Medicare Financial Management Manual (Pub. 100-06), Ch. 4 § 40
Withholds and Suspensions
40 – Withholds and Suspensions
(Rev. 29, 01-02-04)
In accordance with regulations (42 CFR §405.370), recoupment and suspension are defined as:
Recoupment- The recovery by Medicare of any outstanding Medicare debt by reducing present or future
Medicare payments and applying the amount withheld to the indebtedness.
Suspension of Payment- The withholding of payment by an intermediary or carrier from a provider of an
approved Medicare payment amount before a determination of the amount of the overpayment exists.