Aspiring hospital administrators often wonder what the job outlook is for hospital administrators. Due to the rapid growth in the healthcare industry, hospital administrators are experiencing and should continue to experience a positive job outlook. Although an individual may begin a medical career in an entry-level position and work his or her way up the ladder, most hospital administrators have at least a master’s degree in hospital administration or a related field. Hospital administrators are the professionals who help oversee the operation of a hospital, so their services will always be needed.
Related resource: Top 10 Online Colleges for a Healthcare Administration Degree
What a Hospital Administrator Does
Hospital administrators also called healthcare administrators or healthcare executives, are highly trained professionals who coordinate and direct health and medical services in a hospital. They may manage a specific department or the entire hospital or facility. They must have knowledge of healthcare regulations, laws and new technologies. It is their job to develop departmental goals to improve the quality and efficiency of the healthcare services they provide. Other duties include:
• Ensuring the facility is compliant with laws
• Recruiting, training and overseeing staff members
• Creating work schedules
• Creating and monitoring budgets and spending
• Managing the facility’s finances
• Organizing the company’s services
• Representing the facility at board and investor meetings
• Communicating with department heads and medical staff
Hospital administrators are grouped in the category of medical and health services managers by the U.S. Bureau of Labor Statistics (BLS), and these professionals are very much in demand. The aging population, the increasing need for more healthcare to remain healthy and live longer, and the increasing use of electronic health records are all contributing factors to the employment growth.
Medical and health services managers are expected to experience job growth of 20% between 2016 and 2026. About 72,100 new jobs should be created in this capacity by 2026. The highest number of hospital administrators are working in general medical and surgical hospitals. The states where the highest number of medical and health services managers are employed are California, New York, Texas, Ohio, and Pennsylvania.
Wages for Hospital Administrators
Medical and health services managers earn yearly wages that range from $58,350 to $176,130 or more with the average annual wage at $111,680 as of a May 2017 report by the bureau. The average hourly wage was $53.69. Various factors can affect the wages earned by hospital administrators, including training, education, certifications, employer and location.
Best States for Hospital Administrators
While there are many factors that determine the wages a hospital administrator might earn, the biggest factor is typically geographic location. A hospital administrator working in a small hospital in a small city is generally going to earn less than one working in a large hospital in a big city. Here are the five top-paying states for medical and health services managers according to the BLS followed by the five lowest-paying states.
• District of Columbia – $143,710
• New York – $136,770
• Connecticut – $132,600
• Delaware – $129,070
• Massachusetts – $128,730
• Puerto Rico – $75,160
• Arkansas – $82,930
• Iowa – $86,170
• Oklahoma – $88,990
• Idaho – $89,180
With healthcare one of the largest and the fastest-growing industry in the country, hospital administrators will continue to experience employment growth, and many administrative positions should open up in this area. Knowing the excellent job outlook for hospital administrators makes this a very attractive career option.