Advantages to hospital employment?

Here are a few of the most common advantages I hear out there for a physician’s employment by a hospital:

§  A stable financial circumstance, including, but not limited to guaranteed or fixed competitive base compensation and benefits;

§  Access to continuing and reliable malpractice coverage and, in many cases, tail insurance;

§  A practice environment free from the day-to-day burden and administrative tasks of operating and managing an independent practice; and

§  More regular work hours and shared call responsibility.

Oh really? What about THE major disadvantage – the hospital controls your compensation now and in to the future. I just hope hospitals have learned from their mistakes in the past but from what I see so far, that is doubtful. Are physicians really better off employed by a hospital rather than go at it as an independent practice? It’s going to be interested to see how all of this is going to shake out.

About the Author

Reed Tinsley CPA

This article is written by Reed Tinsley, a Houston, TX-based CPA with over 30 years of experience advising physicians and medical practices across Texas and the United States. Reed holds certifications as a Certified Valuation Analyst (CVA), Certified Healthcare Business Consultant (CHBC), and Certified Financial Planner (CFP), specializing exclusively in the healthcare sector. He is a published author, nationally recognized speaker, and trusted advisor to physicians on accounting & tax, practice management, and financial planning. Schedule a Free Consultation.