Salary Trends for Medical Practice Managers

Compensation for Medical Practice Managers

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A medical office manager is responsible for the overall operations of a medical practice. Also known as medical practice administrator, or medical practice manager, careers in medical office management offer many options for qualified candidates.

Managing any type of business is tough, and management is not for everyone. Healthcare is an extremely fast-paced, busy and stressful field that can be even more demanding than most.

It is a sector that is constantly changing and evolving, as it is impacted by government regulation, legal ramifications, clinical developments and pharmaceutical innovation, as well as new technology or general growth in patient load.

Also, the business side of the practice is very complex. There are many intricacies that a medical office manager must learn, monitor, and control to some extent. Much of the complexity and difficulty in managing a medical practice is due to the constant change in everything from insurance rules to healthcare laws. Also adding stress is the significance of the work itself, in that you are impacting the health and lives of others, which is a lot of responsibility for the person who is managing the entire medical practice.

Job Responsibilities and Duties

The duties and responsibilities for medical office managers vary with the size of the medical practice, as well as the management structure of the organization.

Usually, managers are responsible for staffing the practice and supervising the other non-clinical office employees including medical receptionists, medical billers and coders, and other office staff.

Additionally, medical office managers devise and implement processes and procedures for the operations of the practice.

The office manager oversees all of the areas of the practice to ensure that the practice is running efficiently and effectively.

For example, the office manager will order office supplies, organize the office set-up, set the employee schedule, and basically keep an eye on all aspects of the practice.

The medical office manager may also look for ways to save money by lowering overhead costs (personnel, supplies, etc.) or increase efficiency. 

Compensation

If you are a medical practice manager, your income may be increasing or decreasing, depending on the size of the medical practice you manage. Generally, however, the more physicians there are in the practice you manage, the higher your income will tend to be.

According to a recent MGMA benchmarking report, practice administrators of smaller practices saw a slight increase (+4.8 percent) in average pay, while practice managers of larger practices (26 or more full-time employees) saw a slight decrease of about 2.8 percent.

The median annual income on average is $120,486 for managers of mid-sized medical practices (seven to 25 full-time employees) and $88,117 for administrators of the smallest practices, with six or fewer full-time employees.

The median income for administrators of larger practices (26 or more physicians) was $146,533 for the year.

When affiliated with the MGMA-ACMPE certification and Fellowship program, the American College of Medical Practice Executives (ACMPE), certified practice administrators (in groups with seven to 25 FTE physicians) reported greater median compensation compared with their peers who were not affiliated with ACMPE. Fellows and certified members of ACMPE earned $146,365 and $127,025, respectively, compared with $116,481 earned by those who are not certified.

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