How to Pay for an EHR: Grants, Resources and Strategies for Human Services Agencies 

There comes a time when most agencies outgrow their paper-based system or homegrown documentation systems. Records are hard to find, compliance issues start piling up, and client care becomes inefficient.  

But making the leap to a full Electronic Health Record (EHR) system? That feels overwhelming. 

The costs seem steep, and you need to watch every dollar. But here’s the thing: switching to an EHR isn’t just an upgrade—it’s a critical move that will save you money, reduce operational headaches, ensure compliance, and free up your team to focus on what matters most: delivering top-quality care. 

So, how can your agency afford it? How do you pay for an EHR System? The good news is that there are grants, incentive programs, and financing options that can help. In this guide, we’ll break down your best options, so when the time comes, you’ll be ready to make your move. 

Start with a Cost Breakdown: What Does an EHR Really Cost? 

To make the right decision, you must first understand what you’re paying for. An EHR system has multiple price components—from setup to ongoing support. 

Core EHR Costs

Your basic EHR costs include implementation fees, monthly subscriptions, and licensing. These costs cover the essential functions of your EHR, like client management, progress notes, billing, and compliance features. Some EHR systems, like Foothold’s AWARDS, offer additional modules (such as E-Prescribing, Data Analytics, and Change Healthcare Integration) that are built-in or available as add-ons, depending on your package. 

Hidden Costs to Watch For

While core costs are essential, be aware of hidden fees that could sneak up later. These include customizations, extra training hours, and third-party integrations. Foothold Technology provides transparency in its pricing, helping agencies understand what’s included upfront so you avoid surprises down the road. 

How to Pay for an EHR: Pursuing Federal Grants and Incentive Programs for EHR Funding 

Federal support for EHR adoption is available through several grant and incentive programs. While these programs won’t typically cover the initial purchase of an EHR, they can help offset the ongoing costs of maintaining and optimizing the system once it’s up and running. 

Medicare and Medicaid Promoting Interoperability Programs 

These programs offer incentive payments to eligible professionals, hospitals, and critical access hospitals that adopt and use EHR technology in meaningful ways. To qualify, providers must use ONC-certified EHR systems and meet criteria such as maintaining a 90-day EHR reporting period and tracking Electronic Clinical Quality Measures (eCQMs). This can significantly reduce the long-term cost of your EHR, but it’s important to note that these incentives come into play after you’ve implemented the system. 

MACRA and the Quality Payment Program 

The Medicare Access and CHIP Reauthorization Act (MACRA) created the Quality Payment Program (QPP), which offers two tracks for providers to receive financial rewards: 

1. Merit-based Incentive Payment System (MIPS): Providers can earn a positive payment adjustment based on their data submission. 

2. Advanced Alternative Payment Models (APM): Providers participating in certain advanced models are eligible for a 5% Medicare incentive payment. 

SAMHSA CCBHC Expansion Grants 

If your agency is working toward becoming a Certified Community Behavioral Health Clinic (CCBHC), you may qualify for SAMHSA (Substance Abuse and Mental Health Services Administration), grants, which help community-based behavioral health providers adopt EHRs. Your agency’s health information technology (HIT) plan must outline how the EHR will support health information exchange to improve care transitions. 

Details can be found on SAMHSA’s CCBHC grants page. 

Maximize State-Level Funding and Telehealth Grants 

While federal programs are widely known, state-level funding often provides additional opportunities for EHR financing. Many states offer grants specifically tailored to healthcare technology for public and nonprofit agencies. 

State Medicaid and Behavioral Health Grants 

Many states provide funding through Medicaid waivers or other healthcare-focused programs, allowing agencies to upgrade their technology infrastructure. For example, state behavioral health agencies often allocate funds to nonprofits adopting EHRs to improve care for underserved populations. Be sure to research your state’s specific programs and inquire about eligibility. 

COVID-19 Telehealth Funding 

The COVID-19 pandemic saw an influx of grants and funding opportunities for telehealth services. If your agency incorporates telehealth into your care model, you may qualify for funding that covers EHR integrations with telehealth platforms, enabling seamless remote care delivery. Both federal and state governments continue to support telehealth expansion, making this an excellent time to explore these funding streams. 

For more details on telehealth funding, visit the Telehealth Resource Centers. 

Understanding Payment Models for EHR Systems 

The payment model you choose for your EHR can greatly impact your agency’s financial health and make a huge difference to your bottom line. Consider the following options when planning your EHR purchase: 

Subscription vs. One-Time Licensing 

In a subscription model, agencies pay a monthly or yearly fee for access to the EHR software. This approach is ideal for agencies needing to spread costs over time. On the other hand, a one-time licensing model involves paying upfront, which can be more cost-effective in the long term for agencies with available capital. Both models have their pros and cons, so it’s essential to choose one that aligns with your financial goals and cash flow. 

Vendor Financing and Leasing Options 

Many EHR vendors offer financing options or leasing programs, allowing agencies to adopt the technology without a significant upfront investment. Financing spreads the cost over several years, while leasing allows agencies to use the system without fully owning it. Both options provide flexibility, especially for agencies looking to balance immediate operational needs with long-term financial planning. 

Healthcare-specific lenders like First American Healthcare Finance offer tailored financing solutions for EHR adoption, making it easier for nonprofits to secure funding. 

Tips to Reduce Implementation and Training Costs 

Proper planning can drastically reduce the cost of implementing an EHR system. The key is to invest in the right resources upfront to avoid costly mistakes later. 

Comprehensive Training Programs 

Training your staff to use the new system is a critical part of EHR adoption. While training can be expensive, it’s worth the investment to ensure staff understand how to use the system effectively, preventing errors and inefficiencies. Some vendors, including Foothold Technology, offer tailored training programs designed to meet your agency’s specific needs. 

Strategic Implementation 

A well-planned implementation process saves money in the long run. Partnering with an EHR implementation consultant can help your agency avoid common pitfalls, such as workflow disruptions or data migration issues, which can drive up costs. Make sure to allocate enough time and resources to the implementation phase to ensure a smooth transition. 

Calculating the Return on Investment (ROI) for and EHR System

Adopting an EHR system is a significant investment, but the long-term benefits can far outweigh the costs if implemented effectively. To calculate the ROI of your EHR, focus on the following metrics: 

Key Metrics to Track 

• Efficiency gains: Automation of administrative tasks like billing, scheduling, and documentation. 

• Billing accuracy: Reduction in billing errors leading to quicker reimbursements. 

• Improved care outcomes: Tracking client outcomes can help your agency demonstrate the value of the care you provide, which may open up additional funding opportunities. 

With built-in analytics tools, many EHR systems, including Foothold AWARDS, allow agencies to track these metrics and continuously assess their ROI. 

Plan Your EHR Financing Strategy Today 

Making the switch to an EHR doesn’t have to break the bank. By exploring grants, choosing the right payment model, and planning for implementation, your agency can adopt the technology you need without straining your finances. 

At Foothold Technology, we understand the challenges human services agencies face when adopting new technology and figuring out how to pay for an EHR. That’s why we offer flexible pricing options and customized training to ensure your agency’s success with our AWARDS EHR. Contact us today to learn more about how we can support your EHR journey.