- Skyrocketing healthcare costs are a rising concern.
There was a significant jump in medical practice expenses in Germany during 2022. Based on data from the Federal Statistical Office, the typical expense per practice went up by 11% to 466,000 euros. Compared to 2021, the figure was 420,000 euros. The average income per practice also rose, but at a slower pace, leading to a decline in the average yearly profit per practice.
The typical income per practice increased by 5.3% to reach 796,000 euros (2021: 756,000 euros). The average yearly profit per practice was 331,000 euros in 2022, a decrease of 1.5% compared to the previous year (336,000 euros).
The Federal Statistical Office categorizes medical practices as individual, group, and healthcare centers. Dental and psychotherapeutic practices are not included in this definition.
The yearly profit does not reflect the physicians' personal income or profits, the statisticians clarified. It represents the outcome of the practice's business year but doesn't account for expenses such as practice takeovers or the practice owners' retirement or health insurance costs.
Annual profits also dropped for dentists
Similar trends were observed in dentistry and psychotherapy practices in 2022. Dental practices saw barely any change in their average income of 790,000 euros per practice (2021: 791,000 euros), but their expenses grew by 7.1%. This resulted in a 13.5% decrease in the annual profit per practice, down to 243,000 euros (2021: 281,000 euros).
Psychotherapeutic practices, which usually have around ten employees and are smaller than medical or dental practices, had a slight uptick in their average income of 128,000 euros (2021: 127,000 euros). However, their expenses increased significantly by 11.1% compared to the previous year. Consequently, the annual profit decreased by 3.3% to 88,000 euros per practice (2021: 91,000 euros).
In contrast to the median increase in income, annual profits for German dental practices decreased in 2022, experiencing a 13.5% decline due to rising expenses.
Despite seeing a slight rise in average income, psychotherapeutic practices in Germany suffered a decrease in annual profit in 2022, primarily due to a significant increase in expenses.
