Docs only get 7.3% of the Pie

Physicians are paid 7.3% of our total national health expenditure:

According to the Bureau of Labor Statistics, the aggregate median salary for every healthcare provider totals $966,992,011,000. 

The ~1 million physicians get paid $262,332,755,000. That’s $262.3 Billion out of a total $3.6 Trillion spent on healthcare in 2019. 

Physicians get paid 7.3% of the total amount spent on healthcare.

Wow.

What was more disturbing to me, however, is that 73% goes to non healthcare providers. I wonder who they may be?

This is how we fix healthcare. Get rid of 90% of the administrators as a start.

You can read more about what Brennen Hodge is doing here.

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Douglas Farrago MD

Douglas Farrago MD is a full-time practicing family doc in Forest, Va. He started Forest Direct Primary Care where he takes no insurance and bills patients a monthly fee. He is board certified in the specialty of Family Practice. He is the inventor of a product called the Knee Saver which is currently in the Baseball Hall of Fame. The Knee Saver and its knock-offs are worn by many major league baseball catchers. He is also the inventor of the CryoHelmet used by athletes for head injuries as well as migraine sufferers. Dr. Farrago is the author of four books, two of which are the top two most popular DPC books. From 2001 – 2011, Dr. Farrago was the editor and creator of the Placebo Journal which ran for 10 full years. Described as the Mad Magazine for doctors, he and the Placebo Journal were featured in the Washington Post, US News and World Report, the AP, and the NY Times. Dr. Farrago is also the editor of the blog Authentic Medicine which was born out of concern about where the direction of healthcare is heading and the belief that the wrong people are in charge. This blog has been going daily for more than 15 years Article about Dr. Farrago in Doximity Email Dr. Farrago – [email protected] 

  4 comments for “Docs only get 7.3% of the Pie

  1. Aaron M. Levine
    January 29, 2020 at 6:02 pm

    Chris Tomlinson writes a column for the Houston Chronicle (Chron.com). His Monday (1/27) column said that doctors wages w rose 16.1 percent from 2013 to 2017 while wages rose 5.2%. He also wrote big pharma gets a 17.3% RETURN knocks hospital… He concluded “Health care is a hugely profitable business in the US.”

  2. Laurence J Sloss MD
    January 25, 2020 at 7:50 pm

    Let’s start with 7-figure nonprofit CEOs. In my home base, that would be at least 3-4 Harvard teaching hospitals, at least one of whom was an utter mediocrity as a Cardiology fellow. (I don’t know any practicing cardiologists or academics who make anything close for a 60+ hour work week. I sure as hell didn’t!)

    • Steve O'
      January 25, 2020 at 8:57 pm

      Ah, well. You are looking for expertise in medicine to resemble Expertise in McMedicine. ™ The slots are for the self-sustaining little club and their legacy children. I was around when one legacy surgeon and namesake of Big Poppa ran a liter and a half of fluid into the pleural space through a “central line catheter” which had exited the central vasculature. Oopsy. Nevermind. I think he was Chief Resident of Surgery shortly afterward. I expect he decreased the excess population in Boston somewhat. If people DO NOT VALUE something, it IS NOT SELECTED FOR. Simple evolution. Since people have encouraged the inflation of measurements, values and principles to embrace everything of dubious quality, one may chat about and desire quality, but it is a bogus currency, a Weimar Mark. I gave my son a Billion Marks some time ago. That was a train ticket’s price, it said so right on the front. If nothing is worth anything, than everything is equal.

  3. Pat
    January 25, 2020 at 6:15 pm

    Yet bureaucrats, insurance CEO’s, patient advocates, economists, do gooder advocates, academics, AND PATIENTS will all continue to bitch about “rich doctors” stealing them blind.

Comments are closed.