Medical Billing And Medical Coding Salary
Medical coding and billing are essential components of the American health care reimbursement system. Medical coding and medical billing are two distinct job categories. Accordingly, medical coders convert information from medical charts into medical classification codes. Also, medical billers use those codes to create insurance claims and hospital invoices. Therefore, the average medical billing and coding salary are $54,797 annually. Both jobs are essential for health care organizations to pay for their medical services profitably.
If you’re like most people who are considering a career in medical coding and biller, you’re curious about how much you’ll be paid. After all, making money is essential. According to LinkedIn, more than 70% of people want to hear about salary in the first message from a recruiter.
They all involve handling medical records and ensuring accuracy to facilitate the billing process. As the role of healthcare expands, the need for trained professionals to perform these operations will expand.
While money may not be your primary motivator, it is something you will appreciate knowing ahead of time. So, what factors influence your salary as a medical coder? Here are a few key variables to think about.
Salaries for Medical Billing and Coding
Salaries for medical coders and billing experts vary depending on various aspects. These elements include specialization, certification, location, workplace type, and experience.
With these variations in mind, the Bureau of Labor and Statistics (BLS) determined that the average median salary for medical records and health information specialists in 2022 would be $54,797 per year or $26.34 per hour.
Certifications Cause Rain
Many of the most appealing aspects of working as a medical coder are that no formal education is required. It is one of the few healthcare jobs that does not require decades of instruction or clinical hours.
And what if I told you that obtaining just one more certification could result in a $10,000 increase in your pay? You might think that’s impossible, but people who work in this field always do it.
According to the AAPC, obtaining one certification could increase your average salary to $73,150
Refer: Medical Billing and Coding Certification
The Highest Paying States in the United States for Medical Coder Jobs
We found 11 states where the average salary for a Medical Coder job is higher than the national average. Hawaii tops the list, with Massachusetts and Rhode Island close to second place.
Rhode Island outperforms the national average by 9.0 percent, and Hawaii follows suit with an additional $5,770 (12.9 percent) above the national average of $66,902.
Considering that Hawaii has a very active Medical Coder job market, several companies are currently recruiting for this employment.
What Is the Average Salary for a Medical Coder?
Medical coders (certified and non-certified) earn an average of $54,797 annually. Medical billers and coders without qualifications earn approximately $47,200 per year, whereas accredited coding and billing experts earn an average annual salary of $60,097 —27% more than their non-certified colleagues.
According to the 2020 Healthcare Salary Survey, medical coding certification needs to pay. Health information technicians with two credentials earn an average salary of $64,712.
Coding and Billing specialists with three or more credentials earn an average annual salary of $69,942.
Unless freelance or contracted, health information technicians usually receive essential employment benefits such as health, disability, life insurance, paid time off (holiday, sick leave, vacation), and defined-contribution retirement plans, in addition to competitive salaries. Many companies also pay for professional association dues and continuing education.
Given the correlation between medical coding salaries and the credentials, a coding specialist has attained, paid continuing education is a precious employee benefit. Other factors influencing compensation include experience, specialty, employer type, and location.
How Much Do Medical Coders Earn?
Medical coding salaries vary across the United States based on the state’s employment cost and customer price index. The variance between the price indexes of the 50 states is 53%, with Columbia having the highest average wage and Mississippi having the least.
A health information technician in California earns $11.82 for each hour further than a medical biller or certified coder in Mississippi. Once more, the gap in average state salaries primarily reflects this country’s living expenses.
Inside the states, there is a comparable gap between urban and rural areas.
Increased reimbursement pressure on independent physicians has resulted in a trend of hospital-physician practice consolidation. Across the country, physicians are leaving private practice to work for healthcare systems.
Salary Trends in Medical Coding and Billing Based on Employer Types
Over less than a decade, the proportion of hospital-employed physicians rose by more than 70%. Then according to most of the USA figures provided by the Physicians Advocacy Institute, hospital-owned practices increased from 91 percent to 303 percent across all U.S. regions during the same period.
Self-employed physicians are now outnumbering employed physicians. The AAPC Healthcare Salary Survey also shows this trend.
In 2022, only 11.2 percent of respondents reported working for small physician practices. It significantly increased from the previous year’s figure of 37.2 percent. More than half of all medical coders and billers now work for one of the most considerable employer types.
Is there any hope for medical coding job growth in the future?
Medical coding and billing careers offer steady employment opportunities. Medical coding is in such high demand that the U.S. Bureau of Labor Statistics ranks it as one of the top 20 fastest-growing occupations.
The Affordable Healthcare Act has helped to increase the demand for medical coders by making more people qualified for medical care. Given that every patient encounter by every healthcare provider necessitates coded documentation and records, it’s no surprise that medical coding is one of the most in-demand healthcare careers.
Not only has the United States The Baby Boomer generation — 20 percent of our population reached retirement age, but U.S. According to the Census Bureau, the number of people aged 65 and up will increase by 55% by 2030.
Due to the rise in chronic conditions within this population, the Association of American Medical Colleges (AAMC) predicts a physician shortage of nearly 105,000 by 2030. Medical coders and billing specialists who work in hospitals and physician-based practices are also in short supply.
How Can Medical Coders and Billers Raise Their Salary?
Education is the easiest way to a higher medical coding salary. You may have extra capabilities based on your situation.
Non-certified medical billers and coders do the same work as their certified counterparts but are paid significantly less.
If you’ve started learning the health information profession through on-the-job training, becoming certified and earning up to 39 percent more money per year could be as easy as taking the CPB or CPC exam.
Salary increases with education and experience
A certificate or medical coding and billing degree that pays for college tuition or you earn can be beneficial. That is, the income of employees without a college education starts at the lowest value, such as the 10th percentile. Their income may be less than $29,130 on average.
Also, medical billing and coders with a degree earn as much as $54,797. Also, the average salary for technicians with a four-year degree is $54,552. By getting higher education, you will have the opportunity to do many other things outside—those who take on more responsibility as medical billing managers can earn an average salary of $84,096.
The starting salary for trained medical coding and billing specialists with one year of experience is around $32,000. It can be more than $42,000 as you gain more experience over 5 or 9 years. Also, workers with more than 15 years of experience in coding and billing jobs earn $56,667 annually. Also, from those values, the salary increases by 5% for your other experience every five years.
Suggested: 8 Best Free Medical Billing and Coding Courses In 2022
Earning AAPC certification will increase the salary.
Medical coding and billing employees who put in the extra effort to earn AAPC certification earn more than their average salary. That figure can be an average salary increase of 2.6%.
The average annual wage earned by certifiers is $51,454. Also, the average salary for certified outpatient coding specialists is $58,882. Also, having two AAPC credentials can fetch a salary of 58,339. Certified medical practice managers who bring home the highest income can earn $64,666 annually.
FAQs:
- Which medical coder earns the most money?
Certified medical practice managers earn the highest income of $64,666 per year. Also, Professional coders earn a salary of $51,454 per year. Certified outpatient coding specialists earn an annual income of $58,822.
- Which pays more for medical billing or coding?
Medical coders earn more than medical billers. The annual salary for medical coders is around $43,260. Also, the average salary for medical billers is $40,340.
- How Much Do Medical Coders Make Working From Home?
Most medical coders who work from home make an average of $24 an hour or $50K annually.
- How much does a Medical Coder or Medical Biller earn per hour?
Accredit to the Bureau of Labor Statistics, the average medical billing and coding wage is about $26.34 an hour. That figure is approximately $54,797 per year.
- What is the highest paying medical coding certification?
Certified Outpatient Coding (COC)
Ascribed by the American Academy of Professional Coders, the COC certification was formerly called CPC-H. The coding is specialized for hospital groups, billing and coding departments, ambulances, and centers.
