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How Much Does a Health Administrator Make a Year?

Growth Trends for Related Jobs

Health care administrators manage the business end of a health care facility. Among their responsibilities are the security of patient records, finances, admissions procedures and establishing procedures for their departments. They may be in charge of a specific clinical department in large organizations or have a broad array of responsibilities in smaller facilities.


Health administrators typically need a master’s degree or better in health services administration, health sciences, public health, public administration or business services administration. Smaller facilities may be fine with a bachelor’s degree, while doctor’s offices often look at those with on-the-job experience rather than a formal education. All states mandate that these administrators have a license that requires passing an exam and pursuing continuing education. The Bureau of Labor Statistics (BLS) says that as of May 2009, the median compensation of health administrators is $39.35 hourly or $81,850 yearly. The bottom 10 percent make $23.92 or $49,750 and the upper 10 percent receive $67.45 or $140,300.


The PayScale Report shows the value of experience in this field for those with master’s degrees: more experience equals more pay. New employees earn $48,000 per year, while those with one to four years of experience make $60,211. Those with five to nine years in the field receive $75,683, while those with 10 to 19 years get $87,515. Finally, those with 20 or more years of work top out at $100,218.


The workplaces that hire the most health administrators, according to the BLS, are general hospitals with employment at almost 38 percent of the total of 271,710. Salaries here are better than average at $46.47 or $96.660. But the best salaries are with pharmaceutical and medicine manufacturing at $75.02 or $156,050. With only 300 total jobs, this workplace is a challenge to enter.


Jobs for health administrators will grow by 16 percent from 2008 to 2018, which is faster than average for all positions, according to the BLS. This is due to the growth in health services demanded by an increasing elderly population. Changing regulations, the need to implement new technology and the emphasis on preventative health will also require more professionals. Those with work experience in large hospitals and strong business management skills will find the best opportunities.