal Medical Assistance Percentage (FMAP). As an incentive for states to expand their coverage programs for children, Congress created an “enhanced” federal matching rate for CHIP that is generally about 15 percentage points higher than the Medicaid rate — averaging 71% nationally. For example, if a state has a
50% match rate for Medicaid, they may have a 65% match rate for CHIP. See information on Medicaid financing. Because CHIP is a capped program, each state is provided an annual CHIP allotment. Every fiscal year, the Centers for Medicare & Medicaid Services (CMS) determines the share of program funding (PDF, 711.35 KB) they will pay that year. States must provide matching funds to get their federal funding allotment. On December 21, 2017, Congress passed the Further Continuing Appropriations Act, 2018, which provides $2.85 billion in funding for CHIP allotments for the first half of FY 2018. CMS has calculated preliminary allotments for each state (PDF, 102.81 KB). This legislation modifies the methodology for calculating redistribution payments under section 2104(f) of the Social Security Act and specifies that, at this time, CMS should not recover redistribution grants already issued to emergency shortfall states. CMS intends to provide more information regarding the modified redistribution
methodology after January 1, 2018. The Affordable Care Act extends CHIP through most of 2015 and beginning October 1, 2015 the already enhanced CHIP federal matching rate will increase by 23 percentage points, bringing the average federal matching rate for CHIP to 93%. The enhanced federal matching rate continues until September 30, 2019. More information on federal funding in the Affordable Care Act. Medicaid & Children’s Health Insurance Program Budget & Expenditure System (MBES/CBES) States can operate CHIP as a program separate from Medicaid, as an expansion of the Medicaid program, or a combination of both program types. States submit CHIP forms CMS-64 and CMS-21 to CMS to make sure that federal payments for state expenditures under Medicaid
and CHIP are appropriate and to track the number of children served by the programs. States that operate their CHIP as an expansion of Medicaid use forms CMS-37 and CMS-64. Administrative costs associated with CHIP programs operated as an expansion of a state Medicaid program may also be included on the forms CMS-21 if the state opts to claim Federal Financial Participation (FFP) at the enhanced Federal Medical Assistance Percentage. CHIP as Separate ProgramStates that operate their CHIP as a separate program use the Quarterly CHIP Statement of Expenditures to submit their actual recorded expenditures and the disposition of federal funds each quarter. States enter estimated costs for the separate CHIP program on the CMS-21B series of forms, while actual spending cost data is entered on the CMS-21 series of forms. Health Services InitiativesStates have the option to use available CHIP allotment within the 10 percent administrative cap to develop a state-designed Health Services Initiatives to improve the health of low-income children. More information is available on the Health Services Initiative (PDF, 79.6 KB). Historical NHE, 2020:
For further detail see NHE Tables in downloads below. Projected NHE, 2019-2028:
For further detail see NHE projections 2019-2028 in downloads below. NHE by Age Group and Gender, Selected Years 2002, 2004, 2006, 2008, 2010, 2012, and 2014:
For further detail see health expenditures by age in downloads below. NHE by State of Residence, 1991-2020:
For further detail, see health expenditures by state of residence in downloads below. NHE by State of Provider, 1980-2020:
For further detail, see health expenditures by state of provider in downloads below. Downloads
What does Medicaid spend the most on?Managed care and health plans3 accounted for the largest share of Medicaid spending (49 percent) (with the majority of that share (46 percent) representing payments to comprehensive MCOs), 23 percent of Medicaid spending is for fee-for-service acute care, 21 percent for fee-for-service long-term care, 3 percent for DSH ...
What percentage of the US government budget is used to pay for Medicare and Medicaid?Historical NHE, 2020:
NHE grew 9.7% to $4.1 trillion in 2020, or $12,530 per person, and accounted for 19.7% of Gross Domestic Product (GDP). Medicare spending grew 3.5% to $829.5 billion in 2020, or 20 percent of total NHE. Medicaid spending grew 9.2% to $671.2 billion in 2020, or 16 percent of total NHE.
Which group contributes the most to Medicaid spending?More than half of all Medicaid spending for services is attributable to the elderly and persons with disabilities, who make up one in five Medicaid enrollees (Figure 3). Dual eligible beneficiaries – who are enrolled in both Medicare and Medicaid — account for almost 34 percent of all spending.
What does Medicare spend the most on?Medicare plays a major role in the health care system, accounting for 20 percent of total national health spending in 2017, 30 percent of spending on retail sales of prescription drugs, 25 percent of spending on hospital care, and 23 percent of spending on physician services.
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In 2015, a total of 23% of the federal budget was spent on medicaid and which of the following?
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