Derived fee items for general practice

Publication date: 1 July 2026

Derived fees apply to a range of attendance items that are used when services are provided outside of consulting rooms, including some MBS items used in residential aged care facilities.

An item is a derived fee item if the MBS benefit payable depends on the number of patients that are seen at the location. Not all out of consulting rooms items are derived fee items. Some out of consulting rooms items attract a flag fall, instead of using a derived fee. See AN.35.1 and AN.35.2 for further information on flag falls.

To facilitate assessment of the correct Medicare benefit in respect of a number of patients attended on the one occasion at one location, it is important that the total number of patients seen be recorded on each individual account, receipt or assignment agreement. For example, where ten patients were visited (for a brief consultation) in the one facility on the one occasion, each account, receipt or assignment agreement would show "Item 4 - 1 of 10 patients" for a general practitioner. 

The number of patients seen should not include attendances which do not attract a Medicare benefit (e.g. public in-patients, attendances for normal after-care), or where a Medicare benefit is payable under an item other than these derived fee items (e.g. health assessments, care planning, emergency after-hours attendance - first patient).