How to INCREASE the average physical therapist salary
Step 1 – Understand Buyer’s Psychology & The Average Physical Therapist Salary
Who is the buyer?
In any traditional employment situation, the buyer is the employer. The therapist seeking employment needs to understand the buyer’s psychology before negotiating the best possible compensation package.
What is the average physical therapist’s salary?
Here in Ohio, the average physical therapist salary in 2022 is between $81K and $110K per year.
* Screenshot from Google Search: “average physical therapist salary”
Step 2 – Know Your Average Revenue Generation
Medicare Fee Schedule
Reimbursement rates will vary based on payer and services provided. You can find the Medicare Part B reimbursement rates for your state and specific CPT Codes by clicking on CMS Physician Fee Schedule Look-Up Tool.
This article – How much does medicare part b pay for physical therapy will share reimbursement rates.
Once you know the average Medicare allowed amount per CPT code you can use that to calculate your total average revenue generated per day or per week as a physical therapist.
Other Fee Schedules
If you work in a pediatric clinic and work with a higher caseload of patients under Medicaid you can usually find your state’s Medicaid reimbursement rates. In several states, you may be able to find your state’s worker’s compensation reimbursement rates as well.
It will take a little estimation, but you can get a pretty close estimate of your revenue generation.
Step 3 – Are You Buying Employment or Is The Employer Buying Physical Therapy?
Is the employer satisfying your need for employment?
Too often, licensed physical therapists approach employment negotiations from the mindset of a person who needs a job.
If a physical therapist accepts a wage of $50/hr and generates $150/hr in revenue on average, that therapist is effectively buying employment for a cost of $100/hr.
Are you satisfying the employer’s need for physical therapy services?
In this scenario, you are helping the employer. You are filling a need the employer has and as such you are in control of the negotiations.