Becker's Hospital Review

Compensation 35 Hospital CEO, CFO Compensation: 54 Statistics By Bob Herman  CEO salary adjustments, SERPs Hospitals with net patient revenue between $100 million and $199 million Salaries for the hospital CEOs appear to be coming back in full swing, as the average hospital CEO received a base salary increase of 4.82 percent last year, according to a survey from Yaffe & Co., a healthcare compensation consulting firm. 25th percentile: 0 percent The 4.82 percent increase is the highest average raise since 2009. Many of the average raises are going to CEOs at the largest hospitals, according to the survey. CEOs at hospitals with more than $500 million of net patient revenue received a base salary increase of 4 percent in the 50th percentile — higher than last year's figure of 2.5 percent. Hospitals with net patient revenue between $200 million and $500 million Supplemental executive retirement plans are also rising in prominence as the average age of a hospital CEO goes up. Among hospitals with at least $100 million of net patient revenue, almost two-thirds of CEOs had a SERP. Here are 27 statistics on average salary adjustments and SERPs for hospital CEOs. Note: The survey received responses from 406 hospitals and health systems. Forty-one percent of hospital respondents had net patient revenue between $35 million and $199 million, while 39 percent had net patient revenue less than $35 million. All average adjustments include increases, decreases and freezes in base salaries. 50th percentile: 2.8 percent 75th percentile: 6.5 percent 25th percentile: 3.0 percent 50th percentile: 5.2 percent 75th percentile: 7.3 percent Hospitals with net patient revenue greater than $500 million 25th percentile: 3.9 percent 50th percentile: 4.0 percent 75th percentile: 11.1 percent Total 25th percentile: 0 percent Supplemental executive retirement plans are also rising in prominence for hospital CFOs, particularly for those at the largest organizations. Among hospitals with at least $200 million of net patient revenue, roughly 45 percent of CFOs had a SERP. Here are 27 statistics on average salary adjustments and SERPs for hospital CFOs. Note: The survey received responses from 406 hospitals and health systems. Forty-one percent of hospital respondents had net patient revenue between $35 million and $199 million, while 39 percent had net patient revenue less than $35 million. All average adjustments include increases, decreases and freezes in base salaries. Average hospital CFO salary adjustment by year 2009-2010: 3.00 percent 2010-2011: 4.27 percent 2011-2012: 5.92 percent 2012-2013: 4.41 percent 50th percentile: 3.7 percent Average hospital CFO salary adjustments by net patient revenue 75th percentile: 6.8 percent Hospitals with net patient revenue less than $35 million Hospitals with net patient revenue less than $35 million: 19 percent 25th percentile: 0 percent 50th percentile: 1.3 percent Average hospital CEO salary adjustment by year Hospitals with net patient revenue between $35 million and $99 million: 34 percent 2009-2010: 4.10 percent Hospitals with net patient revenue between $100 million and $199 million: 65 percent Hospitals with net patient revenue between $35 million and $99 million Hospitals with net patient revenue between $200 million and $500 million: 64 percent 25th percentile: 0 percent 2010-2011: 3.90 percent 2011-2012: 4.09 percent 2012-2013: 4.82 percent Average hospital CEO salary adjustments by net patient revenue Hospitals with net patient revenue less than $35 million 25th percentile: 0 percent 50th percentile: 2.6 percent 75th percentile: 6.6 percent Hospitals with net patient revenue between $35 million and $99 million 25th percentile: 0 percent 50th percentile: 3.0 percent 75th percentile: 6.0 percent Hospitals with net patient revenue greater than $500 million: 55 percent CFO salary adjustments, SERPs Last year, hospital CFOs saw an average salary raise of 4.41 percent, down from an average increase of 5.92 percent in 2011-12, according to a survey from Yaffe & Co., a healthcare compensation consulting firm. Most CFOs at the smallest hospitals, those with net patient revenue a couple million dollars to $100 million, saw smaller salary raises compared with last year's figures. However, some CFOs at larger hospitals who were paid in the 75th percentile still received larger-than-average raises, with some earning up to 9 percent more. 75th percentile: 3.1 percent 50th percentile: 2.0 percent 75th percentile: 4.0 percent Hospitals with net patient revenue between $100 million and $199 million 25th percentile: 0 percent 50th percentile: 4.5 percent 75th percentile: 9.4 percent Hospitals with net patient revenue between $200 million and $500 million 25th percentile: 3.0 percent 50th percentile: 5.0 percent 75th percentile: 9.6 percent

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