Mixed billing is a model that combines both bulk billing and private billing. It allows medical practices to remain financially sustainable while providing quality care. Under this model, certain patients, such as pensioners, healthcare card holders, and children, will still be bulk billed, while other consultations require a private fee with a Medicare rebate.
Our practice follows a mixed billing policy to balance affordability with rising healthcare costs. We bulk bill:
- Patients 16 years old and under
- Patients with a valid Healthcare Card or Pension Card
- Patients with a valid DVA Card
- Chronic Disease Management Plans
- Vaccinations, including Covid-19, Children’s Vaccinations, Influenza and other Government funded vaccines
All other patients are privately billed, with the option to claim the Medicare rebate to offset costs.
Why Practices Are Transitioning to Mixed Billing
Due to increasing financial pressures, many general practices are moving away from complete bulk billing. The Medicare rebate has not kept pace with inflation or the rising costs of running a practice, making it difficult for clinics to continue operating under a bulk billing-only/free healthcare services model.
Key reasons for adopting mixed billing include:
- Rising operational costs – Rent, utilities, medical supplies, and staff wages continue to increase.
- Medicare rebate stagnation – Rebates have not kept up with the actual costs of providing healthcare services.
- Practice sustainability – Ensuring that clinics remain open and able to invest in better services, staff, and equipment.
The True Cost of Providing Healthcare
Running a medical practice involves various fixed and variable expenses, including:
- Staff salaries – Receptionists, nurses, and administration teams are essential for a smooth-running practice.
- Medical supplies and equipment – Clinics must continually invest in new medical technology and consumables.
- Rent and utilities – Operating in a safe and accessible location comes with high costs.
- Regulatory compliance – Maintaining accreditation, insurance, and ongoing professional development for doctors.
According to the 2024 CommBank GP Insights Report, 87% of general practices reported rising operational costs, while 61% said revenue had remained stagnant or declined. Many clinics face financial difficulties that could lead to service reductions or closures without adjusting billing models.
Benefits of Mixed Billing for Patients and Practices
Mixed billing ensures that:
- Patients still have access to bulk billing where needed – Vulnerable groups continue receiving fully covered accessible healthcare.
- Clinics can remain financially viable – Allowing GPs to spend more time with each patient and provide higher-quality care.
- General practices can invest in better services – Upgrading medical equipment, hiring additional staff, and expanding services.
Addressing Patient Concerns About Mixed Billing
We understand that changes in billing policies can cause concern. However, we are committed to keeping healthcare accessible. Here’s why Florence St Family Practice billing benefits everyone:
- Medicare rebates are not designed to cover full consultation costs – This model ensures clinics can continue providing care.
- Private billing allows for longer, more thorough consultations – Rather than being pressured to see high volumes of patients, GPs can dedicate more time to individual cases.
- Patients can still claim Medicare rebates – This helps offset private fees and allows for continued affordable healthcare.
How to Reduce Out-of-Pocket Costs
Patients can take advantage of Medicare’s Safety Net Program, which provides additional rebates once a certain threshold of medical expenses is reached. Registering as a family unit can help reduce out-of-pocket costs more quickly, allowing patients to save on healthcare costs.
Supporting the Future of General Practice
The move to mixed billing is essential for ensuring the long-term sustainability of quality healthcare. Without this transition, many clinics would struggle to operate, potentially leading to fewer available services and longer patient wait times.
Have more questions? You can speak to our friendly team via call or email – all contact details can be found here. Alternatively, you can book appointments online through our website.
