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Discover RTM CPT code updates for 2026. Learn how new billing codes make Remote Therapeutic Monitoring more accessible and profitable for PT clinics.
By Matthew Jurek, DPT, CSCS
Remote Therapeutic Monitoring (RTM) has been transforming physical therapy practices since the introduction of new CPT codes in 2022. Now, with revolutionary changes set to take effect January 1, 2026, RTM is poised to become an even more powerful tool for enhancing patient care and clinic profitability.
As someone who’s been at the forefront of RTM implementation, I’m excited to share how these upcoming changes will make RTM more manageable, more compliant, and more profitable for therapy clinics of all sizes.
Before diving into the technical details, here’s what matters most for clinic owners and practitioners. First, CMS has essentially validated RTM’s long-term value by expanding the program rather than restricting it. Remote Therapeutic Monitoring isn’t just a pandemic-era trend that’s fading away; it’s now officially recognized as an essential adjunct to in-clinic therapy services that deserves continued support and refinement.
Second, and perhaps more importantly for day-to-day operations, compliance just got significantly easier. The new requirements are dramatically more achievable from both time and patient compliance perspectives, addressing many of the frustrations clinics have faced since 2022.
Let’s start with the device supply code that every RTM program begins with. Currently, therapists must provide patients with an FDA-approved device or software, ensure proper education and setup, document the first data transmission as “Day 1,” and then wait for 16 full days of monitoring before they can bill this code. It’s a one-time billing opportunity per episode of care, which makes the timing critical.
The game-changer coming in 2026? That 16-day monitoring requirement drops to just 2 days. Everything else stays the same, including the need for proof of data transmission, but this dramatic reduction addresses one of the biggest pain points clinics face. While this still isn’t a “bill at evaluation” code since you need proof of actual data transmission, the reduced monitoring period is invaluable for those shortened care plans that catch everyone off guard. No more losing billing opportunities when unexpected circumstances cut treatment short.
Here’s where things get really interesting. Currently, therapists need at least 16 days of data transmission within a 30-day window to bill code 98977. Sounds reasonable until you’re dealing with real patients who forget to sync their devices, go on vacation, or simply struggle with technology. Many clinics report that patient compliance is their biggest RTM challenge, and missing that 16-day threshold means no billing for the entire month’s monitoring efforts.
The 2026 solution elegantly addresses this problem by introducing a new companion code, 98985, which covers 2-15 days of data transmission within that same 30-day window. The original 98977 remains for those achieving 16-30 days of transmission. This tiered approach means clinics can now capture revenue even when patients transmit data less frequently, turning what was previously lost revenue into billable services. It’s a recognition that some monitoring is better than no monitoring, and clinics shouldn’t be penalized when patients can’t quite hit that higher threshold.
The treatment management codes have always been about the time clinicians spend outside regular treatment sessions reviewing data, adjusting programs, and communicating with patients. Currently, you need a full 20 minutes of documented management time per calendar month to bill 98980, including at least one synchronous communication via phone, video, or in-person contact. Code 98981 covers additional 20-minute increments for those patients requiring more intensive monitoring.
Starting in 2026, a new code, 98979, fills the gap for 10-19 minutes of management time. The original codes remain unchanged, but this addition is huge for partial-month patients and those requiring less intensive monitoring. Think about patients who start treatment on the 20th of the month, or those with simpler conditions who genuinely don’t need 20 minutes of management but still benefit from remote monitoring. Previously unbillable time can now generate appropriate reimbursement.
The provider eligibility for RTM services remains refreshingly broad and inclusive. Physical therapists and their assistants can bill these codes, as can occupational therapists and OTAs. Speech-language pathologists, respiratory therapists, and cognitive behavioral therapists are all included in the eligible provider list. Medical doctors can also supply devices and bill for RTM services. This wide eligibility means that multi-disciplinary practices can implement RTM across different service lines, maximizing both patient benefit and revenue potential.
Not all RTM platforms are created equal, and selecting the right technology partner can make or break your program. Look for FDA-approved devices or software that provides legitimate medical data, not just consumer fitness trackers. The interface needs to match your patient demographic – what works for younger athletes might frustrate older adults with arthritis. Strong data analytics and reporting capabilities are essential for both clinical decision-making and billing documentation. Your chosen platform should integrate seamlessly with existing clinic workflows rather than creating additional administrative burden. Perhaps most importantly, ensure your vendor provides robust customer support and implementation guidance, because even the best technology fails without proper rollout.
Success with RTM requires intentional planning across your entire team. Start by creating standardized patient onboarding protocols that ensure consistent education and setup experiences. Establish regular data review schedules so monitoring becomes routine rather than reactive. Implement consistent documentation practices that satisfy both clinical and billing requirements. Train your billing staff thoroughly on proper coding and compliance requirements, because RTM billing errors can trigger audits and payment delays.
The best RTM program means nothing without patient participation, and engagement starts with device selection. Choose a patient mobile app that patients find valuable and easy to use – if it feels like homework, compliance drops. Provide thorough initial training and don’t assume tech literacy. Offer ongoing support and encouragement through the synchronous communications that are already required for billing. Consider celebrating compliance milestones to maintain motivation throughout the care episode.
Let’s talk real numbers and what these changes mean for your practice’s revenue. Consider a typical scenario with 100 active RTM patients in your clinic. Under current rules, you might only successfully bill for about 60% of these patients – those who religiously meet the strict 16-day transmission requirement and for whom you can document the full 20 minutes of management time each month.
With the new tiered system coming in 2026, that picture changes dramatically. Your high-compliance patients who transmit data 16 or more days will continue generating revenue through code 98977. But now, those moderate-compliance patients who only manage 2-15 days of transmission become billable through the new code 98985. Patients with partial-month enrollment or simpler conditions requiring just 10-19 minutes of management time can be billed using code 98979.
This expanded billing capability could realistically increase your billable RTM services by 30-40%. For a clinic with 100 RTM patients, that translates to thousands of additional revenue dollars monthly. Even more importantly, it means you’re getting fairly compensated for the work you’re already doing with patients who benefit from monitoring but struggle with perfect compliance.
The beauty of these 2026 updates is how directly they address the real-world challenges clinics have been facing since RTM’s introduction.
Patient compliance has been the number one complaint I hear from clinic owners. When your reimbursement depends on patients remembering to sync their devices for 16 out of 30 days, you’re fighting an uphill battle. The new lower thresholds mean more patients qualify for billing even with inconsistent device use. It’s an acknowledgment that imperfect monitoring still provides clinical value.
Short treatment durations have been another major frustration. When a patient’s insurance approves six visits but they achieve their goals in four, or when someone moves mid-treatment, clinics were previously left with unbillable RTM setup costs. The new 2-day minimum for device supply billing and 10-minute minimum for management codes mean these shorter episodes can still generate appropriate reimbursement.
Mid-month starts have created billing nightmares for many practices. Starting a patient on RTM on the 25th of the month made it nearly impossible to accumulate 20 minutes of management time before month’s end. The new prorated billing options ensure you capture value regardless of start date, making RTM viable for patients beginning treatment at any point in the calendar month.
Documentation burden, while not eliminated, becomes more manageable with clearer guidelines and lower thresholds. Instead of desperately trying to document enough activity to reach 20 minutes, clinics can bill appropriately for the actual time spent, reducing the temptation to over-document or abandon billing altogether.
These 2026 changes signal something profound about the future of physical therapy and healthcare delivery. RTM is transitioning from an innovative add-on service to a standard component of comprehensive care. CMS doesn’t typically expand and refine billing codes for services they plan to eliminate – this is a clear vote of confidence in remote monitoring’s value.
Forward-thinking clinics that embrace this shift will find themselves delivering superior patient outcomes through continuous monitoring between visits. The data collected through RTM provides insights impossible to gather during weekly in-clinic sessions alone. You’ll know if patients are actually doing their home exercise programs, how they’re progressing day-to-day, and when they might need intervention before problems become critical.
From a business perspective, RTM generates additional revenue streams without requiring additional clinic space or significant overhead. It differentiates your practice in increasingly competitive markets where patients have numerous therapy options. The continuous engagement builds stronger patient relationships and loyalty, leading to better retention and referrals. Perhaps most valuable long-term is the data collection capability, which enables treatment optimization and could position your clinic for value-based care contracts as healthcare continues evolving toward outcome-based payment models.
The time to prepare for these changes is now, not December 2025. Smart clinics will use the coming months to position themselves for maximum advantage when the new codes take effect.
The 2026 RTM updates represent a watershed moment for physical therapy practices. By making compliance more achievable and billing more flexible, CMS has essentially given clinics a green light to fully integrate remote monitoring into standard care protocols.
The question isn’t whether to implement RTM anymore – it’s how quickly and effectively you can optimize your program to capitalize on these improvements. Clinics that move decisively will find themselves better positioned to serve patients, improve outcomes, and strengthen their financial foundation.
Remote Therapeutic Monitoring isn’t just surviving; it’s thriving and evolving to better serve both practitioners and patients. The 2026 changes prove that RTM is here to stay, and the barriers to entry have never been lower.
Q: Will insurance reimbursement rates change with the new codes? A: While code requirements are changing, reimbursement rates will be determined by individual payers. Historical patterns suggest new codes often match similar existing codes initially.
Q: Can I bill both old and new codes for the same patient? A: No. You’ll bill either the 2-15 day code OR the 16-30 day code based on actual data transmission, not both.
Q: Do the synchronous communication requirements change? A: No. Real-time interaction (phone, video, or in-person) remains mandatory for treatment management codes.
Q: When should I start preparing for these changes? A: Now. Understanding the changes and planning implementation ensures you maximize benefits from day one in 2026.
About the Author:
Matthew Jurek, DPT, CSCS, is the Owner and Founder of Osprey RTM Solutions & Consulting. With extensive experience in physical therapy practice management and RTM implementation, Matt helps clinics navigate the evolving landscape of remote therapeutic monitoring to improve patient outcomes and practice profitability.
