Production-based pay works well at this New York practice.
At Valley Cottage Animal Hospital in Valley Cottage, N.Y., all doctors are paid on ProSal, including the practice owners, says hospital administrator Andreas Pahl, CVPM. The hospital pays 20 percent for doctor-provided services, 24 percent for emergencies, and 5 percent for medications. So, for example, if a doctor produces $50,000 in one month at 20 percent, and the hospital pays the doctor $1,500 per week to meet the guaranteed base of $6,000 monthly, the practice owes the doctor the remainder—essentially a $4,000 bonus.
Pahl says the system works well for both the hospital and doctors. "Everyone exceeds their base here—some by as much as 30 percent," Pahl says.
To ensure accuracy, all cases are reviewed by senior doctors and managers. So if a veterinarian charges inappropriately—whether it's undercharging or overcharging—the problem is addressed. In fact, rather than prompting doctors to fight over cases, ProSal unites them, Pahl says. "Everyone's in the same boat," he says. "ProSal keeps associates and owners rowing in the same direction."