Master’s degree level programs in healthcare management or hospital or health services management, are often linked up to a master’s degree in business administration, or a master of public health program. Commonly, these areas of study focus on organizing and managing various healthcare facilities and organizations. The majority of the core coursework will focus on the business side of healthcare.
Obviously, salary does have a part to play in the choice of a career in healthcare management. Being able to earn a high salary in your chosen profession can make a particular area more appealing. According to the U.S. bureau of Labor Statistics (BLS), healthcare managers achieved an average annual salary of around $94,500 as of May 2015.
Why Earn a Master’s in Healthcare Management?
Graduate programs for healthcare management are well-suited to professionals within the healthcare industry who have a desire to move into higher management positions. With such a degree, you’ll be far more likely to achieve a better paying job.
Programs are intended to train students in the political, operational, legal, and financial aspects of running an institution in healthcare. These programs are generally open to anyone with a bachelor level degree, and some programs might require applicants to hold a master’s degree or bachelor’s degree within a related field. Preference is generally given to candidates with experience working in the healthcare industry.
The Impact of Education Level
Those with the highest education levels are generally likely to get the best paying jobs and the most appealing job offers. Hospital administrators and managers are typically responsible for a specific department within a healthcare facility, such as a medical records area, surgery area, or area of nursing. The BLS currently lists nursing home administrators and health information managers within the key occupations within the health and medical service management areas.
Most programs will require candidates to complete approximately 40 course credits, plus 10 or more in elective courses. Some of the core classes might include:
- Strategic management of health services
- Applied public health policies
- Health care marketing
- Legal issues with public health care
- Health policy management
The Role of One’s Experience Level
As with most careers in the world of healthcare, it’s worth noting that the higher your experience level is, the more likely you will be accepted for a high-paying job position. Although you can begin to gather some experience during your master’s degree, it can also help to find other ways that you can develop your knowledge of the health sector, and become more competitive in your chosen field.
Healthcare administrators or managers will be responsible for directing, planning, and coordinating a range of different healthcare and medical services. For instance, you may be the person who manages a facility or a particular area within a clinical department. On the other hand, you could be responsible for managing an entire group of professionals. Many health service managers will begin to move into higher paying positions that offer greater amounts of responsibility as they expand their skills and experience.
Healthcare managers work in the following areas and according to statistics:
- 39% work in state, private, and local hospitals
- 9% work within doctors offices
- 7% work in nursing homes
- 6% work in home health organizations
- 5% work in outpatient care centers
The Effect of Work Location
Where your job takes you will also have a significant impact on the amount that you can earn each year. In most circumstances, you will find that working in bigger cities often means that you can access a much higher salary, but the cost of living in these circumstances is sometimes higher too. You should find that if you do enough research, you will be able to find a place where the cost of living is reasonable, but the salary for professionals in your field is higher than average.
Some of the cities where a healthcare administration salary or management salary is generally higher than in other areas include:
- Washington, DC
This city offers an average of $81,500 per year for healthcare management.
- Dallas, Texas
Here you can earn an above average yearly income in healthcare management of approximately $130,250.
- Charlotte, North Carolina
You can earn a very respectful average annual income in healthcare management of around $61,912.
- Springfield, Missouri
This city offers an average annual income of around $62,500 for healthcare managers.
Additionally, it’s worth noting that the Medical Group Management Association suggests that there are different breakdowns for compensation within the field of healthcare management depending on the number of doctors in the practice. For instance:
- Managers in practices with more than 26 doctors earn around $150,000.
- Managers in practices with between 7 and 25 doctors earn around $115,000.
- Managers in practices with under 6 doctors earn an average of $86,000.
A certification isn’t required to become a healthcare manager, but there are areas that you can expand your education in. If you are working in a nursing home, you will need to have a license to work within your particular state.
If you want to increase your opportunities to earn a higher salary, or apply for more appealing jobs, then you may consider getting your certification as a healthcare administrator. This is a very common solution for those who are interested in the management track.
The two areas that are best for certification in terms of healthcare management are medical management certification from the Professional Association Of Health Care Office Management and certification from the American Health Information Management Association.
Thanks to changes in regulations and the rising ages of baby boomers, healthcare is one of the most in-demand industries today. If you’re seeking employment opportunities in healthcare management, you can potentially earn a much higher income simply by expanding your education and taking advantage of the growing industry. Employment in the world of health and medical service management is forecasted to increase by around 17% from 2014 to 2024, which is much faster than the average growth for all other occupations.
- What Are Certifications in Healthcare Management and Will Earning a Certification Help Me Find a Job? (n.d.) Retrieved from http://www.healthcare-management-degree.net/faq/what-are-certifications-in-healthcare-management-and-will-earning-a-certification-help-me-find-a-job/
- Salary for Masters in Healthcare Administration – Jobs & Career Outlook. (n.d.) Retrieved from http://mhadegree.org/health-administration-salary/
- Master of Health Administration (MHA), Health Care Administration Degree Average Salary. (n.d.) Retrieved from http://www.payscale.com/research/US/Degree=Master_of_Health_Administration_(MHA)%2C_Health_Care_Administration/Salary
- What Are the Differences in Salary Level for Different Degrees in Healthcare Management? (n.d.) Retrieved from http://www.healthcare-management-degree.net/faq/what-are-the-differences-in-salary-level-for-different-degrees-in-healthcare-management/