Primary Care Docs’ Early Career Income is Bupkis
December 23rd, 2010 | No Comments | Source: AmednewsIf the Affordable Care Act works like it’s supposed to, 32 million Americans will obtain health insurance for the first time over the course of this decade. Authors of the health reform law expect primary care physicians (PCPs) to care for most of these people. Unfortunately, the nation’s severe and worsening PCP shortage means these expectations are unrealistic.
How big is the PCP manpower problem? The Association of American Medical Colleges estimated we’d be short 45,000 of ‘em by the end of this decade, and that was before the Big O signed the Affordable Care Act into law.
Many studies have linked the dwindling supply of PCPs to long work-hours, administrative hassles and most importantly, a widening income gap between PCPs and specialists.
A recent study by Martin Palmeri and colleagues at Dartmouth has shed light on one aspect of this income gap: the excessive debt burden faced by PCPs in the first years after they complete residency training.
To quantify the early-career financial situation for PCPs, Palmeri’s group developed a net income and expense model based on data from the 2007 Physician Compensation Survey and several other databases. Their model looked at physician reimbursement, medical student debt, college savings, retirement planning and cost-of-living expenses.
The scientists found that in contrast to specialists, most PCPs do not earn enough in the first 3 to 5 years post-residency to cover expenses.
PCPs who deferred loan payments until after residency averaged $199,159 in debt, the scientists found. To pay this off in 10 years, they had to fork-out monthly payments of $2,261. When their debt repayment was combined with housing costs, retirement savings, children’s college savings and other expenses, PCPs ended-up $801 short each month, assuming their average starting salary was $130,000. This doesn’t even include the costs of entertainment, clothing and travel expenses.
In the researchers’ model, the only way PCPs ended-up with a net positive income in the first 3-5 years after residency was if they had no debt coming out of medical school or exhibited a lifestyle considered by the researchers to be “optimal low cost” (Mad Men reruns on a Saturday night, anyone?).
The sliver of good news in the study was that PCP income did rise quickly during those first few years, but the scientists were unequivocal in their conclusion: the short-term financial realities faced by primary care physicians create strong disincentives to the pursuit of a career in that field.
Palmeri himself is training to be an Oncologist, by the way. His study appears in the November issue of Academic Medicine.




ABIM and Arora reached a settlement in the case in which Arora’s manager agreed not to offer a live board review course. Terms of the agreement did not require Arora to admit wrongdoing.
To reach these conclusions, Bruce Newton and colleagues followed 419 medical students from four consecutive classes from freshman through senior year at the University of Arkansas for Medical Sciences.
Matthew Samore, an epidemiologist from the VA Salt Lake City will be involved with the project. He opined that the so-called Consortium for Healthcare Informatics Research “will not only inform new guidelines but help resolve some conflicts in current guidelines.”
The VA begins its initiative under a dark cloud caused by the heist of a laptop containing data on 26 million vets, a bit of a privacy issue that is avoided with Web-based solutions since the data are housed in secure, off-site locations.
Although women between the ages of 19 and 30 are still the most commonly affected group, hospitalization rates are growing faster in demographic categories not usually considered to be at risk.
One month after MinuteClinic struck a
The retail clinic business is not for the faint of heart.
That’ll save $3.6 billion for the beleaguered pharmaceutical companies, who are dealing with desiccated drug pipelines, patent expirations on blockbusters, blood thirsty politicians, and
But Ken Johnson, a senior VP for the Pharmaceutical Research and Manufacturers of America disagrees.
Those findings confirmed a March, 2002 analysis in which non-institutionalized elderly folks who received flu vaccine experienced 35% fewer flu-like illnesses and a 50% lower mortality risk than those who didn’t take the spike.




