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Masters In Health Services Administration Salary
Attaining a master’s degree in health care administration will help you secure a position as an administrator or manager of a health care facility. As the aging population continues to increase, so does the need for qualified health care administrators. A fast-growing field, the average annual salary for a professional with a masters in health care administration is $98,350. Overseeing personnel matters, budget management, and patient care issues are among the duties of this important job.
| Required Education | Bachelor’s degree |
| Other Requirements | A degree in health administration is preferred, as is graduate-level education related to medicine |
| Licensure/Certification | Administrators in nursing homes need to be licensed; voluntary certification available for all managers and administrators |
| Average Annual Salary (May 2020)* | $118,800 |
| Projected Job Growth (2019-2029)* | 32% |
Source: U.S. Bureau of Labor Statistics
masters in healthcare administration jobs
Positions in health services administration have many different titles such as healthcare executive, health services manager and medical administrator. The overall responsibilities of a health services administrator vary based on the needs of individual employers. A health services administrator working in a private physician’s practice might be in charge of clerical employees and billing issues. Larger healthcare facilities generally have many assistant administrators that oversee clinical departments, including surgery and nursing. The U.S. Bureau of Labor Statistics (BLS) states that recent federal regulations requiring the electronic filing of patient records has led health services providers to hire health information management professionals.
Health Administration Salary
The wage expectations of health services managers exceed the national average for other occupations. Data from the BLS shows that medical and health services managers earned a mean annual wage worth $118,800 in May 2020. Pay rates vary substantially for health services administrators based on experience and responsibilities. In May 2020, medical and health services managers supervising general hospitals received a mean annual salary of $127,330, while pharmaceutical companies and medical manufacturing firms paid these managers an annual mean wage of $205,470.
Earnings for medical and health services managers can also vary between geographic locations. The BLS reported that health services facilities in DC, New York, Hawaii, California, and Massachusetts paid managers the highest mean annual wage in May 2020. Total employment in medical and health services management is expected to increase 32% from 2019-2029, according to the BLS.
| State | Annual Mean Wage |
| District of Columbia | $157,590 |
| New York | $156,140 |
| Hawaii | $139,650 |
| California | $138,030 |
| Massachusetts | $136,930 |
bachelors in healthcare administration salary
The Bureau of Labor Statistics (BLS) states that the typical healthcare administration salary falls between (lowest 10%) $59,980 and $195,630 (highest 10%)—the annual median wage was $104,280 as of May 2020. Healthcare administration hourly pay is roughly $50.13 per hour, according to the BLS.
BLS data shows that those working in healthcare administration often make more than those who work in other management roles. The median annual salary in May 2020 for other management positions was $95,180. Healthcare administration salary is also significantly higher than the average median salary for all occupations in the United States, which was $41,950 in May 2020.
Those interested in learning how to become a healthcare administrator should start by learning more about the skills, steps and education requirements necessary to enter the field.
Health Services Administration Degree
Employers tend to seek health services managers with graduate education in areas related to medicine, such as public health and health sciences. In addition to knowledge of science and health, desirable candidates for health services administration jobs will also have formal education in management and finance.
Private and public universities offer master’s and doctoral health services administration degree programs for prospective health services managers. Advanced education in health administration includes courses in organizational behavior, financial management and information systems. Students in graduate health administration programs often focus on specific areas including health demographics or gerontology.
With a bachelor’s or master’s degree in health services administration, there are many career options to consider. Health service administrators work as hospital or clinical managers, or may oversee operations in a doctor’s office or nursing home. Certification is voluntary for most job opportunities, although it is required for those who choose to work in nursing home administration.
Master of Health Administration Salary and Career Outlook
With a bachelor’s degree in health service administration, it is possible to begin a career as a health services administrator, but a graduate degree may be necessary for career advancement. Medical and health service managers may work as hospital managers, clinical managers, or manage a nursing home or physicians’ office.
What is Health Services Administration?
Health services administration refers to the process of directing, supervising and planning the delivery of medical treatment to patients. Individuals working in health services administration must be comfortable with a range of professional duties that include government regulations, healthcare management, and business administration. At least a bachelor’s degree is required to become a health service administrator, a major in health administration is recommended.
Unlike doctors and nurses, heath administrators are not typically patient-facing. Their duty lies in handling the business side of a practice, including monitoring budgets, supervising medical services and managing employees. As a result, this program is focused on preparing potential graduates to excel in nearly anything related to health care facilities operations.
Health care administrators go by a number of titles, including department managers, health care executives and medical service managers. These positions can be found in hospitals, clinics, health care practices, government organizations, pharmaceutical companies and insurance companies. They have a varying salary scale based on location and education level. That means that professionals working in health care administration may be able to advance their career more successfully should they continue their education.
Job Description
A master’s in health care administration will prepare you to attend to every aspect of managing a health care facility. In-depth knowledge of policy issues, compliance matters, and medical records are among the duties of this position. A health care manager must hire, train, and supervise staff for the facility. In addition, overseeing the budget and finances is critical for this position. Nursing homes, hospitals, medical clinics, urgent care centers, pharmaceutical companies, long-term care facilities and health insurance companies are all in need of health care managers or administrators. Strong leadership skills, the ability to communicate with a wide variety of constituents, and policy expertise is critical for this job.
Education
If you are interested in becoming a health care administrator, the first step is to pursue an undergraduate degree in the discipline. This degree will prepare you to enter a graduate program in health care administration. Graduate classes may include: statistical reasoning in public health, fundamentals of management for health care organizations, budgeting and financial management, public health, and managed care and health insurance. A thesis or capstone project will allow you to apply your learning to a topic that is uniquely representative of your talents and interests. You may choose to work in a health care facility, while pursuing your graduate degree. This will provide you with practical experience that brings classroom learning to life. Many programs provide online or hybrid options, to accommodate students that are working full-time.
Industry
In 2017, the average salary for a manager that has a master’s of health care administration is $98,350, according to the Bureau of Labor Statistics. Higher salaries are found in Connecticut, Massachusetts, and California. Lower salaries are realized in Louisiana, Kansas, Idaho, and Iowa.
Years of Experience
Entry-level jobs for health care administrators are found in smaller centers. In larger centers, entry-level jobs may involve serving as an assistant or in a specialty management position. Extensive experience is needed to manage larger facilities and earn a higher salary.
Job Growth Trend
The health care industry is fast growing and this means a high need for health care administrators. A 20 percent increase in positions is projected between now and 2026. A master’s of health care administration salary will continue to be an attractive option for administrators that are interested in the field.
Health Care Administration Job Description: What Do Health Administrators Do?
Health care administration workers play a critical role in their place of work, so they require the right training in order to support their facilities with care and efficiency. Each administrator is responsible for maintaining the day-to-day operations of health care provider offices, ensuring that other health care professionals are able to perform their job smoothly. Responsibilities of health care administrators include External link :
- Researching and implementing health care laws and regulations
- Coordinating employee schedules
- Supervising daily activities
- Overseeing finances
- Updating records
- Handling marketing
Because of their important role in the industry, health administration workers can be found in a variety of settings:
- Hospitals
- Hospital networks
- Home health care organizations
- Private practices
- Nursing homes
- Long-term care facilities
- Group practices
- Clinics
- Urgent care providers
- Outpatient care centers
- Insurance companies
- Government organizations
According to the Bureau of Labor Statistics (BLS) page on medical and health services managers External link , health administrators must have at minimum a bachelor’s degree, preferably in health administration, health management, nursing, public health administration or business administration. While many positions require a bachelor’s degree to apply, potential employers may consider candidates more competitive if they earned their master’s degree.
Employers may also require medical service managers to have prior work experience in a clinical or administrative position. According to the BLS, some examples of acceptable work history for health administrators include:
- Registered nursing positions
- Medical record technicians External link
- Administrative assistants External link
- Financial clerks External link
8 Great Jobs in Health Care Administration
Professionals with a master’s in health administration (MHA) will likely be able to find a job somewhere in a hospital, but health administrator jobs are certainly not limited to that one setting. Here are some of the most common jobs in health administration.
Clinical Management Jobs
Clinical managers, or health care program directors, oversee one or more departments within a health care organization. Examples of these departments include surgery, physical therapy or nursing. Responsibilities for clinical managers External link include hiring and training of staff members, liaising with patients and health care professionals, and coordinating patient care plans, according to aggregated job descriptions on the website Glassdoor.
Health Information Management Jobs
Responsibilities for health information managers External link include organizing and maintaining clinical databases, tracking patient outcomes, assigning clinical coding for insurance purposes and electronically recording data with information technology systems, according to Western Governors University. Candidates with a passion for measurement clarity will find they are a good fit for this role. They are responsible for ensuring that all clinical, epidemiological, demographic, financial, reference and coded health care data is accurate, up-to-date, accessible only to authorized personnel, and follows all legal and professional standards during sharing and storage.
In addition to data input and maintenance duties, health information managers are also responsible for keeping health information systems up-to-date and up to code. In order to do so, they must stay informed on the latest information technology, trends in managing complex data, and the current laws and regulations on health information systems.
Nursing Home Administration Jobs
Nursing home administrators are responsible for managing nursing home facilities designed for the elderly and disabled. Day-to-day tasks for nursing home administrators include External link supervising staff, handling admissions, monitoring finances, maintaining the facility and medical equipment, and caring for nursing home residents.
All nursing home administrators must be licensed by the National Association of Long Term Care Administrator Board. To learn more about the requirements for licensure by state, visit the “State licensure requirements” page on the National Association of Long Term Care Administrator Board website External link .
Government Health Care Administration Jobs
Professionals with a master’s in health care administration External link may find positions working with local, state, and federal government organizations, such as a local health department, the U.S. Department of Health and Human Services, the Centers for Disease Control and Prevention, and the National Institutes of Health. Some examples of government health care administration positions include health systems administrator, medical records administrator, public health manager and public health advisor.
Consulting Health Care Administrator Jobs
Health care consultants are third-party analysts responsible for addressing challenges faced by health care administration External link and management. Using holistic knowledge of the health care industry, consultants analyze data and trends within an organization’s management foundation and suggest changes to policy, processes, practice, and patient care delivery to improve efficiency, profitability and quality of care.
Insurance Jobs
According to the Centers for Disease Control and Prevention’s 2019 National Health Interview Survey Early Release Program, approximately 87% of interviewees reported being covered by either private or public health insurance External link . As the nation’s population continues to grow, the need for medical insurance professionals is likely to follow suit.
Many health care administration professionals have found jobs within the medical insurance industry due to their knowledge in medical billing, medical coding and health informatics. Some positions available to health administrators include medical insurance claims specialists, medical insurance billing specialists, medical coding specialists and health informatics data analysts.
Pharmaceutical Administration Jobs
Professionals with a master’s in health care administration with a focus on pharmaceuticals may find positions as pharmaceutical administrators. These administrators may manage daily pharmacy activities External link , acting as both an organizational manager overseeing pharmaceutical administrative operations and as liaison between different health care organizations, including pharmacies, insurance providers, patients and health care executives.
Chief Executive Officer Jobs
According to the BLS, a chief executive officer is responsible for creating policies and directing an organization within the guidelines set up by a board of directors External link . Health care industry CEOs are responsible for ensuring that the health care facility they are leading performs efficiently while simultaneously keeping operations in line with the organization’s goals and vision.
Health Administration Job Outlook
Health care facilities need administrators in order to run effectively. According to the BLS, the employment of health administration and medical service managers is projected to grow 18% from 2018 to 2028 External link .
Health care services continue to shift from being provided solely at hospitals to singular offices of health practitioners. Combined with the widespread use of electronic health records (EHRs), the demand for managers with knowledge of health information technology (IT) and informatics systems and the ability to help manage health care practices is likely to continue to rise.
Additionally, according to the U.S. Census Bureau’s article “The Graying of America: More Older Adults Than Kids by 2035 External link ,” the population of people ages 65 and older is projected to grow significantly over the next few decades. This increase in the retirement-aged population is expected to create a higher demand for health care services, leading to a higher demand for health care professionals.
What is the Median Health Care Administration Salary?
According to the BLS pay data for medical and health service managers External link , the median annual wage in May 2019 was $100,980, with the lowest 10% earning less than $58,820 and the highest 10% earning more than $189,000.
According to the BLS pay data, health care administration positions with government and state, local, and private hospitals offer the highest salaries, with median wages of $111,520 and $110,430 respectively. On the other end of the spectrum, health administrators working in nursing and resident care facilities made the lowest salary per year, with a median wage of $86,820.
Annual salaries for health administrators are based on a number of factors, including:
- The amount of the administrator’s on-the-job experience
- The level of the administrator’s education
- The level of the administrator’s responsibility
- The location of the health care organization
- The size of the organization
Medical service managers are often paid through salaries. They typically work 40 hours a week, but are known to work on scheduled days off or weekends during periods of higher demand.
5 Best Paying Cities for Health Administration Careers
As of May 2019, the BLS reported that the five best-paying metropolitan cities for health care administration professionals External link were:
| Metropolitan area | Employment | Employment per Thousand Jobs | Hourly Mean Wage | Annual Mean Wage |
| Santa Cruz-Watsonville, CA | 420 | 4.28 | $78.50 | $163,280 |
| Vallejo-Fairfield, CA | 450 | 3.16 | $76.53 | $159,190 |
| Bridgeport-Stamford-Norwalk, CT | 1,200 | 2.89 | $74.31 | $154,570 |
| Salinas, CA | 280 | 1.55 | $74.25 | $154,440 |
| Hanford-Corcoran, CA | 120 | 2.85 | $69.88 | $145,340 |
The highest average annual income for administrators was found in the Santa Cruz-Watsonville, California, area at $163,280. This was followed by the Vallejo-Fairfield, California, area with an average annual income of $159,190. The average annual income for the Bridgeport-Stamford-Norwalk, Connecticut, area falls third on the list at $154,570, followed shortly by Salinas, California, with an average annual income of $154,440. And finally, the fifth highest average annual income was found in the Hanford-Corcoran, California, area at $145,340.
Top States for Health Administration Jobs
When determining which state is the best for your health care career, there are several factors to consider. These factors include employment rates, concentrations of jobs, average salary, average costs of living and the prevalence of the health care industry.
According to the BLS, the five states with the highest employment rates for medical and health service managers External link are:
| State | Employment | Employment per Thousand Jobs | Annual Mean Wage |
| California | 36,940 | 2.13 | $133,040 |
| Texas | 33,320 | 2.68 | $107,880 |
| New York | 25,740 | 2.70 | $147,000 |
| Pennsylvania | 17,330 | 2.94 | $98,560 |
| Massachusetts | 15,810 | 4.37 | $132,960 |
The report also lists the top paying states or districts for health care administrators as:
| State or District | Employment | Employment per Thousand Jobs | Hourly Mean Wage | Annual Mean Wage |
| District of Columbia | 1,600 | 2.21 | $72.14 | $150,040 |
| New York | 25,740 | 2.70 | $70.67 | $147,000 |
| Hawaii | 1,540 | 2.43 | $64.09 | $133,320 |
| California | 36,940 | 2.13 | $63.96 | $133,040 |
| Massachusetts | 15,810 | 4.37 | $63.92 | $132,960 |
And finally, the states with the highest concentration of health care administration jobs and location quotients include:
| State | Employment | Employment per Thousand Jobs | Hourly Mean Wage | Annual Mean Wage |
| Arkansas | 5,680 | 4.67 | $41.96 | $87,290 |
| Iowa | 6,880 | 4.44 | $42.28 | $87,940 |
| Massachusetts | 15,810 | 4.37 | $63.92 | $132,960 |
| Oklahoma | 6,540 | 4.04 | $45.41 | $94,460 |
| Maryland | 10,890 | 4.03 | $60.74 | $126,340 |
Of these three lists, Massachusetts and California appear on both the highest paying and highest employment level list. However, in terms of location quotients External link , or the rate at which an occupation’s share of an area’s employment compares to the national average, Arkansas, Iowa, Massachusetts, Oklahoma and Maryland are the states with the highest concentration of health care administration jobs.
Is a Career in Health Care Administration Right for You?
Earning a master’s in health care administration can set you up to land a job in an ever-growing field External link . With a wide variety of positions available within the industry, there are a number of ways your knowledge of the business operations, project management and medical services can be put to use in a rewarding, lifelong career.
If you’re ready to advance your career in health care, a master’s in health care administration may be right for you. Learn more about flexible online degree programs to help you land the job you want.
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