Medicare provides health insurance coverage for 66 million elderly and disabled Americans but faces serious short- and long-term financial pressures. To address these pressures, policymakers need to consider options that involve raising additional revenues, finding ways to generate program savings, or likely both. Post-acute care (PAC) is one area where current Medicare payment rates have been deemed excessive and warrant payment reductions. Medicare enrollees who need recuperation and rehabilitation services after an acute inpatient hospital stay can receive PAC in skilled nursing facilities, inpatient rehabilitation facilities, long-term care hospitals, or at home through the home health care benefit. Under rules that vary by PAC setting, enrollees may also be admitted into PAC directly from the community, which is common for home health. This brief considers payments to PAC providers for services to enrollees in traditional Medicare. We examine the spending of the four types of PAC providers, their payments in relation to cost, and proposals to reduce Medicare spending for PAC. To provide more context for weighing these proposals, we examine which traditional Medicare enrollees use PAC (by age and income) and how their total program spending is allocated across payers (Medicare, out-of-pocket, Medicaid, or supplemental plan).