Health care management is a promising field that also offers high pay. The U.S. Bureau of Labor Statistics expects employment of medical and health services managers to increase 22 percent from 2010 to 2020, which is above the 14 percent average growth rate predicted for all U.S. occupations. Medical and health services managers, also known as healthcare administrators, direct and coordinate medical services in hospitals, physicians’ offices, nursing homes, home health facilities and outpatient care centers.
According to the Professional Association of Health Care Office Management, medical and health care managers with a bachelor’s degree made an average salary of $72,098 a year in 2012. PAHCOM Director Karen Blanchette says salary data was collected in May 2013 using survey compensation data from the 2012 tax year. Blanchette also says that health care managers with a high school diploma averaged $68,281, while those with a master’s degree averaged $78,303.
The Bureau of Labor Statistics does not separate salary data by education level, though it does say that most medical and health services managers have bachelor's degrees. In May 2012, the BLS reported the mean -- or average -- annual wage of medical and health services managers as $98,460. The median annual wage, or midway point between the lowest and highest salary, was $88,580. Health care managers in the lowest 10 percent of earners made $53,940 a year or less, while those in the highest 10 percent earned $150,560 or more.
The BLS reports that the highest paying industry for health care managers in 2012 was the computer systems design and related services industry, with an annual mean wage of $146,160. However, only 50 health care managers were employed in this field. The biggest employer, general medical and surgical hospitals, had more than 112,000 management jobs in 2012 and paid an average of $104,680 a year. The second biggest employers -- physicians' offices -- paid an average of $97,330 a year.
Among the states, New York paid the highest salaries for medical and health services managers with an annual mean wage of $114,550. California was a close second with an average of $113,810. Connecticut was the third top-paying state, at an annual mean wage of $111,680. The fourth and fifth highest-paying states were Rhode Island and New Jersey, averaging $110,930 and $110,340 respectively. Salary variations by geographic location are caused by a number of factors, including cost of living differences from one region to another.