Medical Billing and Coding Salary in the U.S.
According to US Bureau of Labor Statistics (BLS) reports, the average median salary for medical billers is around $47,180 annually.
This is about $22.69 per hour. Several things can affect the specific salary of medical billing and coding professionals.
According to the AAPC, certified medical coders can earn as much as 33% more than non-certified professionals.
This article details the responsibilities of medical billers and coders. This article also details the average annual salaries for technicians in all 50 states and some major cities.
Before diving into the medical billing and coding salary details, let’s take a quick look at the responsibilities of medical coding and medical billing professionals.
What is Medical Coding?
If you don’t know, medical coding relates to converting medical terminology and information into a universally understood language.
This is a way to streamline collaboration between healthcare providers and insurance companies.
There is an established alphanumeric code that medical coders use. Medical coding professionals apply this language to diagnose processes, medical equipment and medical services.
Medical coding is important for the industry because of the following:
- Streamlines the medical billing procedure
- Develops universally understood language for medical professionals and facilities
- Assists researchers in tracking health trends and analyzing treatments
Medical Billing and Medical Coding Salary in the United States
What Do Medical Billers and Coders Do?
Medical billing involves collecting payments for healthcare services provided by the hospital. This includes combining coded information into an invoice.
They send the invoice to the payers or insurance providers. These professionals are also responsible for collecting payments.
Often, people mix up Medical Coding and Medical Billing. Here’s the main difference between the two:
Medical Coders – Review medical data and allot the standardized code required for billing.
Medical Billers – Collect and combine patient information, prepare insurance company claims, and create patient invoices. This usually involves collaborating with medical service providers, insurance companies and patients.
What is the Medical Billing and Medical Coding Salary?
Several factors influence the salaries of medical coders and medical billers in the US. Specialization, location, certification, workplace type and experience are major factors.
Considering these factors, the US BLS found that the average median medical billing and coding salary is around $47,180 per year or about $22.69 per hour.
According to reports by the AAPC, non-certified medical coders can earn as much as $46,321 per year.
Conversely, certified medical coders can earn up to 17.7% more, or around $56,290 per year.
If you add another certification, this increases the average annual salary to around $66,659.
More certifications are likely to increase the annual salary of medical coding and billing professionals.
Besides the salary, certified medical billing and coding professionals also receive several benefits. These may include paid time off, insurance, tuition reimbursement, sick leave, etc.
Which states and cities offer the highest medical billing and coding salaries
According to BLS reports, these are the 5 states with the highest average salary for medical billing and coding professionals:
District of Columbia – $65,000 (annual) / $31.25 (hourly)
Massachusetts – $66,222 (annual) / $31.84 (hourly)
Connecticut – $62,659 (annual) / $30.12 (hourly)
California – $67,660 (annual) / $32.53 (hourly)
New Jersey – $65,568 (annual) / $31.52 (hourly)
The BLS report also ranks the below-given US cities with the highest medical billing and coding salary:
San Francisco (California) – $73,800 (annual) / $35.48 (hourly)
San Jose (California) – $71,090 (annual) / $34.18 (hourly)
Los Angeles-Long Beach-Anaheim – $67,880 (annual) / $32.63 (hourly)
New Haven (Connecticut ) – $54,370 (annual) / $26,14 (hourly)
Stockton-Lodi (California) – $67,640 (annual) / $32.45 (hourly)
Medical Billing and Coding Salary by State
Every US state has its unique economy, cost of living and average annual salary. Location is one of the greatest factors that influence these salaries.
Let’s take a detailed look at the medical billing and coding salaries in different states in the US:
Source: AAPC
| State | Average Income | Average Hourly Salary |
|---|---|---|
| Alabama | $49,481 | $23.79 |
| Alaska | $60,531 | $29.10 |
| Arizona | $58,065 | $27.92 |
| Arkansas | $52,868 | $25.42 |
| California | $67,660 | $32.53 |
| Colorado | $60,615 | $29.14 |
| Connecticut | $62,659 | $30.12 |
| Delaware | $56,845 | $27.33 |
| District of Columbia | $65,000 | $31.25 |
| Florida | $58,020 | $27.89 |
| Georgia | $56,600 | $27.21 |
| Hawaii | $55,000 | $26.44 |
| Idaho | $56,190 | $27.01 |
| Illinois | $58,476 | $28.11 |
| Indiana | $47,176 | $22.68 |
| Iowa | $55,463 | $26.66 |
| Kansas | $55,427 | $26.65 |
| Kentucky | $53,286 | $25.62 |
| Louisiana | $50,917 | $24.48 |
| Maine | $57,348 | $27.57 |
| Maryland | $63,068 | $30.32 |
| Massachusetts | $66,222 | $31.84 |
| Michigan | $55,273 | $26.57 |
| Minnesota | $60,462 | $29.07 |
| Mississippi | $48,908 | $23.51 |
| Missouri | $54,604 | $26.25 |
| Montana | $53,591 | $25.77 |
| Nebraska | $54,909 | $26.40 |
| Nevada | $57,191 | $27.50 |
| New Hampshire | $60,959 | $29.31 |
| New Jersey | $65,568 | $31.52 |
| New Mexico | $55,273 | $26.57 |
| New York | $62,369 | $29.99 |
| North Carolina | $56,166 | $27.00 |
| North Dakota | $53,929 | $25.93 |
| Ohio | $55,086 | $26.48 |
| Oklahoma | $53,094 | $25.53 |
| Oregon | $59,972 | $28.83 |
| Pennsylvania | $56,964 | $27.39 |
| Rhode Island | $65,110 | $31.30 |
| South Carolina | $54,433 | $26.17 |
| South Dakota | $56,360 | $27.10 |
| Tennessee | $57,159 | $27.48 |
| Texas | $59,393 | $28.55 |
| U.S. Territory | $45,556 | $21.90 |
| Utah | $54,171 | $26.04 |
| Vermont | $62,500 | $30.05 |
| Virginia | $56,680 | $27.25 |
| Washington | $61,920 | $29.77 |
| West Virginia | $51,240 | $24.63 |
| Wisconsin | $60,204 | $28.94 |
| Wyoming | $57,917 | $27.84 |
Frequently Asked Questions About Medical Billing and Coding Salaries
What is the average salary of a medical coder in the US?
The average salary for a medical coder in the US is approximately $55,923 per year. Entry-level medical coders start at around $40,350, with experienced coders earning up to $66,260 annually.
What is the current demand for the medical billing and coding profession in the USA?
The medical billing and coding profession is in high demand and is projected to grow by 8% between 2022 and 2032. This field is projected to add about 34,300 new jobs in the USA. Medical Billing and Coding is a good option if you are planning to look for a career option.
What is the core duty of a medical coder?
A medical coder reviews the files of the patients and translates everything into codes for easy understanding by the insurance companies. It converts long details into short ones making it easier for the computer systems to recognize things.
What are the practical uses of Medical Coding?
Medical coding is crucial to collect the details about medical claims by medical companies. The same codes help the billing department generate medical bills accurately. The medical coder must design the right codes to make the entire procedure user-friendly.
What medical coding is used in the USA?
In the USA, medical coding utilizes several code sets, including CPT codes for outpatient procedures and services, ICD-10-CM codes for diagnoses, and HCPCS Level II codes for services, equipment, and supplies not covered by CPT.
Which country is best for Medical Coding jobs?
While medical coding opportunities exist globally, the demand and compensation can vary greatly, with the United States often cited as a high-demand location for medical coders due to its developed healthcare system and widespread use of coding for billing and healthcare management. Besides this, medical coders are in high demand in almost every country as hospitalization in each country is becoming digital.
What is the highest-paying position in medical coding?
Positions such as Coding Manager or Compliance Officer, along with Coding Director, are among the highest-paid in the medical coding field, with salaries varying based on experience, location, and the complexity of the coding required.
Which type of medical coding is best to earn a high salary?
To work in an outpatient setting, acquiring the Certified Professional Coder (CPC) certification is highly recommended for better job opportunities and salary prospects. The CPC exam is crucial to acquiring the Certified Professional Certification in Medical Coding. A certified medical coder has the highest chance of getting the best position with a high salary.
Conclusion
These are the average salaries for medical billing and coding professionals in the United States. Ensure you gain as many relevant certifications as possible to increase your average salary.
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