Keys for successfully implementing physician bonus plans

 

Once you agree on what incentives to include in your compensation plan, focus on the specifics of how your physicians can achieve them. Here are some success factors in implementing bonus plans:

1. Establish explicit work standards. Measure with objective standards like FFS production, RVUs, work hours, coding reviews.

2. Implement reviews, evaluation and feedback directly affecting bonus factors. Unless you measure, review and share information with physicians, how can they adapt to the standards? Don't break the bad news with a tiny bonus check - tell them how they're doing all along.

3. Provide strong physician leadership. Have a respected partner oversee the transition to any new compensation arrangement. Your manager or administrator can develop the mechanism and prepare the data, but a partner-level physician must lead the process. Without clear leadership, the best designed bonus plan will languish.

Have questions? I’m here to help.

This field is for validation purposes and should be left unchanged.
This field is for validation purposes and should be left unchanged.
Categories
Accounting and Tax Services Litigation Support Managed Care Consulting Managed Care Contract Negotiations Medical Practice and Healthcare Entity Valuation Medical Practice Assessment Medical Practice Brokerage Medical Practice Embezzlement Consulting Medical Practice Management Medical Practice Merger Advice Medical Strategic Planning Newsletter Personal Financial Planning Oversight Physician Compensation Models Physician Compliance Physician Financial Management Services Retirement Uncategorized
About Reed Tinsley, CPA

As a top advisor to physicians, I help increase practice profits by delivering hands-on, expert medical accounting/tax support, practice counsel, and revenue-building strategies. Read More >

Reed Tinsley, CPA