One out of every five dollars Medicare spends goes to nursing homes, home health services or other post-acute facilities and services. The spending varies greatly between states: Louisiana spends 31 percent on post-acute services while Hawaii spends 12 percent.

This chart breaks down Medicare’s 2011 spending into five broad categories. The totals may not add up exactly to 100 percent because of rounding. Spending has been adjusted for the different wage scales Medicare pays as well as special payments such as for hospitals that teach residents. The spending per Medicare beneficiary has been adjusted to take into account different illness levels among states’ Medicare beneficiaries. The figures include only traditional “fee for service” Medicare spending on beneficiaries age 65 and older. Spending on Medicare managed care plans, also known as Medicare Advantage, is not included.

Source: Centers for Medicare & Medicaid Services

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