Money distrubution for Surgeries

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jesse120

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I was wondering if anyone knows how the money for surgeries get distributed. I've heard that surgeons only make a couple hundred bucks for a six figure surgery. Where does the rest go? I could be horribly misinformed, so can someone please help me out? Thanks.
 
I was wondering if anyone knows how the money for surgeries get distributed. I've heard that surgeons only make a couple hundred bucks for a six figure surgery. Where does the rest go? I could be horribly misinformed, so can someone please help me out? Thanks.

I had surgery last year and there were several bills that my insurance company and I paid:

1) the surgeon. His fee was cut a lot by the insurance through a pre-negotiated contract.
2) anesthesiologist. also paid less than what was billed due to an arrangement with the insurance company
3) hospital. this was the largest bill and included use of the OR, x-rays, equipment and devices used in the surgery, recovery room, "the bed", drugs, blood tests.

The big ticket items are usually the disposables and implantable stuff that the surgeon uses, not the surgeon's fee.

My surgeon also uses physician assistants who are on his payroll so their salaries & benefits come out of his fee, too. He works in a very big group and I suspect that everyone is salaried with perhaps an end of the year bonus depending on productivity. Some surgeons also make $$ as consultants, lecturers (for continuing medical education), etc for device and pharmaceutical manufacturers. There is some scandal in all of that right now (conflict of interest issues) but that is a major source of income for some specialists.
 
The surgeon probably makes 10% or less of the total cost of the surgery, once you take out their overhead.
 
The surgeon probably makes 10% or less of the total cost of the surgery, once you take out their overhead.

Far less than 10% if you count the total cost of the surgery to include the hospital bill, anthesthesiologist, and when relative the pathologist, radiologist, et. al.

What the surgeon bills and what is paid by insurance + patient/family are two different things. When you consider costs associated with running an office (space, utilities, employees, contracted services, equipment & supplies, furnishing, servicing debt) and malpractice insurance what actually ends up in the surgeon's pocket is a very small proportion of the cost of surgery.
 
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