An American Hospital Association analysis released Sept. 10 highlights how tax-exempt hospitals provided nearly $150 billion in total benefits to their communities in 2022, the most recent year comprehensive data is available from the IRS.
The total marks a nearly 50% increase in community benefit spending from 2017 to 2022. The analysis found that approximately $65 billion in benefits — representing nearly 7% of nonprofit hospitals’ total expenses — was for financial assistance for patients in need, including absorbing underpayments from Medicaid, the Children's Health Insurance Program and other federal, state or local government programs for low-income individuals.
Tax-exempt hospitals’ and health systems’ total community benefits were 15.1% of their total expenses in 2022.