We know that neurologists are professional physicians, trained in clinical practice. But where does their income come from?
In this post we are going to answer the question ‘’How neurologist earn money?’’ we will present the main sources of income for nerurologists in addition to medical practice.
How neurologist earn money?
The Neurologist is a doctor who has specialized in the study of diseases and disorders that affect the nervous system.
The neurologist diagnoses and treats disorders of the brain, spinal cord, nerves, muscles and pain, especially headache. Likewise, the neurologist deals with the complications in the nervous system of many other diseases such as high blood pressure, diabetes, some trauma, tumors, etc …
The main objective of the neurologist is to optimize the medical, neurological and behavioral state of the patient.
When the patient is admitted, the neurologist is in charge of initially evaluating the patient, his history and his current situation:
- Initial evaluation of the patient: Through the neurological examination, the site of the injury can be determined in order to help direct the most appropriate treatment. Physical, neurological, cognitive and behavioral deficits that will impair the functional recovery of the patient, as well as the ability to perform specific tasks, are also identified.
- Personal history: The neurologist must know the diseases prior to admission, that is, the medical comorbidities that must be treated. Specifically, high blood pressure, dyslipidemia, diabetes and heart problems.
- Evaluation of the current situation of the patient in order to prevent complications derived from medication, previous illnesses and brain damage. For example, epileptic seizures, infections (respiratory and urinary), dehydration, syncope, etc.
During admission, both neurological and medical pharmacological treatment is supervised and controlled. If necessary, diagnostic tests are requested to aid in the diagnosis (analytical, neuroimaging and neurophysiological tests) or the opinion of a second specialist when the associated pathologies require it.
Where a neurologist can work?
Doctors, along with lawyers, are the most sought-after professionals. They enjoy great employability, in addition to being able to obtain succulent remunerations, depending on where they work.
Next, you will be able to know some of the functions in which a doctor can perform, after having completed the 12 years of the degree.
- National Health Services: it is a Public Health subsystem, which is intended to control violations of the health code and other similar regulations that have to do with the Minsal.
- Municipal Clinics: these are health centers for the inhabitants of each commune. They depend on the municipality and only attend medical consultations and emergencies.
- University Hospitals: these are the clinical precincts dependent on a study house, where the general public is cared for, and they are also centers where medical students do their internships.
- Hospitals of the Armed Forces: premises of the different institutions of the Armed Forces of the country, where officials and their families are cared for, in case they are in service or retired.
- Private Clinics: the doctors who work in these health centers are the ones who receive the best salaries. Here, the number of hours per shift are the same as in the public sector, but the costs for their services are higher.
- Free execution of the profession: doctors are empowered to perform work in hospitals or have their own practice, which does not depend on another institution.
- Teaching and Research: those professionals who dedicate themselves to this, should not necessarily stop treating patients in the health system of their choice. In many cases, the doctors hold classes inside the hospital premises, where the students carry out their internship.
- Health Administration and Management: refers to the doctors who perform functions of administration of hospital facilities, research, and even in the Ministry of Health.
- Business Consulting: there are many companies linked to the world of health; such as laboratories, of medical supplies, among others, to which doctors advise for the operation of these.
- Specialist doctor: once the graduate years of medicine are finished, graduates can opt for specializations, where knowledge in a specific area of a health sector is perfected.
If medicine is your thing, you already know what you can do after the long period of studies that you will have, if you enter this career, especially if you continue with the specialty, which will be worth it once you enter the job market.
So where can the income for neurologists come from?
Clinical research trials
In private practice and academia, clinical research studies may be lucrative for the neurologist, while researchers may lose a lot of money through inexperience in understanding all elements of clinical research. The NIH, industry, postmarketing ventures, and venture and external capital are common sources for financing.
Neurologists who neglect the value of their time and the time of their research partners may underbid for crucial aspects of research and may exacerbate the situation by underenrolling the estimated number of research subjects.
Ideally, studies that support their professional preferences and patient demographics, as well as studies using the accessible procedural resources within the practice, should be selected by a neurologist interested in conducting clinical research. An investigator should take advantage of existing personnel, space, and supplies in an ambulatory environment.
Budgets for clinical trials must provide wage support for the lead researcher. Just support for neurological background and evaluations for physician investigators (PI) is included in several trial budgets. In a clinical trial budget, a fixed cost with sufficient funding for PI assistance should always be included.
This pays for administrative supervision and research management that is frequently ignored or ignored at the time of preparation of the contracts. A part of the PI ‘s salary from the trial must be paid.
Hospital salary support
The doctor is fully hired by certain hospitals and the hospital submits billings for professional fees. There is also another model where different corporate bodies are colleges, practice associations, and hospitals. In this case, the university / med school has an arrangement with the hospital to support the management, monitoring, and training of residents and fellows, and to direct hospital-related centers such as the EEG / epilepsy unit.
Physician salaries may be supported directly by grants from industry or foundations. Pharmaceutical and other industry-supported research will provide a department with significant revenue. Funds may be used immediately after the money is distributed to the university or contractually directed towards the salary of a physician to pay the physician.
Physicians in the VA system are paid on the basis of an eighth formula and a 40-hour work week. Five hours is equal to any eighth. Many doctors are employed by the VA on a full-time basis and are not affiliated with the AMC. Usually, to be considered for VA grants and contracts, a faculty member needs to be paying at least five-eighths.
Since an academic work week frequently ranges from 50 to 60 hours, the VA can pay VA physicians full time (eight-eighths) and work in the AMC for an additional 10-20 hours a week. Physicians paid less than eight-eighths are known as part-time VA workers and earn the VA’s wage and fringe benefits in proportion to the percentage employed.
For clinical, academic, and research-related tasks, these faculty earn separate salaries and fringe benefits from their AMC.
Nonpatient activity income
A part of their revenue is earned by many neurologists through activities not specifically related to patient care. Such revenue sources include sitting on hospital boards, as a pharmaceutical industry speaker, or as medical legal case expert witnesses.
Compensation for serving on a hospital committee is governed by the regulations of Stark and Anti-Kickback and must be at a fair market value. This time away from the office may tend to be more or less important depending on the compensation than billing for direct patient activities.
Nevertheless, it is still important to consider the inherent value of sitting on these committees. Committee members are typically viewed in their group as respected leaders and involvement will open the door to referral bases and deeper participation in decision-making by administration.
Physician compensation in academic practice
For neurologists employed by AMCs, many pay models exist, but all are towards the fixed wage model, with or without bonus potential. There are wage models that for many non-medical industries would seem exotic.
The pay for junior members, for instance, begins below that of the most senior members, with the assumption that pay rises will occur either steadily over the years or in quantum steps coinciding with academic promotions.
Every organisation has its own pay rise program, but it takes around 10-15 years in general to reach the full wage potential. Most AMCs use the compensation surveys of the American Association of Medical Colleges as pay benchmarks.
A neurologist with a saturated schedule will bill more service units than conducting E&M services per time interpreting EEGs and EMGs. In addition to the work created by the RVUs, the technical charges for these services (usually two-thirds of the overall charge), at least historically, provided the department or hospital with a significant source of income.
For those neurologists who interpret EEGs or EMGs full-time, it is normal to produce 75% more than a neurologist who conducts E&M services. Other procedures that produce both working include sleep tests, intraoperative monitoring, and botulinum injections, in addition to EEG and EMG revenue.
For neurology units, infusion suites for headache control and therapies for multiple sclerosis and neuropathy may also be lucrative.
So, how neurologist earn money?
According to current data from Medscape Physician Compensation Report, the median salary for physicians in the United States is $ 299,000 per year, rising to $ 329,000 if only the salaries of specialists are counted.
A neurologist makes an average of $244,000 a year.
On the other hand, extraordinary cash compensation such as annual or quarterly bonuses, incentives or shares on the company’s profits are not included. Said compensation fluctuates between $3,517 and $ 128,636 per year.
In addition, it should be noted that there are large variations in what doctors earn not only taking into account the specialty, but also the years of experience, the institution or company for which they work and even the gender and the state where they are located.
However, neurologists not only receive income from clinical practice, since they have a fundamental role in society where they can present at conferences, offer publicity or hold administrative positions.
FAQS: How neurologist earn money?
Do neurologists make a lot of money?
Neurologists earn an average of $ 244,000 according to Medscape. However, this may vary according to experience, location, and whether it is public or private practice.
Who is the highest paid neurologist?
EMG neurologists car earn up to $300,000.
How much do neurologists earn UK?
An entry level neurologist earns an average salary of £129,089. On the other end, a senior level neurologist earns an average salary of £253,856.
Why are neurologists paid so little?
One of the reasons may be that neurology is not a surgical specialty, in addition to that its field of action tends to be seen as “They do nothing” when it is not.
What are the lowest paid doctors?
- Pediatric infectious disease ($192K)
- Pediatric hematology and oncology ($209K)
- Pediatric endocrinology ($215K)
- Pediatrics ($222K)
- Preventive medicine ($232K)
In this post we are going to answer the question ‘’How neurologist earn money?’’ we presented the main sources of income for nerurologists in addition to medical practice.
If you have any questions or comments please let us know!
Donofrio, P. D., Barkley, G. L., Cohen, B. H., Evans, D. A., Esper, G. J., Soronson, B., … Becker, A. (2015). How neurologists are paid: Table. Neurology: Clinical Practice, 5(5), 405–411. https://doi.org/10.1212/cpj.0000000000000183
Do Neurologists Always Work in a Hospital? (2013). Retrieved November 9, 2020, from Work – Chron.com website: https://work.chron.com/neurologists-always-work-hospital-22618.html