Should Your GP Practice Register for the Bulk Billing Practice Incentive Program?
The short answer
The Bulk Billing Practice Incentive Program pays an additional 12.5% on MBS benefits for practices that commit to bulk billing every eligible patient. The payment is split equally between the GP and the practice. Whether the numbers work depends on your current billing mix, your patient population, and how much of your income comes from private fees. For practices already close to full bulk billing, registration is worth running through the numbers on carefully.

From 1 November 2025, the Australian Government has been paying an additional 12.5% on MBS benefits to general practices that join the Bulk Billing Practice Incentive Program (BBPIP). The goal is to triple the number of fully bulk-billing practices to approximately 4,800 nationally and push the share of GP visits that are bulk-billed to 9 in 10 by 2030.
For practices already working at a high bulk-billing rate, this is a meaningful financial incentive. For those with a significant private-billing income stream, the trade-off is more complicated — committing to full bulk billing means foregoing gap fees in exchange for the 12.5% uplift plus the broader standard MBS bulk billing incentives that now apply to all Medicare-eligible patients.
This post sets out how the BBPIP works, what it requires, and how to frame the financial decision for your practice.
What does BBPIP actually pay?
BBPIP provides a quarterly incentive payment equal to 12.5% of the total MBS benefits paid to the practice in that quarter for eligible services. The payment is split equally: half goes to the GP, half to the practice. That structure matters — the GP share goes to individual doctors, not to the practice entity, so you need to account for this in your employment agreements and practice distribution model.
| Quarter MBS benefits paid | BBPIP incentive (12.5%) | GP share | Practice share |
|---|---|---|---|
| $50,000 | $6,250 | $3,125 | $3,125 |
| $80,000 | $10,000 | $5,000 | $5,000 |
| $120,000 | $15,000 | $7,500 | $7,500 |
These are illustrative examples only. Actual BBPIP payments are calculated by Services Australia based on verified MBS billing data for each registered practice.
Standard MBS bulk billing incentives are separate from BBPIP. Eligibility expanded to all Medicare-eligible patients from November 2025, but the service and item conditions still apply. Not every consultation automatically attracts a BBI, and a practice need not join BBPIP to claim an otherwise eligible BBI.
What does a practice have to do to qualify?
Participation in BBPIP comes with firm obligations. You cannot claim the incentive while maintaining a mixed-billing or opt-in approach for certain patients.
- Bulk bill all BBPIP-eligible services for all Medicare-eligible patients in accordance with the program rules
- Meet the applicable MyMedicare registration and accreditation requirements
- Register as a fully bulk-billing practice in the National Health Services Directory (NHSD)
- Display Medicare Bulk Billing Practice signage at the practice location (with exceptions for practices without a physical site)
- Complete formal registration for BBPIP via Services Australia
- Ensure all eligible providers participate and are correctly linked to the practice in the Organisation Register
Check the current eligible-services list rather than assuming the rule covers every activity at the practice. Charging a gap on a BBPIP-eligible service can jeopardise entitlement. Non-MBS services and any specific exceptions need separate treatment under the current guidelines.
How does the financial decision compare to staying mixed-billing?
The financial case for BBPIP depends primarily on what you are currently earning from private fees versus what the 12.5% uplift would replace. For a practice billing largely concession card holders and children — where the previous BBI already applied to most consultations — the additional standard BBI extension to all patients plus the 12.5% BBPIP may well exceed foregone gap fees.
For a mixed-billing practice, model eligible MBS benefits, gap fees that would be forgone, changes in eligible BBIs and the practice’s service-fee arrangements with doctors. Show the GP and practice shares separately. The practice does not retain the full 12.5% incentive, and total private billings are not the same as gap-fee income.
Our earlier post on bulk billing incentives and GP margins includes a worked example of how the previous BBI structure affected per-consult economics, which provides useful context for this comparison.
Do not assume higher patient volume will make up a shortfall. Test the result at current capacity first, then model any additional appointments with their associated staffing and operating costs.
What are the practical administration requirements?
Configure billing software for the current BBPIP-eligible services list and train staff on the rules. Check procedures, longer consultations and after-hours items individually rather than applying a blanket assumption to every service.
Practices also need to monitor their NHSD listing to ensure it accurately reflects bulk-billing status. If the listing lapses or is incorrect, Services Australia may question BBPIP eligibility. Quarterly payment reconciliation — confirming that the BBPIP amount received matches what your MBS billing data would indicate — is worth building into your financial processes.
For practices with multiple locations or an employed GP model rather than a contractor structure, the split of the GP share between individual doctors also needs to be documented clearly and consistently.
What should I do before deciding?
Use your last 12 months of billing data to identify the benefits attached to eligible services. Calculate the incentive, allocate it between doctors and the practice, and compare the change with forgone gap fees and any change in service-fee income. Include eligible BBIs without counting them twice, and allow for quarterly incentive payment timing.
Look at your current BBI claims and how much of your income already comes from patients where the extended BBI now applies. If you were already claiming BBI on most consultations before the expansion, the incremental benefit from the BBI extension may be modest, and the BBPIP calculation becomes more important.
If you want to work through the numbers for your specific practice, the contact form at /#contact is the right starting point.
Sources
- Department of Health — BBPIP program guidelines
- Department of Health — BBPIP eligible services
- Department of Health — Bulk billing incentives in general practice
This article is general information, not financial or tax advice. Worked examples use illustrative figures. Check current program rules and speak to a registered tax agent about your own circumstances.

