Why Don’t I Get Paid More? Understanding Pay, Profit, and Margin in Allied Health
If you bill close to $200 an hour, where does it go? The fully loaded cost of a clinician, the 44 week year and the margin left at the end.
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Allied Health Margin Calculator
Estimate your per-clinician margin, breakeven point and utilisation. Enter your team's salary, charge rate and billable hours target to see how the numbers stack up, then adjust the inputs to model different scenarios across full-time and part-time staff.
Staffing & Cost
Employment Type
Base Pay (FTE)Find the award rate
$/yr
$/hr
Enter a salary between $30,000 and $300,000
Enter an hourly rate between $20 and $150
Cost Multiplier
x
Enter a multiplier between 1 and 2
Overheads per Clinician
$/yr
Enter overheads between $0 and $250,000
Revenue
Charge Rate
$/hr
Enter a rate between $20 and $500/hr
Billable Hours Target
hrs/day
Enter between 1 and 7.6 hours
% of Target Achieved
%
Enter between 5% and 150%
Results
Loaded Cost
$150,000
Annual Revenue
$234,728
Gross Margin
$84,728
36.1% margin · Healthy
Net Margin
$84,728
Add overheads to see net margin
Breakeven Point
3.5 hrs/day
63.9% of target
Utilisation
72.4%
5.5 of 7.6 hrs · Healthy
Cost per Billable Hour
$123.97
Over 1,210 billable hrs a year
Margin per Billable Hour
$70.02
per billable hour
Assumptions: Uses 44 billable weeks per year (accounting for 4 weeks annual leave, 2 weeks personal leave and ~2 weeks public holidays). Standard working day is 7.6 hours. All figures are exclusive of GST and are estimates for planning purposes. May vary by state, role and service model. Gross margin is per clinician, before overheads. Net margin takes off the overheads per clinician you enter, which should include director wages at a realistic market salary.
The toolkit
What to check next
You have the figure for one clinician. The toolkit is sixteen questions to work through with your P&L open, across revenue, clinician cost, business cost and visibility.
Related reading
The thinking behind the numbers
The margin question in longer form.
Allied Health Has a Billable Hours Problem
Allied Health is a service industry and clinicians generate the revenue. Here is what the maths on billable hours actually says, and why the sector avoids it.
What does a Team Leader actually cost your Allied Health business?
Every Team Leader on a reduced caseload is revenue the rest of the team covers. The breakeven point, the supervision split and what a sustainable model looks like.
Want help improving your margins?
The calculator shows you where you stand. If you are unsure which lever moves it most, book a discovery call. You leave with an honest read on where things stand and a clear recommendation.
Book a discovery call