Degree RequirementMBA/MHA
How Long To Become6 Years
How Much Do You Earn*$49,000-$150,000

What is a Healthcare Administrator?

Healthcare administrators, also known as healthcare managers, play a key role in the operations of a healthcare organization. They manage a variety of clinical and administrative procedures. They typically have oversight over an entire department or area in terms of budgets, staffing, professional development, patient records maintenance, and regulatory compliance. This position is good for someone who is interested in healthcare but may possess more business acumen than clinical knowledge.

To those not already in the field, there is some confusion about the differences between a healthcare administrator and a nurse administrator. Here is a table that explains these differences:

CriteriaNurse AdministratorHealthcare Administrator
Primary FocusNursing staff management and patient care qualityOverall management of healthcare facilities
Educational BackgroundTypically requires a nursing degree (BSN, MSN)Usually requires a degree in healthcare administration, business, or a related field (MHA, MBA)
Clinical ExperienceExtensive nursing experience is usually requiredNot necessarily required, though beneficial
Key ResponsibilitiesSupervising nursing staff, implementing patient care policies, ensuring compliance with healthcare regulationsOverseeing daily operations, budgeting, managing staff, strategic planning, and ensuring compliance with healthcare regulations

How to Become a Healthcare Administrator

The educational path to becoming a healthcare administrator is somewhat inflexible, so it will require an undergrad degree and, most often, a graduate degree for positions at higher levels. Besides education, having relevant work experience is extremely valuable. This can be obtained through internships while in school, sometimes via entry-level jobs as healthcare coordinators, or in supporting roles to current healthcare administrators/managers.

What Are the Schooling Requirements for Healthcare Administrators?

While a bachelor's degree is a minimum requirement for healthcare administrator roles, this is often limited to more entry-level positions within smaller organizations. More advanced roles or larger clinics or institutions will usually require a master's degree in a relevant area, such as a Master’s of Healthcare Administration (MHA), Master’s of Business Administration (MBA), or a Master’s of Public Health degree (with most programs lasting two years). Registered nurses looking to enter the healthcare administrator role may find it beneficial to pursue a Dual MSN/MHA degree, a Dual MSN/MBA degree, or a Dual MSN/MPH degree.

Are Any Certifications or Credentials Needed?

Certifications aren't required for this position, but some people may choose to pursue the ones that most closely match the jobs they are seeking. There are existing certification programs and offerings for those who work within a healthcare organization’s revenue cycle or in patient compliance. The American Association of Healthcare Administration Management offers both of those certifications. Professionals interested in technology and informatics may also pursue a certificate in health informatics and health information management.

RELATED: Find out more about an MSN in Healthcare Informatics

What Does a Healthcare Administrator Do?

Healthcare administrators are typically involved with the planning and operations of a healthcare facility. They perform various types of roles, including clinical management and health information management with a focus on patient records (likely electronic) and data. They may also work on the administration of residential facilities, including managing staff, admissions, financing, and operations. Healthcare administrators should have strong communication, leadership, and organizational skills, as well as a knack for problem-solving, decision-making, and managing personnel.

Where Do Healthcare Administrators Work?

Traditionally, most healthcare administrators/managers have worked in hospitals, covering different departments or clinical institutes depending on how the overall system is set up. But more positions are becoming available in:

  • Nursing homes
  • Long-term care facilities
  • Larger private practices representing multiple providers

Regarding geographic representation, healthcare administrator jobs can be found in every state, though those in bigger cities may have higher salaries.

What Are the Roles & Duties of a Healthcare Administrator?

  • Ensure all departments comply with existing healthcare laws and regulations and maintain an awareness of new and emerging updates or policies
  • Recruit, train, and supervise staff members and oversee scheduling of various employee types
  • Manage the finances of the facility, such as patient fees and billing
  • Prepare and monitor budgets to ensure efficiency and quality in the delivery of services
  • Coordinate with doctors, nurses, and other healthcare professionals to identify issues and evaluate training needs to encourage growth and development
  • Identify, develop, and execute strategic opportunities to increase access and drive revenue while meeting compliant regulatory standards

Healthcare Administrator Salary & Employment

According to PayScale, the average annual salary for a healthcare administrator/manager currently falls at around $94,295. While these figures are averages, the geographic location and type of environment will likely be determining factors over the salary offered. For example, government and hospital positions are paid the most, and nursing and residential facilities are at the lower end of the pay grade. There are also many levels of positions within this broad category, so those with more experience or advanced degrees will likely assume the higher-paying jobs. The job outlook for this type of position is also very favorable, predicted to grow nearly 7% from 2023 – 2033, which is much faster than other sectors. This is partially due to the rapidly aging cohort of Baby Boomers as well as the rise in chronic diseases and the expansion of the healthcare industry to include other sectors and customized features like prescriptions by mail.

Average Annual Salary
Lowest 25% of Earners$49,000
Median$94,295
Top 25% of Earners$127,500
Top Earners$150,000

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*Salary data is taken from BLS