Medical Transcription Outsourcing Benefits Connecticut :
The in-house operational expense for medical transcriptions could cost a hospital or a healthcare provider in the state of Connecticut an approximateUS $.49, 251.30 annually
| CONNECTICUT |
| COMPARISION OF COST SAVING & MONETARY BENIFITS |
| IN-HOUSE vs OUTSOURCING |
| COSTS | IN-HOUSES | OUTSOURCE | |
| HOURLY WAGES @ $17.05* | ANNUAL COST | 36,390.00 | NIL COSTS |
| BENIFIT EXPENSES @ 5% OF WAGES | 1819.50 | ||
| PAYROLL TAXES @ 2% OF WAGES | 727.80 | ||
| SICK/VACATION ALLOWANCE 10 DAYS | 1364.00 | ||
| 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 | 49251.30 | |
Annual Operational Expenses
49,251.30
We charge 8 cents a line as against your in-house cost of 24 cents, you save a massive 67%.
Less Equipment & Software Cost
01,450.50
48,800.80
Add 33% Depreciation on Equipment Cost
00,478.50
Net Annual Operational Cost
49,279.30
Break up: Annual operational cost per week @ $49,279.30 / 52 weeks
947.67
Annual Operational Cost In-House
Operational Cost a Week
947.67
Transcribed Lines a Week
4000
0.24cents
YOUR BENEFIT 67% ONCOST & MONETARY SAVINGS
| Annual Operational Expenses | 49,251.30 | We charge 8 cents a line as against your in-house cost of 24 cents, you save a massive 67%. | |
| Less Equipment & Software Cost | 01,450.50 | ||
| 48,800.80 | |||
| Add 33% Depreciation on Equipment Cost | 00,478.50 | ||
| Net Annual Operational Cost | 49,279.30 | ||
| Break up: Annual operational cost per week @ $49,279.30 / 52 weeks | 947.67 | ||
| Annual Operational Cost In-House | |||
| Operational Cost a Week | 947.67 | ||
| Transcribed Lines a Week | 4000 | ||
| 0.24cents | |||
| YOUR BENEFIT 67% 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 $.36, 390 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 $.40, 301.30 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 CONNECTICUT can be roughly assumed to be US$ 49, 279.30 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 $ 49, 279.30 by 52 weeks of a calendar year, which will work out to US $ 947.67 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 $ 0.24 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 CONNECTICUT will save a mammoth 67% of costs by outsourcing the medical transcription requirements of the hospital to us.