Top 10 States for High Pay Health Service Management Jobs

According to May 2014 data available from the U.S. Bureau of Labor Statistics (BLS), there were just over 310,000 health service management jobs in the United States.  An analysis of BLS data reveals that there was a national mean wage for these positions, which encompass a wide range of jobs from health information administrators to health system executives, of $103,700 per year.

The District of Columbia recorded the highest average pay scale for health services managers at just over $131,000 per year.  At the opposite end of the spectrum was Idaho, where the average pay was a bit less than $78,400 per year.  Nineteen States have annual mean wages in excess of the national mean per the BLS.

Counting down the Top 10 States for High Pay Health Service Management Jobs:

Go to Health Services Managers Average Wages by State to see where your State ranks.

Strong Demand Projected for Health Services Managers

There were just over 315,000 people engaged in health services management occupations in 2012 according to the U.S. Bureau of Labor Statistics (BLS).  Per the BLS, strong demand is projected for health services managers through 2022, as employment in these occupations is expected to grow 23% from 2012 levels. This anticipated employment growth is being spurred by demographic and technological trends that have been, and will continue, driving demand growth for healthcare services in general.  This anticipated 23% increase in health services management positions is more than double the 11% growth rate projected for all occupations in the U.S. during the same forecast period. 

This diverse group, which ranges from health information administrators and clinical managers all the way up to senior hospital and health system executives, is integral to the effective functioning of the U.S. healthcare system.  Hospitals, clinics, nursing homes, outpatient service providers, group and individual health practices and many related institutions rely on the operational and administrative expertise of health service management professionals.  While the underlying demand growth for healthcare services points toward a robust expansion of health services management jobs, escalating pressure on healthcare providers to operate more cost effectively will create further opportunities for management professionals who can help providers adapt to this changing operational environment.

For more about this profession, check out Health Services Managers | What Do They Do?

Ten States with the Most Registered Nurses

In the parlance of analysts with the U.S. Bureau of Labor Statistics, a location quotient is measure of an occupation's prevalence in a census area in relation to that occupation's prevalence throughout the nation as a whole.  A location quotient above 1.0 indicates that an occupation has a bigger share of employment in a given census area than it does on a national basis.  On the other hand, a location quotient below 1.0 indicates that an occupation has a smaller share of employment in a particular area than it does nationally.

Looking at just the raw numbers, it is almost always the biggest population States that have the largest employment bases when examining healthcare occupations.  However, a different picture emerges when one looks at a relative measure like the location quotient.  It is smaller States that dominate the list of Ten States with the Most Registered Nurses on a relative basis.

The Ten States with the Most Registered Nurses on an absolute basis is dominated by the large population States, with only Ohio and Massachusetts making the top 10 on both lists.

Ten States with the Most Primary Care Physicians

The Health Resources and Services Administration (HRSA) reports that the United States has roughly 74.5 primary care physicians for every 100,000 residents.  For HRSA purposes, primary care physicians include non-federal osteopaths and physicians who are not hospital residents and who have a declared practice specialty in General Practice, General Family Medicine, General Internal Medicine or General Pediatrics.

Per HRSA studies, The Ten States with the Most Primary Physicians, on a per capita basis, come from the Northeast as indicated here:

A more detailed examination of the underlying data reveals that outside the Northeast, the only states with top ten primary care coverage were Oregon and Minnesota.

Note:  National rank includes the District of Columbia, which is #1 nationally with 113.9 PCPs per 100,000 residents.

Medical Assistant Employment Projected to Grow 29%

The medical assistant job outlook through 2022 looks solid according to estimates from the U.S Bureau of Labor Statistics (BLS).  Medical assistant jobs are projected to grow 29% from 2012 to 2022, significantly better than the 11% average the BLS projects for all occupations during this period. The BLS projects that by 2022 the number of medical assistant jobs in the U.S. will reach almost 724,000 positions, an increase of about 163,000 jobs from 2012 levels.

A growing population of aging baby-boomers will continue to spur demand for preventive medical services, much of which will be provided by physicians. In addition, the Affordable Care Act is expanding the number of patients who have access to health insurance, which in turn will increase patient access to medical care.  As physician practices expand to support growing demand for healthcare services, demand for medical assistants to perform supportive administrative and clinical duties will continue expanding too.

Besides physician practices, a growing number of clinics, group practices, and other healthcare facilities will be needing more support workers, particularly medical assistants, to meet both administrative and clinical duties as overall demand for healthcare services continues its growth.

Further boosting demand for medical assistants will be the continuing evolution of health information technology within the health administration environment.  Implementation of electronic health record (EHR) technologies and protocols will very likely create new and changing tasks for medical assistants as part of the medical team. As more and more provider practices incorporate electronic health records (EHRs) into their administrative structure, medical assistants’ job responsibilities will expand accordingly. Medical assistants will undoubtedly need to become familiar with EHR computer software, including maintaining EHR security and analyzing electronic data, to improve healthcare information.

To learn more, visit Medical Assistants, What Do They Do?

Out of Pocket Health Expenditures Then and Now

In 2013 U.S. consumer out of pocket health expenditures topped $339.4 billion according to federal authorities. That is roughly $1,080 for every person in the U.S. - and that is just the out of pocket portion of the nation's health expenditures.  In 2013 out of pocket health expenditures accounted for just under 12% of national health costs, which overall were close to $9,300 per person.  Out of pocket health expenditures in 2013 were close to 14X greater than they were in 1963.  As amazing as the growth in out of pocket expenditures seems, it is actually slower than the overall growth in our national health expenditures in that 50 year span.  Thanks to broader private insurance coverage and the expansion of federal and state health insurance programs like Medicare and Medicaid, consumer out of pocket health expenditures today account for far less of national health expenditures than they did 50 years ago.

A closer look at the details reveals striking differences in how big a share of health expenditures consumers had to pay out of pocket for medical services in 1963 versus fifty years later. 

Demand for Physical Therapists Projected to Grow 23% by 2025

A recently released report from the National Center for Health Workforce Analysis (NCHWA) projects that demand for physical therapists will grow 23% between 2012 and 2025.  Favorable demographic trends, with the U.S. population growing larger and the senior population growing even faster, improved insurance coverage thanks to the benefits of the Affordable Care Act, and more focus on chronic illness management all point to growing demand for physical therapy services.

Notwithstanding the trends that point to strong growth in demand for physical therapists, the NCHWA report does not foresee a tight national labor market for physical therapists.  According to the NCHWA assessment, anticipated growth in new entrants to the physical therapy field should allow the workforce to grow at a faster rate than demand, even after taking into account retirement and attrition in the physical therapist labor force.  Consequently, the NCHWA report is forecasting that the U.S. should have more than enough supply to cover growing demand for physical therapy services over the next decade.

For more information about physical therapists, visit this Physical Therapist resource.  To review the workforce report in its entirety, go to NCHWA Health Workforce Projection.

Ten States with the Fewest Primary Care Physicians

Based upon the most recent data analysis (December 2012) from the HRSA, in the United States there were approximately 74.5 primary care physicians for every 100,000 residents.  In HRSA studies primary care physicians include non-federal doctors and osteopaths who are not hospital residents and whose principal activity is defined as patient care.  Moreover, these doctors and osteopaths have a declared practice specialty as a General Practitioner or in General Family Medicine, General Internal Medicine or General Pediatrics.

The Ten States with the Fewest Primary Physicians, on a per capita basis, come from the South or the West as indicated here:

A more detailed examination of the underlying numbers available from the HRSA reveal Mississippi as having the fewest primary care physicians per capita of any State.  Texas and Georgia, despite being two of the ten largest population states, were among the among the Ten States with the Fewest Primary Care Physicians.  Although both states have sizable raw physician numbers, the number of primary care physicians in each state is small relative to the overall population base.

Note:  National rankings include the District of Columbia

A Look at Medicare Advantage Enrollment Growth

Typically structured with more benefits and lower costs than standard Medicare coverage, Medicare Advantage Plans present a good value for many seniors.  As we noted in this commentary last June, that added value if often a product of managed care protocols and more selective provider networks than found with standard Medicare coverage.  While those features might be less appealing to some consumers, Medicare Advantage plans have nevertheless experienced robust growth over the past five years, growing from 23% to 30% of the total Medicare population. In the most recent Medicare annual enrollment period, which ended 12/31/14, Medicare Advantage applications were up another 8% from the prior year, so enrollment should exceed 16.5 million members in the current plan year.

Bob Brecht of DMN3 provides some constructive insight into the various factors that have been driving this trend in his recent blog post What's Fueling the Growth of Medicare Advantage Plans?