The current invention is directed to methods for reducing the cost of healthcare by improving the standard of care and by encouraging healthy behavior. Additionally, the methods of the current invention are designed to help improve clinical and economic outcomes through the principles of empowerment and accountability. The methods of the current invention provide financial incentives to both the patient and the medical practitioner in an interactive, web-based incentive system that creates appropriate and powerful checks and balances that motivate medical practitioners and patients to participate and to be adherent to beneficial performance standards. The methods of the current invention achieves the objectives of improved healthiness and better and more affordable healthcare by aligning the interests of medical providers, patients/consumers, and healthcare purchasers/payers in a win-win-win proposition. In the invention, purchasers/payers achieve lower healthcare consumption and costs by compensating medical providers and patients to declare compliance to beneficial performance standards on an intermediary's Internet application, and then having both parties confirm each other's compliance. The methods of the current invention incorporates evidence-based medicine treatment guidelines and content and other performance standards, and dispenses information therapy and other similar types of content through an Internet application or by other means to improve the standard of healthcare treatment and promote healthy behavior, which leads to better clinical outcomes and a reduction in the overall cost of healthcare.