Skilled nursing facilities (SNFs) provide a valuable service to communities, meeting the needs of people with complex medical conditions who require short-term rehabilitation or longer-term care. Unfortunately, SNFs are navigating an increasingly complicated operational environment shaped by shrinking capacity, workforce shortages, new payment models, rising costs, and regulatory pressures. The shift from traditional Medicare to Medicare Advantage, combined with inadequate Medicaid funding, has resulted in revenue not keeping pace with higher costs related to staffing challenges and inflation. Conversely, changing demographics and evolving market demands are opening the door to new revenue streams and care models.
To remain resilient amid the volatility, SNFs need to stay on top of what’s impacting operations and consider strategic opportunities. Here are important trends to watch.
