Healthcare Management Salary Rates

Healthcare Management Salary
Table of Contents

According to the U.S. Bureau of Labor Statistics, healthcare occupations are projected to grow by 15% from 2019 to 2029, much faster than the average for all occupations. 

With this surge in demand, competition for skilled healthcare professionals is fierce. Studies show that turnover rates in healthcare can be as high as 20%, with turnover costs ranging from 50% to 200% of an employee's annual wage. 

In this article, we'll dive into the key role of the salary healthcare management experts pursue so vigorously and examine how organizations attract top talent and keep them engaged and committed to delivering quality care.

What Is Healthcare Management Salary

Healthcare management salary refers to the compensation and remuneration provided to individuals in leadership and administrative roles within the healthcare industry. 

This includes executives, managers, and directors responsible for overseeing various aspects of healthcare organizations, such as hospitals, clinics, and healthcare facilities. Healthcare management salaries typically encompass a combination of base pay, bonuses, benefits, and incentives tailored to reflect the responsibilities, qualifications, and performance of individuals in these positions.

Today, the median annual wage for medical and health services managers is $104,280.


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Healthcare Management Jobs Salary by State

Salaries for healthcare management positions vary across states due to demand, cost of living, and healthcare infrastructure. 

In states like California and New York, where healthcare facilities are abundant and living expenses are high, median salaries are notably higher, often surpassing $130,000. 

Conversely, states with lower living costs, such as Mississippi and Arkansas, typically offer lower median salaries, often falling below $90,000. 

The top 10% of earners in states like Massachusetts and the District of Columbia can command salaries exceeding $220,000, reflecting the demand for experienced healthcare executives in these regions. 

State Median Salary Min. Salary Max. Salary
Alabama $86,000 $61,000 $145,000
Alaska $123,000 $76,000 N/A
Arizona $109,000 $66,700 $221,000
Arkansas $84,000 $53,000 $141,000
California $139,000 $75,000 N/A
Colorado $126,000 $78,000 N/A
Connecticut $126,000 $80,000 N/A
Delaware $134,000 $86,000 N/A
District of Columbia $144,000 $87,000 N/A
Florida $104,000 $64,000 $206,000
Georgia $129,000 $80,000 $226,000
Hawaii $130,000 $77,000 $205,000
Idaho $108,000 $65,000 $181,000
Illinois $109,000 $76,000 $216,000
Indiana $100,000 $60,900 $169,000
Iowa $98,000 $71,000 $162,000
Kansas $102,000 $64,000 $178,000
Kentucky $98,000 $58,000 $173,000
Louisiana $101,000 $63,000 $168,000
Maine $106,000 $72,000 $177,000
Maryland $131,000 $81,000 $229,000
Massachusetts $132,000 $80,000 N/A
Michigan $102,000 $61,000 $176,000
Minnesota $114,000 $77,000 $180,000
Mississippi $84,000 $54,000 $138,000
Missouri $103,000 $62,000 $177,000
Montana $103,000 $67,000 N/A
Nebraska $102,000 $70,000 $165,000
Nevada $105,000 $62,000 $182,000
New Hampshire $123,000 $78,000 N/A
New Jersey $130,000 $88,000 N/A
New Mexico $113,000 $74,000 $211,000
New York $145,000 $85,000 N/A
North Carolina $106,000 $68,000 $209,000
North Dakota $109,000 $77,000 $217,000
Ohio $104,000 $64,000 $176,000
Oklahoma $99,000 $63,000 $161,000
Oregon $133,000 $83,000 $233,000
Pennsylvania $107,000 $68,000 $193,000
Rhode Island $123,000 $79,000 $205,000
South Carolina $105,000 $69,000 $228,000
South Dakota $111,000 $82,000 $222,000
Tennessee $104,000 $63,000 $199,000
Texas $106,000 $63,000 $177,000
Utah $102,000 $59,000 $210,000
Vermont $112,000 $77,000 $201,000
Virginia $122,000 $77,000 $216,000
Washington $136,000 $89,000 $225,000
West Virginia $106,000 $71,000 $195,000
Wisconsin $125,000 $85,000 N/A
Wyoming $103,000 $56,000 $160,000

Jobs Overview

Entry-level positions, such as healthcare administrators or managers, typically command salaries starting around $50,000 to $60,000 annually, with ample room for growth as experience accumulates. 

At the executive level, hospital CEOs or executive directors can expect a healthcare management salary to be substantially higher, often exceeding several hundred thousand dollars per year, commensurate with their significant responsibilities in overseeing large healthcare institutions. 

Salaries for specialized roles like health information managers, nursing home administrators, and clinical managers also fall within competitive ranges, generally ranging from $60,000 to $100,000 annually, reflecting the expertise and leadership required in these positions.

Beyond traditional healthcare management roles, the field offers consulting and project management opportunities, where salaries can vary based on factors like project scope and consultant expertise. Healthcare consultants, leveraging their industry insights, may earn fees based on hourly rates or project fees, reflecting the value they bring to organizations seeking strategic guidance. 

Project managers tasked with overseeing the implementation of healthcare initiatives can expect salaries similar to other mid-level management positions, typically ranging from $70,000 to $100,000 annually.

What Factors Affect the Salary

Several factors influence a career in healthcare management salary:

Education and Experience

Higher levels of education, such as a master's degree or MBA in healthcare management, often lead to higher salaries. Similarly, extensive experience in the field can result in increased earning potential.


Salaries can vary significantly depending on the region or city. Urban areas with high costs of living generally offer higher salaries to compensate for expenses, while rural areas may offer lower salaries.

Employer Type and Size

Working for large hospitals, healthcare systems, or academic medical centers may yield higher salaries than working for smaller clinics or non-profit organizations. Private sector employers may also offer higher salaries than government or non-profit employers.

Position and Responsibilities

Executive-level positions such as CEOs or COOs typically command higher salaries than mid-level management roles. Additionally, roles with greater responsibilities or specialization may offer higher compensation.

Industry Demand and Trends

Shortages in certain areas of healthcare management, such as healthcare informatics or long-term care administration, can drive up salaries due to increased demand. Likewise, emerging trends in healthcare, such as value-based care or telemedicine, may influence salary trends.

Certifications and Credentials

Holding relevant certifications, such as Certified Healthcare Executive (CHE) or Certified Medical Practice Executive (CMPE), can demonstrate expertise and lead to higher salaries.

Negotiation Skills

Finally, an individual's negotiation skills and ability to advocate for themselves during the hiring process can impact their starting salary and potential for salary increases over time.

Salary by Workplace

The salary healthcare management numbers can vary significantly depending on the type of workplace or employer. Here's a breakdown of how salaries may differ across different healthcare settings:

Setting Description Salary Range
Hospitals and Healthcare Systems These settings typically offer some of the highest salaries in healthcare management, especially for executive-level positions such as CEOs, COOs, or CFOs. Large hospitals and prestigious healthcare systems often provide competitive compensation packages to attract top talent. Entry-level positions: $50,000 - $70,000 per year
Mid-level positions: $70,000 - $120,000 per year
Executive positions (e.g., CEO, COO): $150,000 - $500,000+ per year
Private Practices and Clinics Healthcare management roles in private medical practices and outpatient clinics may offer competitive salaries, particularly for positions like practice administrators or clinic managers. Salaries can vary based on the size and specialty of the practice. Practice Administrators/Clinic Managers: $60,000 - $100,000 per year
Mid-level management: $70,000 - $120,000 per year
Long-Term Care Facilities Nursing homes, assisted living facilities, and rehabilitation centers may offer salaries on par with or slightly lower than those in hospitals. Administrators of long-term care facilities typically earn solid salaries, reflecting the responsibilities of overseeing residential care services. Nursing Home Administrators: $70,000 - $100,000 per year
Health Insurance Companies Healthcare management positions within health insurance companies, such as healthcare administrators or utilization review managers, often come with competitive salaries and benefits. These roles focus on managing insurance operations, claims processing, and healthcare utilization. Healthcare Administrators: $60,000 - $120,000 per year
Utilization Review Managers: $70,000 - $130,000 per year
Government Agencies Working in healthcare management for government agencies, such as the Department of Health and Human Services or state health departments, can provide stable employment and competitive salaries, though they may be somewhat lower compared to private sector roles. Healthcare Administrators (Federal): $60,000 - $120,000 per year
Healthcare Administrators (State/Local): $50,000 - $100,000 per year
Academic Institutions Healthcare management positions within universities, medical schools, and academic medical centers may offer competitive salaries, particularly for leadership roles overseeing healthcare administration, research, or education programs. Academic Medical Centers (Administrative positions): $70,000 - $150,000 per year
Nonprofit Organizations Nonprofit healthcare organizations, including community health centers, charitable hospitals, and public health agencies, may offer slightly lower salaries compared to for-profit entities but often provide other benefits like a sense of mission and purpose. Healthcare Managers/Administrators: $50,000 - $100,000 per year

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Salary by a Metropolitan Area

Here’s an average healthcare management salary in various metropolitan areas in the United States:

healthcare salary
The chart visualizes the median annual salary by position level and metropolitan area based on the data provided. The bars represent different levels of positions (entry-level, mid-level, executive) for each metropolitan area.
🏙️ Metropolitan Area 💰 Median Annual Salary
New York City, NY
  • Entry-level: $60,000 - $80,000 per year
  • Mid-level: $80,000 - $150,000 per year
  • Executive: $200,000 - $600,000+ per year
Los Angeles, CA
  • Entry-level: $55,000 - $75,000 per year
  • Mid-level: $75,000 - $130,000 per year
  • Executive: $180,000 - $500,000+ per year
Chicago, IL
  • Entry-level: $50,000 - $70,000 per year
  • Mid-level: $70,000 - $120,000 per year
  • Executive: $150,000 - $400,000+ per year
Houston, TX
  • Entry-level: $50,000 - $70,000 per year
  • Mid-level: $70,000 - $120,000 per year
  • Executive: $150,000 - $400,000+ per year
Atlanta, GA
  • Entry-level: $45,000 - $65,000 per year
  • Mid-level: $65,000 - $110,000 per year
  • Executive: $140,000 - $350,000+ per year
San Francisco, CA
  • Entry-level: $65,000 - $90,000 per year
  • Mid-level: $90,000 - $160,000 per year
  • Executive: $250,000 - $700,000+ per year
Boston, MA
  • Entry-level: $55,000 - $75,000 per year
  • Mid-level: $75,000 - $130,000 per year
  • Executive: $180,000 - $500,000+ per year

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How to Earn More in Healthcare Management

In healthcare management, specialists always look for ways to boost their careers and earn more money. Things change fast in this field – new tech, rules, and different kinds of patients all play a part. Without medical school personal statement help, it’s even harder to land a job after graduation. These are the three areas that might help you earn more in the industry:

big salary in healthare

Advanced Education and Certification

Advanced degrees such as a Master of Health Administration (MHA) or Master of Business Administration (MBA) focusing on healthcare management can significantly increase earning potential. Additionally, obtaining relevant certifications like Certified Healthcare Executive (CHE) or Certified Professional in Healthcare Quality (CPHQ) demonstrates expertise and can lead to higher-paying positions. Discover the best nursing research topics if you have a paper due soon.

Specialization and Leadership Roles

High-demand areas for healthcare management degree holders, such as medical informatics, quality improvement, or healthcare finance, can open doors to higher-salary leadership positions. As you climb the career ladder, taking on roles with increased responsibility, such as department director or executive leadership positions, typically comes with corresponding salary increases.

Utilizing Data Analytics and Technology

Data analytics and technology solutions in healthcare management can enhance operational efficiency, improve patient outcomes, and reduce costs. Professionals skilled in leveraging data analytics tools and implementing technology solutions like electronic health records (EHR) systems or telemedicine platforms are in high demand. They often command higher salaries due to their expertise in driving innovation and process optimization. So, if you’ve already made up your mind regarding your future career, it’s time to learn how to become a healthcare consultant!


Healthcare is a rapidly growing industry that constantly requires skilled managers to oversee operations, finances, and quality of care. 

Effective management becomes increasingly critical as the population ages and healthcare technology advances. Additionally, healthcare managers often benefit from competitive salaries, especially as they advance into leadership roles such as department heads, executives, or hospital administrators. 

Moreover, opportunities for career advancement and additional perks like bonuses and benefits further contribute to the potential for a lucrative career in healthcare management. 


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Adam Jason

Adam Jason

is an expert in nursing and healthcare, with a strong background in history, law, and literature. Holding advanced degrees in nursing and public health, his analytical approach and comprehensive knowledge help students navigate complex topics. On EssayPro blog, Adam provides insightful articles on everything from historical analysis to the intricacies of healthcare policies. In his downtime, he enjoys historical documentaries and volunteering at local clinics.

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