What does Medical coder do and how much they earn?

Medical coder assign Universal codes (Numeric or alphanumeric) for diagnosis and procedure codes, which is a done in medical coding section of RCM cycle (Revenue cycle management). Medical coding is now considered as the best career option for life science professional. Being a medical coder professional, you will enjoy the knowledge you gain in this field. Yes, we have to also think about the pay scale or the average salary structure of a medical coder. I have been a medical coder for more than 8 years now and the kind of growth I have seen for medical coders, is just phenomenal.

Now, to ask about an average salary for a medical coder, there are certain criteria should be filtered. For example, a newly joined coder or a fresher will not have same salary as a Certified medical coder get, hence the medical coder salary varies from experience and the credentials of the medical coder. So, let us check in more details about the salary structure of medical coder in different location.

However, you may be interested in other posts in the series:

How to choose Primary Diagnosis in ICD 10 coding

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Awesome tips to clear CPC Exam and become a Certified Medical coder

How to become perfect in coding 26 and TC modifier

When to use POA indicators in Inpatient Coding

Average Medical coder salary in United States (USA)

The average medical coder salary in US ranges from $52,000 to $62,000 or almost $23 per hour. Now, the range is the difference in the salary of a non-certified medical coder and a certified medical coder. Yes, there will be difference of around $7000 to $10000 in the salary of a certified and non-certified medical coder.

This is the main advantage of having medical coding certification from AAPC (American Association of Professional Coders) and AHIMA ((American Health Information Management Association). Even if you are CPC (Certified Professional Coder) certified coder, you can earn handsome money during your initial days. If you want to prepare for medical coding and/or  certification exams you can refer the below best Medical coding books for AAPC and AHIMA exams. These are best seller books in medical coding.

Medical Terminology & Anatomy for Coding

Medical Billing & Coding for Beginners 2023

Medical Billing & Coding For Dummies

Now, coming the average annual salary of Medical coder in USA. As per U.S. Bureau of Labor Statistics’ category of medical records specialists, the annual pay for this field is $46,660 annually, according to the BLS. But depending on the location, state and the credentials the pay can vary for the medical coder.

AVERAGE MEDICAL BILLING AND CODING SALARY BY STATE

If we want to calculate the average salary of medical coder based on hour, week, month for certified and non-certified medical coder the below data comes in picture.

AVERAGE MEDICAL CODER SALARY BASED ON CERTIFICATION

Medical biller and coder salaries are projected to rise by more than 12 percent over the next five years. The billers and coders most likely to see their salaries rise will be those who earn certifications or those who continue their education to earn degrees in Health Information Management.

Medical coding Certification exams

AAPC and AHIMA conducts medical coding certification exams for medical coders. You can clear these exams joining some training institure or solving few sample medical coding question papers. I have seen many professionals who are not having experience in medical coding but have cleared medical coding certification exam.

One the best advantage in USA being a medical coder is that, you can even get chance for work from home. There are few medical coders in USA who make handsome money by working from home. The difference between the pay scale of a home based coder and a regular office coder is not big. Hence, USA has a good salary structure for medical coders. Below is the current Salary Structure of American medical coders.

Specialty credentials  $57,524

1 AAPC Credential  $52,605

2 or more AAPC Credentials $60,305

3 or more AAPC Credentials  $66,999

In USA, with experience and hard work you will be paid more handsomely. Yes, coders with good experience are earning more than $67,162 per year. Those who have just entered in medical coding or have one or two year experience are getting average salary of $35,906, annually. Experience works like a bonus point for them which help in increasing their salary every year.

Also, working extra in overtime ($19.18 – $38.21 per hour) helps the medical coder to earn more. This way the salary goes to more higher level. 

Read also: Top 5 tips to Clear CPC exams

Why Certification is important in Medical Coder Salaries

Certification always increases your chances to stand out of the crowd. Yes, in any field if you want to be called a professional, you have to carry few certification or credentials. So, when companies hire professionals, they first look for certified candidates. Now, just imagine you are running a company and you want some credential people to work in your company, you will obviously go for certified people. Also, the client gives a project to companies which have certified people. Hence, it makes a lot of difference in salary for medical coder from non-certified to certified coder. CPC is the best certification to carry from AAPC to grow as medical coder. If you want to earn more get credentials from AHIMA for exams like CCS (Certified Coding Specialist) which will help you to earn even more.

Also if you are an inpatient medical coder than he/she will have more pay/salary compared to outpatient medical coder. The simple reason is INPATIENT medical charts are high dollar value charts and need lot of knowledge, since the patient is admitted in the hospital for months and hence the coders have to check everything from the admission to its progress notes, discharge summary etc. to give the correct ICD 10 PCS code or DRG codes which are having high dollar value.

While outpatient charts are less documents and patient will not stay in hospital for more the 24 hours and hence these charts can be processed fast by medical coders. Hence outpatient coding is easy compared to inpatient coding.

Best Reasons to become a Certified Professional Coder (CPC) or CCS (Certified Coding Specialist)

• Certified medical coders earn on an average $7000 more than their non-certified counterparts

• Both CPC and CCS coding certifications are nationally-recognized accredited qualifications

• US employers are more likely to hire candidates who have one or both of these credentials

• Both CPC and CCS certifications open up new career opportunities in a fiercely competitive employment market

• A certified medical coder has a higher chance of working from home with flexible hours and schedules

Read also: How to clear CPC exam without any training

Medical Coder Salary in CANADA

The average annual salary for medical coding specialists, as with the United States and other countries, depends on what position they hold, where they are working, and how many years of experience they have. Over the years the salary has risen, especially for the ones that are certified, have taken further training, and have more years of experience. Today the average annual salary is C$45,000 but can be as high as C$60,000 in more specialized workplaces. Working in an outpatient department has an average annual salary of C$43,000 while the average annual salary is C$47,000 working in inpatient departments of a hospital.

Medical Coder Salary in Australia

In Australia, medical billing and coding see annual earnings averaging more than AU$72,000, with another AU$1,000 or more in bonus income. Those paid an hourly wage receive AU$35 per hour. At the entry level, starting salaries average AU$56,000 per year, and increase with experience to about AU$122,000 per year at the senior level.

Medical Coder Salary in Germany

The national average Medical Coder salary is $38,547. If you are just beginning to work a new job as a Medical Coding in New Germany, Minnesota, you could earn a starting pay rate of $28,821 annually.In New Germany you could potentially make an average income of around $41,173 after several years on the job with increased wages. When pursuing your career of choice, you should compare salaries of similar professions and factor in variables such as health benefits and potential for raises and promotions over time.

Medical coder salary in UAE (United Arab Emirates)

The salaries of medical coder in UAE is around 7000 to 12000 dhirams per month.  Now, this amount is also varies with your experience and the credentials. There are many hospitals in UAE, and they have lot of work in both for outpatient and inpatient medical coders. The main advantage of working in UAE is that they have tax free salary. So, if you working in UAE, you will earn 100% salary without any tax deduction. If you are a CCS certified coder, you can easily get a job with good salary structure in. Hospitals in Dubai, Sharjah are always looking for inpatient medical coders certified by AHIMA.

Read also: How to improve your skills in Medical coding

Medical coder salary in India

The average medical coder salary ranges from 2,50,000 to 3,50,000 lakh in rupees per year. The income of medical coder in India is very low compared to other countries. Also, if your salary increases with your experience, you have to pay income tax on your income. This is one the reason, most the medical coders from Indian cities like Chennai, Hyderabad, Mumbai, Noida, Bengaluru etc. have move to UAE in Dubai, Sharjah, where they earn nicely without paying any taxes.

Hope, now you have a clear idea about the different salary structure of medical coders in different countries. Do share your thoughts in the comment section.