Assuming your current, previous or notional PA practice, setting consider the following:

State your PA practice setting (FLORIDA/MILITARY/GOVT)

How much revenue do you generate? Consider gross billing/charges and net collections. (Estimate these numbers if you do not have access to this data while supporting the basis of this estimate.)

What is the payor mix of the patients in your practice (self-pay, Medicare and Medicaid, and private insurance)?

Develop and discuss the total compensation cost of a PA in your example and how it compares regionally, nationally, and to the average total PA compensation.

Assuming 60% charge of overhead to your net collections, does the total cost of the PA result in a favorable or unfavorable contribution to the practice?

What are the economic and non-economic contributions to the practice by the PA in this example?


Some students have had challenges completeing this assignment due to the nature of their employment or employer. Specifically, those working in the military, federal or state agency where billing does not occur, or profit and loss statements do not commonly apply. Or some employers will not provide this information.
In these scenarios, economic value can be determined by taking one of the following approaches:

Use a prior employer or current employer if you moonlight.
Construct a profit and loss statement using standard costs and revenues based upon those available with the Uniform Business Office (UBO), Medical Group Management Association (MGMA), or any other reputable source applying your volume of patient encounters and estimating the other costs. Some sites are subscription only, but you should not pay to find this information. Use your search engines to find what you need.
Construct your revenue number using Relative Value Units (RVU) and estimating other costs.
Please explain your rationale and show how you came up with numbers.


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