Massachusetts Medicaid spending on Temporary National Codes (Non-Medicare) services reaches $1.36 billion in 2024

In 2024, Massachusetts Medicaid payments for services identified under the Temporary National Codes (Non-Medicare) designation totaled $1,360,643,811, based on data from the U.S. Department of Health and Human Services Medicaid Provider Spending database. This represented an increase of 6.2% over 2023, when claims amounted to $1,281,729,935.

Medicaid is a state-managed health insurance program jointly funded by federal and state governments. It provides coverage to low-income residents, including families, seniors, children and individuals with disabilities, and is a major component of the nation’s health care system.

As Medicaid funding comes from public sources, shifts in billing activity reflect how communities allocate health care resources from taxpayers.

The “Temporary National Codes (Non-Medicare)” group refers to a collection of Medicaid services identified by specific codes, according to standardized HCPCS and CPT code classifications. For this report, codes were assigned to service categories by code prefix and number range to group similar services and avoid overlap, ensuring accuracy in tracking changes and ranking over time.

Multiple forms of care may be grouped within these categories where relevant. Such groupings combine related Medicaid service types, including office visits, diagnostic services and therapeutic care, that are often billed together.

During the five years preceding 2024, Medicaid spending on services in the Temporary National Codes (Non-Medicare) category in Massachusetts climbed by $495,681,009, or 57.3%. Increases were especially notable in certain periods, particularly 2021 and 2023.

While payments for services in this category were distributed across the state, the largest amounts were concentrated in several ZIP codes. In 2024, ZIP Code 01501 accounted for $90,284,197 (6.6% of the total), ZIP Code 01701 had $52,746,952 (3.9%), and ZIP Code 02301 received $51,365,528 (3.8%).

The top three ZIP codes combined represented 14.3% of all Medicaid payments in this category throughout the year.

Statewide, Medicaid spending across all service categories grew by 0.3% from 2023 to 2024.

The Temporary National Codes (Non-Medicare) group was among the top two Medicaid service categories in Massachusetts by total payment in 2024, alongside other leading claim groups.

Centers for Medicare & Medicaid Services data show combined federal and state Medicaid expenditures reached about $871.7 billion in fiscal year 2023, comprising around 18% of the nation’s total health spending, a sharp rise from $613.5 billion in 2019, prior to the COVID-19 pandemic.

This rise equates to about 40% growth in just a few years, largely due to higher enrollment and increased service use during and following the pandemic.

Recent federal budget actions during the Trump administration have featured substantial proposals to reduce federal contributions and reform Medicaid. For instance, provisions in the “One Big Beautiful Bill Act,” signed in 2025, are expected to cut federal Medicaid funding by over $1 trillion over the next decade. New policies including work rules and added cost sharing could diminish funding and coverage for certain groups, shifting more financial responsibility to states as the program continues to support millions of Americans.

This article is based on data from the U.S. Department of Health and Human Services Medicaid Provider Spending database. The original data source is available here.