Healthcare administrators are valuable commodities, with the strength of a city, region, or even a state depending on their ability to effectively manage and direct healthcare organizations ranging from nursing homes and assisted living facilities to major hospital systems.
The annual salaries for healthcare administrators speak to their importance, not only for the state’s healthcare system but also for the health of the state as a whole.
These professionals earn a median salary of $101,550 in Tennessee – higher than the national average of $99,730. Job growth for Tennessee’s healthcare administrators also surpasses the national average, with growth among these professionals expected to increase by 25.4% between 2016 and 2026 – much higher than the national projected growth rate of 20.5%.
The Major Drivers of Job Growth for Healthcare Administrators in Tennessee
The size, fitness, and vitality of hospitals and healthcare systems equate to exceptional professional opportunities for healthcare administrators. Examine the healthcare industry in Tennessee and it becomes clear why earning potential and job opportunities among healthcare administrators here remain strong.
According to the Tennessee Hospital Association (THA), hospitals in the Volunteer State are a major driver in the economy. Statistics reveal that hospitals pumped about $18.3 billion into the economy in 2015 (the most recent year data was available), with another $6 billion through hospital employment. More than 8 million visits were made to Tennessee hospitals during this time.
As a whole, the healthcare sector in Tennessee yields even more impressive results. For example, in Nashville alone, there are more than 500 healthcare companies, and the healthcare sector contributes $47 billion annually to the city’s economy – an increase of 20 percent from just three years prior according to report published by the Nashville Area Chamber of Commerce.. More than 273,000 people in Nashville are employed in the healthcare industry, and the industry generates $92 billion in revenue.
How Location Impacts Healthcare Administrator Salaries in Tennessee
The largest number of healthcare administrators is found in the Nashville-Davidson-Murfreesboro-Franklin metro area, at 4,040. This metro area also comes out as the leader among the top 10% of healthcare administrators, at $180,160, with the Memphis metro area following at $173,010. Memphis is also second in the state for its number of healthcare administrators, at 2,050.
The Nashville and Memphis metro areas are the leaders for median pay for healthcare administrators, at $93,960 and $95,920, respectively.
- 25th percentile: $68,150
- Median: $90,860
- 75th percentile: $122,510
- 90th percentile: $165,250
- 25th percentile: $64,660
- Median: $87,070
- 75th percentile: $115,750
- 90th percentile: $158,710
- 25th percentile: $75,730
- Median: $95,920
- 75th percentile: $128,570
- 90th percentile: $173,010
- 25th percentile: $71,610
- Median: $93,960
- 75th percentile: $127,310
- 90th percentile: $180,160
Full salary details for the health administration professionals serving hospitals and health systems in Tennessee can be seen here:
Salary and employment data compiled by the United States Department of Labor’s Bureau of Labor Statistics in May of 2018. Figures represent accumulated data for all areas of employment for medical and health services managers– https://www.bls.gov/oes/current/oes_tn.htm#11-0000.
BLS salarydata represents state and MSA (Metropolitan Statistical Area) average and median earnings for the occupations listed and includes workers at all levels of education and experience. This data does not represent starting salaries. Employment conditions in your area may vary.
Job growth projections sourced from the Tennessee Department of Labor and Workforce Development and published in the U.S. Department of Labor-funded Long Term Occupational Projections (2016-2026) database – https://projectionscentral.com/Projections/LongTerm.
All salary and job growth data accessed in July 2019.