Medical Transcription Outsourcing Benefits Colorado :   

The in-house operational expense for medical transcriptions could cost a hospital or a healthcare provider in the state of COLORADO an approximate US $. 47,934.70 annually

COLORADO

COMPARISION OF COST SAVING & MONETARY BENIFITS

IN-HOUSE vs OUTSOURCING

COSTS	IN-HOUSES		OUTSOURCE
HOURLY WAGES @ $16.91*	ANNUAL COST	35,170.00	NIL COSTS
BENIFIT EXPENSES @ 5% OF WAGES		1758.50
PAYROLL TAXES @ 2% OF WAGES		703.40
SICK/VACATION ALLOWANCE 10 DAYS		1352.80
OFFICE RENT @ $250 MONTH		3000.00
TECH.SUPPORT @ $50 PER MONTH		600.00
OFFICE EXPENSES @ $200 PER MONTH		2400.00
MISCELLINOUS EXP.@ $100 A MONTH		1200.00
WORKMANS COMP EXPENSES	FIXED COST	750.00
DICTATION/T'CRIPTION EQP.COSTS		450.00
EMPLOYEE TRAINING EXPENSES		300.00
MISCELLINOUS SOFTWARE		250.00
ANNUAL OPERATIONAL EXPENSES	TOTAL	47934.70

 

Annual Operational Expenses	47,934.70		We charge 8 cents a line as against your in-house cost of 23 cents, you save a massive 65%.
Less Equipment & Software Cost	01,450.50
	46,484.20
Add 33% Depreciation on Equipment Cost	00,478.50
Net Annual Operational Cost	46962.70
Break up: Annual operational cost per week @ $46,962.70 / 52 weeks	903.12
Annual Operational Cost In-House
Operational Cost a Week	903.12
Transcribed Lines a Week	4000
		0.23cents
YOUR BENEFIT 65% ONCOST & MONETARY SAVINGS

IN-HOUSE LABOUR COSTS:

The major part of the expense incurred, is the wages paid to a medical transcriber, costing the company US $.35, 170 annually, add to that the other costs in the form of benefit expenses of 5%, the payroll taxes of 2% on the wages, and the sick/ vacation allowances that will add to the total cost of US $.38, 984.70 annually.

IN-HOUSE EQUIPMENT COSTS

The investment into equipment such as the workman’s computer, dictation and transcription equipment and miscellaneous software will cost another US $.1450, and assuming that such equipment will serve the company for the next three years, the depreciation value of 33% or US $ 478.50 will have to be added to the operational cost annually.

IN-HOUSE ‘OTHER’ COSTS

The other add on expenditures are in the form of monthly office rentals, employees training expense on software’s installed, fees paid to the technical experts for maintenance of  computers and transcription equipment, and finally the cost of stationary and other miscellaneous expenditure costing a total US.$ 7500 annually.

IN-HOUSE ANNUAL EXPENDITURE

Thus the estimated total expenditure, that will cost a hospital or a health care provider in operating an in- house medical transcription process in a state like COLORADO can be roughly assumed to be   

US$ 47, 934.70 or more annually, and for the purpose of trying to analyze the cost that an in-house transcription process may incur for transcribing a single line of a Medical record, let us first split the annual expenditure of US $ 46, 962.70 by 52 weeks of a calendar year, which will work out to US $ 903.12 a week, and if one considers that a medical transcriber is able to transcribe 4000 lines of medical records a week, a simple math calculation will tell us that a single line of transcription can cost an in-house medical transcription process $ 0.26 cents, and when you compare that to the $ 0.08cents we charge for a single line of transcription, a hospital or a healthcare provider in COLORADO will save a mammoth 65% of costs by outsourcing the medical transcription requirements of the hospital to us.