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- Nov 4, 2007
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Long time listener, first time caller.
I would like your input on which is the best manner to negotiate a job offer for the period of time prior to partnership.
1) Percent of net collections
2) Percent of total collections
3) RVU
1. The downside of net collections is that if the employer runs a high overhead rate then I am essentially paying for that with my portion. Also, there is some fudge factor in the overhead is calculated.
2. The downside of total collections I see here is that once I agree for a set overhead rate, I would not benefit from any decrease in overhead or increase in efficiency. Also if I am the second physician to join the group, the overall efficiency should increase since overhead costs will now be divided by 2 physicians.
Which one of these methods would be the best to use when negotiating an offer?
I would like your input on which is the best manner to negotiate a job offer for the period of time prior to partnership.
1) Percent of net collections
2) Percent of total collections
3) RVU
1. The downside of net collections is that if the employer runs a high overhead rate then I am essentially paying for that with my portion. Also, there is some fudge factor in the overhead is calculated.
2. The downside of total collections I see here is that once I agree for a set overhead rate, I would not benefit from any decrease in overhead or increase in efficiency. Also if I am the second physician to join the group, the overall efficiency should increase since overhead costs will now be divided by 2 physicians.
Which one of these methods would be the best to use when negotiating an offer?