HFMA 2007 Compensation Survey
Wednesday, August 1 2007
It All Adds Up
The father of modern management. Peter Drucker, said, "People are a resource, not just a cost." With aggressive compensation packages that often include salary, bonuses, and profit-sharing plans, hospitals and health systems are apparently taking Drucker's advice to heart, treating their finance professionals as a valuable resource to the organization. The returns are indeed tangible: providers are retaining employees longer and attracting individuals with more industry experience.
Such is seen as HFMA has again compiled a detailed profile of compensation for healthcare finance executives, managers, and staff (based on their reported compensation as of Jan. 1, 2007).
Good Times for Healthcare CFOs
Continuing the upward trend established early this decade, average (mean) cash compensation rose 14.1 percent between January 3005 and January 3007 (6.8 percent annually), swelling to $196,300, according to the responses of 840 HFMA-member CFOs. The increase was consistent with the previous twoyear period, in which overall compensation rose 6.7 percent annually.