Optometry Practices NAICS 621320

Jul 5, 2025 - US Senate Ignores Request To Change Medicare Fee Schedule

• Federal legislators ignored a request by a group of medical societies and physician groups to change the Senate proposal for the 2026 Medicare Physician Fee Schedule to match one that was passed in the US House of Representatives version of the One Big Beautiful Bill reconciliation legislation. The 75 groups and societies said that the Medicare Payment provision in the House-passed One Big Beautiful Bill represents a "critical step" toward stabilizing the Medicare Physician Fee Schedule. The Senate passed its version of the reconciliation legislation on July 1 without adjusting its 2026 Medicare Physician Fee Schedule proposal. The legislation signed into law by President Trump included the unmodified Senate proposal which, like the US House version, contains a one-year 2.5% increase in the Medicare Physician Fee Schedule conversion factor for 2026. Medicare physician payments have decreased 33% since 2001 when adjusted for inflation, according to Healthcare Finance, with visible consequences, including the loss of independent physicians and practices in rural areas. The Senate version of the bill also includes steeper cuts to Medicaid than the projected $715 billion in the House version of the bill that passed in May.
• US tariffs on Chinese imports could result in increased costs for frames, sunglasses, and other glasses imports like readers, goggles, and blue light glasses, according to the US International Trade Commission. China is currently the largest source of eyeglass frames and mounting (plastic and non-plastic) imports into the US and the second-largest source of non-glass spectacle lenses (with Mexico coming in first). Prices of production equipment including but not limited to lens grinding and coating equipment, lens generators, lens finding machines, lens polishers, and lens edgers are also likely to be impacted by tariffs.

• Optometry practice owners have been selling their practices and retiring at an increasing rate during the past five years, according to Invision Magazine. This has boosted demand for associate Doctors of Optometry to fill the vacant spots. Private practice is not appealing when it’s a choice between going into debt to start your business or accepting a high six-figure salary and a generous package as an employee, according to Invision. Compensation demanded by young optometrists reflects the disparity between low supply and high demand. The average day rate for a part-time optometrist is now above $700 and, in some markets, above $800.
• Optometry practice employment and average wages for nonsupervisory employees increased slightly during the first five months of 2025, according to the US Bureau of Labor Statistics. US optometry practice sales are forecast to grow at a 6.08% compounded annual rate from 2024 to 2028, faster than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.