Final answer:
The term 'non-facility' in the context of Physician Fee Schedule payments refers to services provided in settings like a physician's private practice, as opposed to a hospital or inpatient setting.
Step-by-step explanation:
The term “non-facility” when calculating Physician Fee Schedule payments refers to services that are provided in settings other than hospitals or other inpatient facilities. This typically means the services are performed in settings such as a physician's private practice. This is relevant to payment calculations because reimbursement rates can be higher for non-facility settings due to the lower overhead costs compared to a hospital or similar healthcare facility.