RELATIVE VALUE UNITS

How Doctor’s get Paid

Let’s talk about something that not many people realize about our healthcare system: how doctors and hospitals get paid. Ever heard of RVUs? That stands for **Relative Value Units**, and it’s a system designed to measure the “value” of a medical service. Sounds harmless enough, right? But here’s the kicker—RVUs aren’t about the actual health of the patient. They’re about maximizing efficiency and profits.

In simple terms, RVUs assign a numerical value to every medical service or procedure based on its complexity, the time it takes, and the resources it uses. These values then determine how much a doctor or hospital gets reimbursed by insurance companies or Medicare. The higher the RVU, the bigger the payout.