Staying Independent...Together

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   RE: Income and expenses and lifestyle
 From: Kris Oaks
 To: Member Forum
 Posted: 10-20-2017 07:11
 Message: Another thing pointed out by Gordon throughout his tenure with IMP was that there is great variability in income and expenses across the country. I practiced as a solo IMP from 2005 until last month. For me, my expenses were higher and my income lower. $40,000 per day in the office would have been great for me. I did all the meaningful use and PCMH stuff, I got pay from Anthem above my ffs, I did my own billing etc... I was working 5 days a week seeing patients and the management of my office took 2-15 hours more per week (the higher end when we were completing meaningful use of PCMH paperwork). I also worked at our state level on the state payment reform (unpaid) to try to improve things here. For the last two years I have been in a slightly bigger office and added a nurse practitioner and the expenses that go along with another clinician.  I just never could get over $70,000 a year in income and was working so much that I decided to sell my practice. I'll write another post about what I'm doing now.

Kris Oaks
Kristin L. Oaks D.O. Inc.
Worthington OH
Original Message:
Sent: 10-11-2017 15:45
From: Michael Safran
Subject: Income and expenses and lifestyle

I feel this is an elephant in the room and hope we can have more open honest discussion about it.  Most people in IMP recognize the personal rewards and value of being in a small independent practice.   But, unless we can share the possibility of earning a decent living, few will choose that option.

Hopefully, some of us will post their income and expenses.   We will learn from each other about how to save.   How work flow and time per visit affect income.  I have always felt that scheduling two patients per hour keeps me off the treadmill, my overhead is much lower and calls almost non existent.   I see 12 to 14 patients per day.  I was influenced by the Gordon Moore articles years ago.

I recognize it is uncomfortable discussing our income, even humbling when you read the "average income" for FPs and "specialists" that we all see in Medical Economics and other journals.  When I look at recruitment ads for primary care, especially in certain areas of the country, and in large multispecialty groups, I see some starting salaries around $225K plus benefits.

Many years ago, there was a thread on the IMP forum about income and expenses.  I found it helpful.    I have worked to keep overhead low.

I stated in another post that I earned approx $40K per year for each day I work in office.  I currently work 2 days per week in my office, which equates to approx 80K per year earned in my private office.

In fairness, I do work outside my office 1 day per week, and my needs are much less then new grads.   My children are through college, mortgage mostly paid, wife also works, etc., and when I started, most FP grads went into private practice.   So here goes:

Annual expenses = 82K
32 - Employee
15 - Rent  (sublet)
  6 - Malpractice "part- time"
  5 - tel, internet,
  3 - Electric
  3 - billing software
  0 - EMR (PF and paper charts)
  4 - cleaning
  4 - supplies
10  - misc - (computer equip and support, accountant, ins., medical waste, etc )

160K income approx 13.5 per month

I realize all our situations are different but hope others will share info.

Michael S. MD

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