Docs Lose to Inflation

Physician's Money Digest, September15 2004, Volume 11, Issue 17

2004 Physician

Compensation and Productions

Survey

Sadly, its appears that the days ofphysicians going to work, making goodmoney, living well, and retiring comfortablyare disappearing. Managed care,high taxes, declining incomes, rising livingcosts, and medical malpractice insuranceare all contributing to new physiciananxieties. According to the , conducted by the Medical GroupManagement Association (www.mgma.com), median annual salary increases forprimary care physicians have failed tobeat the rate of inflation for the past 5years. Since 1999, income for primarycare doctors has risen by only 1.8% peryear. Even in these days of tame inflation(about 2.5%), those represent minusculeincreases. Since doctors have to workharder for yesterday's bucks, clearly theyneed to be better managers of their personalmoney matters.