This position offers a hospital-employed compensation structure with a competitive base salary, sign-on bonus, and call pay that brings the total package to approximately $653,000. The base salary is guaranteed during the ramp period, giving the incoming physician income stability while building a panel and establishing a surgical schedule. Given the documented patient demand in Ellis County, leadership expects a faster-than-average ramp to full production.
| Compensation Component | Details |
|---|---|
| Model | Base salary guarantee transitioning to wRVU production |
| Base Salary Guarantee | $580,000 |
| Sign-On Bonus | Confirmed; amount to be added |
| Call Pay | Confirmed; amount to be added |
| Total Package (Approximate) | ~$653,000 |
| Production Model | wRVU-based after guarantee period |
| Productivity Incentive | Bonus potential based on wRVU thresholds |
| Malpractice Coverage | To be confirmed |
| Retirement Plan | To be confirmed |
| Time Off | To be confirmed |
A urologist entering this market steps into an environment with documented patient demand, an established referral base, and surgical block time already in place. At steady state, a physician seeing an average of 33 patients per day across four clinic days per week and performing regular surgical cases is positioned to generate productivity earnings above the base guarantee.
Year one income will be anchored by the $580,000 guarantee while the physician builds volume. Given that new patient wait times are already running 8 to 9 weeks and Dr. Modi's schedule is consistently over capacity, leadership believes a new physician could reach full production volume in 12 months or less. By year two, productivity earnings should begin supplementing or replacing the guarantee depending on the threshold structure.
A physician who adds robotic surgical capability could accelerate earnings further by retaining complex oncology cases that currently leave the system.
| Input | Value |
|---|---|
| Base Salary Guarantee | $580,000 |
| Sign-On Bonus | Confirmed; amount TBD |
| Call Pay | Confirmed; amount TBD |
| Total Package (Approximate) | ~$653,000 |
| Average Patients Per Day | 33 (range: 30-37) |
| Call Days Per Month | 5 |
| Assumption | Value | Note |
|---|---|---|
| Clinic Days Per Week | 4 | Modeled Assumption |
| Weeks Worked Per Year | 48 | Modeled Assumption |
| Average wRVU Per Encounter | 1.8 | Modeled Assumption |
| Surgical wRVUs Per Year | 1,500 | Modeled Assumption |
| wRVU Conversion Factor | $55.00 | Modeled Assumption |
| Benefits Load | 25% | Modeled Assumption |
| Practice Overhead Rate | 45% | Modeled Assumption |
| Metric | Calculation | Total |
|---|---|---|
| Annual Clinic Days | 4 days x 48 weeks | 192 days |
| Annual Patient Encounters | 192 days x 33 patients | 6,336 visits |
| Clinic wRVUs | 6,336 visits x 1.8 wRVU | 11,405 wRVUs |
| Surgical wRVUs | Modeled Assumption | 1,500 wRVUs |
| Total Projected wRVUs | 12,905 wRVUs |
| Metric | Calculation | Total |
|---|---|---|
| Total wRVUs | 12,905 | |
| wRVU Conversion Factor | x $55.00 (Modeled Assumption) | |
| Projected Annual Collections | $709,775 |
Formula: Total wRVUs x Conversion Factor = Projected Collections
| Cost Component | Year One | Steady State (Year Two+) |
|---|---|---|
| Base Salary | $580,000 | $580,000 |
| Benefits Load (25%) | $145,000 | $145,000 |
| Total Employer Cost | $725,000 | $725,000 |
Note: Sign-on bonus and call pay amounts to be added when confirmed. These are typically one-time or variable costs and are tracked separately from the recurring employer cost model.
| Metric | Year One (Ramp) | Year Two (Steady State) |
|---|---|---|
| Projected Collections | $496,843 | $709,775 |
| Overhead (45%) | $223,579 | $319,399 |
| Net Revenue After Overhead | $273,264 | $390,376 |
| Total Compensation Cost | $725,000 | $725,000 |
| Net Contribution | ($451,736) | ($334,624) |
Year one collections modeled at 70% of steady state to reflect ramp period.
The negative margin across years one and two is consistent with hospital-employed urology models in high-growth markets, particularly at this compensation level. The base salary of $580,000 sits well above median for employed urologists, reflecting the system's acknowledgment that this is a competitive market and that attracting the right physician requires a strong offer. The hospital has confirmed the market can support additional urologists, and leadership views this as a service line investment with a longer-term return horizon.
| Year | wRVUs | Collections | Compensation Cost | Net Contribution |
|---|---|---|---|---|
| Year 1 (70% ramp) | 9,034 | $496,843 | $725,000 | ($451,736) |
| Year 2 (steady state) | 12,905 | $709,775 | $725,000 | ($334,624) |
| Year 3 (3% growth) | 13,292 | $731,068 | $725,000 | ($313,341) |
Productivity bonus structure not yet modeled. Net contribution improves as physician exceeds guarantee threshold and production income replaces or supplements the base.
| Metric | Required Value |
|---|---|
| Required Annual Collections to Cover Cost | $1,318,182 |
| Required wRVUs at $55 Conversion Factor | 23,967 wRVUs |
Formula: Total Employer Cost / (1 - Overhead Rate) = Required Collections
Formula: Required Collections / Conversion Factor = Required wRVUs
The break-even threshold reflects the fully loaded employer cost at this salary level. It is high relative to individual physician production and is expected for a hospital-employed model at this compensation range in a growth market. The value to the system extends beyond direct collections and includes patient retention, service line growth, and the ability to build a robotic surgical program that currently sends cases to competing facilities.
All assumptions are modeled. Final proforma should be updated with confirmed wRVU conversion factor, productivity threshold, sign-on bonus amount, call pay amount, and full benefits package when available.