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Productivity takes the lead, readers say

November 1, 1997

Productivity takes the lead, readers say

According to our reader survey on physician compensation, most practices have used productivity at least in part to determine physician salaries. A quarter of responding practices pay their doctors based solely on how well they perform, and 42% have a base and productivity mix system. The mixes reported included 80% base/20% productivity in 40% of the cases, and 20% each reporting 85%/15%, 60%/40%, and 20%/80%.

Only a third of the surveys reported using a straight salary system to calculate income.

In the coming year, two-thirds of the respondents said they will change their system, with 63% moving to a base and productivity system and 38% to an relative value unit system.

Of the respondents reporting salaries, there was a wide range, with average compensation ranging from $125,000 for a family practice to $390,000 for a cardiology practice.