New grad PA in derm: is this compensation structure reasonable for a MCOL area?
I’m a new grad PA considering a position in dermatology at a private practice in a MCOL area. I’m trying to figure out whether this compensation structure is reasonable and what I should be asking/negotiating before signing.
Here’s the offer:
Base salary: $60k
$10k sign-on bonus
20% of net collections after a $50k/month TIP (threshold)
They told me the $50k/month threshold covers my overhead
They said they are confident I will reach the $50k/month threshold even as a new grad.
First 3 months are training/onboarding, and they told me I should not expect to generate meaningful revenue during that period
After training: 4 days/week
Expected volume is 3–6 patients/hour, with ~5 patients/hour being the average for providers there
$1,000 CME
benefits are otherwise fairly standard.
What I’m struggling to understand is how realistic the compensation actually is once I’m fully ramped up. I know collections-based compensation can vary a lot depending on payer mix, procedures, coding, cancellations/no-shows, etc. Any advice on what I should do? TIA.