Average practice costs per provider: 10-year change

The medical and surgical supply costs faced by practices per full time physician employee has increased by 82% in a 10-year span, according to a report released in May by the Medical Group Management Association.

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In partnership with market research company DataDive, the organization analyzed the costs and revenues reported by physician-owned multispecialty practices from 2021 to 2022 to find the changes in expenses associated with full-time physicians at their respective practices. 

Here is a breakdown of the median change in various practice expenses per full-time physician from 2013 to 2022:

Expense type

 Percent change (2013-2022) 

Median IT operating cost

54%

Median drug cost

106%

Median medical and surgical supply cost

82%

Median building and occupancy cost

27%

Median furniture and equipment cost

42%

 Median administrative supplies and services cost 

33%

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