Unlocking Physician Starting Salaries: What Avenue Should Your Practice Follow?

Understanding the Landscape of Physician Salaries

As of 2025, physician starting salaries average an impressive $403,000, but the disparity among various specialties raises critical questions for those in the medical industry. Orthopedic surgeons dominate the salary spectrum, boasting an average starting salary of $576,000, while pediatricians sit at the opposite end of the scale, earning significantly less at $258,000. This gap isn't merely a statistic—it reflects the nuanced dynamics of supply, demand, and specialty choice within the medical field.

Demand Fuels Salary Disparities

The demand for specialists continues to surge, driven largely by the United States' aging population. Leah Grant, President of AMN Healthcare Physician Solutions, notes that with more seniors in need of medical care, there is a pressing need for more specialists, particularly in fields like hematology/oncology, gastroenterology, and endocrinology. As a result, high starting salary offers have become commonplace in these areas of need, whereas primary care specialties are often undervalued. For example, family medicine physicians earn an average starting salary of $275,000, falling short of their specialist counterparts.

The Impact of Non-Academic Vs. Academic Positions

Interestingly, the report underscores that non-academic positions generally yield higher pay than those affiliated with academic institutions. This is particularly relevant for family physicians, who earn an average of $290,000 in non-academic roles compared to just $230,000 in academia. For practice owners looking to optimize their financial standing, understanding these dynamics is essential for attracting and retaining top talent in a competitive market.

Incentives: A Hidden Compensation Boost

It's also noteworthy that the compensation package offered to physicians often goes beyond base salary. In 2025, the average physician signing bonus surged to $38,215, marking a 23% increase from the previous year. Additionally, relocation assistance averaged $12,619, while Continuing Medical Education (CME) allowances averaged $4,073. These figures demonstrate that lucrative incentives add nearly $59,000 to a physician's base salary, significantly influencing career decisions.

The Future of Physician Supply

Moreover, the health care system is bracing itself for a projected deficit of up to 86,000 physicians by 2036, which underscores the critical nature of training and retaining qualified healthcare professionals. This looming shortage is further complicated by limited residency program spots and an insufficient number of medical graduates entering the workforce.

Insights for Concierge Medical Practices

For concierge medical practice owners, understanding these salary trends is paramount not only for competitive hiring but also for strategizing practice growth. With high demand for specialists and general trends pointing towards rising salaries, creating a financially sustainable model becomes essential. Offering benefits that not only compete with traditional practices but also foster physician engagement can lead to better outcomes for both the provider and the patients they serve.

Actionable Steps to Thrive

As a concierge practice owner, consider implementing comprehensive compensation packages that include salary, bonuses, and other benefits to attract top talent. Evaluate your practice management strategies to streamline operations and increase overall profitability. By focusing on these areas, you can secure your position as a leading local medical concierge practice, ultimately improving patient care and satisfaction.

Conclusion and Call to Action

Understanding physician starting salaries and the factors influencing them can empower concierge medical practice owners to make informed business decisions. As the market evolves, being proactive can secure a successful and competitive edge. Take action today to fine-tune your business strategies and stay ahead of the curve.