Contract Amendment Impact Calculator
Compare two sets of payment terms on the same annual activity. See the separate effects of base rates and second-procedure payments.
Enter your figures
Try a worked example, or enter your own non-identifying totals.
USD · Up to 2 decimal places · Calculation v1.0.0
Use 1,234.56 or 1234,56. Do not enter patient information.
Your result will appear here.
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Compare the same activity under two sets of terms
Hold annual volume and service mix constant while changing the base multiplier, second-procedure payment or a separate annual adjustment. This isolates the modeled effect of the terms from any change in demand.
Choose the reference and payment factors
The reference amounts are supplied by you. A base multiplier of 106% means 1.06 times that amount. A second-procedure payment factor of 50% pays half of the modeled second service after the base multiplier.
The model covers a primary service and one eligible second service in a selected share of cases. It does not apply modifier, third-procedure, bundling or patient-benefit rules. Use a separate calculation for component-specific reductions.
Why a higher rate can produce a lower total
Load the example: 10,000 cases, a $100 primary reference and an $80 second reference in 40% of cases. At a 100% base and 75% second-procedure factor, the total is $1,240,000.
Raising the base to 106% while lowering the second factor to 50% gives $1,229,600—a decrease of $10,400. Restore the second factor to 75% and calculate again to isolate the base increase. These are illustrative reference amounts and terms.
Add a separate fixed effect only once
The optional annual adjustment accepts a positive or negative estimate not already included elsewhere. It is not an automatic calculation of carve-outs. The result changes the base first, the second-procedure factor next and the fixed adjustment last; this order determines the displayed breakdown.
Take the assumptions into the review
The output is a modeled allowance, not a forecast of cash, profit or demand. Check the inputs against the relevant terms before using the comparison in a decision.
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