Timed codes only — untimed codes bill one unit regardless and are excluded from both calculations. Which rule applies is set by the payer, not chosen by the practice.
How the two timed-unit rules differ
Medicare’s 8-minute rule aggregates: add up all timed minutes for the visit, divide by 15 for whole units, and grant one more unit if the remainder is at least 8. Forty minutes of treatment is 2 units plus a 10-minute remainder — 3 units total, however the minutes were split across codes.
The AMA rule of eights (the midpoint rule) never aggregates: each timed service earns its own units from its own minutes, with the same 15-and-remainder arithmetic per code. Three services of 10 minutes each are 3 units under the AMA rule — but 30 total minutes is only 2 units under Medicare’s. The same visit, documented identically, bills differently under the two rules; which one applies is set by the payer contract.
For the worked examples, what does not count toward the timed total, and the errors that quietly cost units, see the 8-minute rule explained.
How units are calculated inside the software
The calculator above works from minutes you type in. In MegAligna the minutes come from the daily note, the rule comes from that payer’s configuration, and the resulting units land on the charge without anyone re-deriving them.
The distinction matters at volume: checking one visit by hand is quick, and checking thirty a day is where the transcription errors start.
Common questions
Why is 8 minutes the threshold?
Do untimed codes count toward the minutes?
Which rule do commercial payers follow?
Try it end to end with test data
14 days, no card required. Use made-up patients while you evaluate — real patient information waits until a business associate agreement is in place.