Charge Description Master (CDM)
A charge description master (CDM), or chargemaster, is the comprehensive electronic catalog of every billable item and service a facility offers, with associated codes and prices. Maintaining an accurate CDM is foundational to correct charge capture and clean claims in a surgery center.
What is a charge description master (CDM)?
A charge description master (CDM), often called a chargemaster, is the master catalog of every billable item and service a facility can charge for, along with each item's description, internal charge code, associated standardized billing codes, and price. It functions as the central reference that the billing system draws on to build claims.
Because nearly every charge that reaches a claim originates from an entry in the CDM, the master file is one of the most important data assets in a facility's revenue cycle.
Why does maintaining the CDM matter?
An accurate, current CDM is essential to correct charge capture and clean claims; outdated codes, wrong prices, or stale entries propagate errors across thousands of claims. Regular CDM review keeps pricing, code mappings, and regulatory updates aligned with how care is actually delivered and billed.
For an ambulatory surgery center, the CDM must reflect the specific procedures, implants, and supplies the center uses, and it must track annual code and payment changes. A neglected chargemaster quietly produces denials, compliance exposure, and revenue leakage that are difficult to trace back to their source.
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