Are you considering medical school or navigating residency program interviews? Understanding resident doctor salaries is crucial for your financial planning. This guide provides a comprehensive overview of medical resident compensation, addressing key factors like specialty, location, and years of training. Discover what you can expect to earn as a resident and how it compares to fully licensed physicians.
Understanding Resident Doctor Compensation
The average Resident Doctor Salary in the United States is approximately $64,000 per year, according to a 2021 Medscape report. This figure represents a modest increase of about 3% annually since 2015, reflecting gradual adjustments in resident compensation.
While this salary is a significant step up from medical school stipends, it’s important to contextualize it within the broader physician pay landscape. In 2020, primary care physicians (PCPs) earned an average of $243,000, while specialists averaged $346,000 annually. Resident doctors, at an average of $64,000, earn just a fraction of these amounts – around 26% of a PCP’s salary and 18% of a specialist’s.
It’s worth noting that some of the highest-paying medical specialties require the longest residency periods. This means aspiring specialists may face an extended period of earning a resident’s salary before reaching their full earning potential.
The good news is that resident salaries are not stagnant. Compensation is primarily determined by your Postgraduate Year (PGY) level, reflecting your increasing experience and training.
Each year of residency brings a salary increase, typically ranging from $2,000 to $5,000 annually. A PGY-1 resident (first year) earns the least, with each subsequent year (PGY-2, PGY-3, etc.) bringing a salary increment.
Here’s an illustrative breakdown of average resident salaries by PGY level:
| Resident Job Level | Average Salary |
|---|---|
| PGY1 Residents | $63,009 |
| PGY2 Residents | $66,092 |
| PGY3 Residents | $69,136 |
| PGY4 Residents | $71,979 |
| PGY5 Residents | $74,786 |
| PGY6 Residents | $77,276 |
Location, Location, Location? Not Exactly for Resident Salaries
When considering physician salaries broadly, location often plays a significant role, with cost of living being a key determinant in many professions. However, the dynamics are different for resident doctor salaries and even for physician salaries in general.
While the cost of living might intuitively seem like a primary factor, resident salaries are more closely tied to supply and demand dynamics within the physician job market.
Interestingly, some of the highest-paying states for all physicians aren’t necessarily high cost-of-living areas. Here are the top ten highest-paying states for physicians overall:
| States | Average Annual Salary |
|---|---|
| Kentucky | $346k |
| Tennessee | $338k |
| Florida | $333k |
| Alabama | $332k |
| Utah | $328k |
| Ohio | $326k |
| Oklahoma | $326k |
| Indiana | $326k |
| North Carolina | $325k |
| Georgia | $323k |
This list suggests that factors beyond just the cost of living influence physician compensation. For residents specifically, salaries can be influenced by the demand for physicians in a particular region. Underserved areas might offer slightly higher resident salaries to attract talent, whereas major metropolitan areas with a high concentration of physicians might see slightly lower salaries due to greater supply.
Specialty Matters: Resident Salary Variations by Medical Field
While PGY level and location influence resident doctor salary, your chosen medical specialty also plays a role, albeit a smaller one during residency compared to post-residency earnings.
Certain specialties tend to offer slightly higher resident salaries than others. Here’s a comparison of specialties with the highest and lowest average annual resident salaries:
| Highest Earners | Annual Salary Expectation | Lowest Earners | Annual Salary Expectation |
|---|---|---|---|
| Medical Geneticists | $67,500 | Family Medicine | $57,400 |
| Allergy and Immunology | $66,500 | Emergency Medicine | $57,800 |
| HIV/Infectious Diseases | $66,500 | Internal Medicine | $58,600 |
| Surgery | $65,700 | Ophthalmology | $59,000 |
| Plastic Surgery/Aesthetic Medicine | $65,600 | Public Health and Preventative Medicine | $60,000 |
The salary differences between specialties during residency are relatively modest and unlikely to be the primary driver in specialty selection. However, it’s important to remember that the post-residency earning potential varies dramatically between specialties and is a significant factor many medical students consider when choosing their career path.
If you’re curious about future earning potential, research salaries for various physician specialties as you consider your options.
Gender Pay Gap: A Persistent Issue, Even in Residency
The gender pay gap is a well-documented issue in many professions, and medicine is no exception. While the gap is substantial among practicing physicians, it is also present, though smaller, even at the resident level.
Across all specialties, female physicians earn approximately 25% less than male physicians on average. This disparity narrows somewhat during residency.
On average, female medical residents earn around $63,000 per year, while male residents earn approximately $63,700. This represents about a 1% pay gap at the resident level.
While smaller than the gap in overall physician pay, the existence of a gender pay gap even in residency highlights the systemic nature of this issue within the medical field.
Here’s a look at specialties with the largest and smallest gender wage gaps among physicians (though resident-specific data on gender pay gaps by specialty is less readily available, this provides context):
| Largest Gender Wage Gap | Salary Gap In % | Smallest Gender Wage Gap | Salary Gap In % |
|---|---|---|---|
| Pediatric Pulmonology | Women earn 23% less | Hematology | Women earn 4% less |
| ENT | Women earn 22% less | Rheumatology | Women earn 8% less |
| Urology | Women earn 22% less | Radiation Oncology | Women earn 9% less |
| Radiology | Women earn 21% less | Thoracic Surgery | Women earn 11% less |
| Pediatrics | Women earn 20% less | Plastic Surgery | Women earn 11% less |
Life After Residency: Significant Salary Growth
While resident salaries are modest, the earning potential for physicians increases dramatically after completing residency. Post-residency salaries reflect the years of training, specialized skills, and increased responsibilities of fully licensed physicians.
The difference in compensation between residency and post-residency can be substantial, with some specialties seeing earnings jump by hundreds of thousands of dollars annually.
Top 5 Highest-Paying Specialties Post-Residency:
- Neurosurgeons: Can exceed $645,000 per year
- Cardiovascular Surgeons: Around $608,000 per year
- Orthopedic Surgeons: Frequently in the high $500,000s
- Plastic Surgeons: Often in the $500,000 range
- Radiation Oncologists: Can reach $460,000 per year
Specialties with Lower Post-Residency Salaries (still substantial):
- Urgent Care Physicians: Around $185,000 per year
- Geriatric Physicians: Approximately $199,000 per year
- Pediatricians: Average around $244,000 per year
- Nephrologists: About $329,000 per year
Generally, surgical specialties tend to be the highest-paid, while primary care and some other non-surgical specialties have lower average salaries, though still representing very comfortable incomes. Specialties like pulmonology, hematology, anesthesiology, and urology also offer strong earning potential, with salaries often ranging from $305,000 to $460,000 per year.
Beyond the Paycheck: Resident Doctor Benefits
While the resident doctor salary might seem modest compared to future earnings, residency programs typically offer a comprehensive benefits package in addition to your annual pay.
These benefits often include:
- Paid Time Off (PTO): For vacation, sick leave, and personal days.
- Health Insurance: Medical coverage, and sometimes dental and vision.
- Comprehensive Benefits Package: This can include life insurance, and eligibility to contribute to retirement plans, such as 401(k) or 403(b) plans.
- Potential Stipends and Allowances: Some programs may offer small stipends to cover expenses like books or professional development, or travel allowances for conferences.
- Group Disability Insurance: Access to group disability insurance plans may be available, though it’s crucial to understand the limitations of these plans, especially for young physicians.
It’s important to carefully review the benefits package offered by each residency program you consider, as these benefits can add significant value beyond the base salary.
Negotiating Resident Salary: Limited Options
While experienced physicians often have the leverage to negotiate their employment contracts for higher salaries and better benefits, resident doctors typically have limited negotiating power.
As a resident, your compensation is largely predetermined by the program and institution. You are gaining experience and training, and salary negotiation is generally not a standard practice for residency positions.
However, residency is an excellent time to become informed about the importance of contract review, particularly as you prepare for your future career as a fully licensed physician.
Understanding the terms and conditions of employment contracts, including salary, benefits, termination clauses, and other key aspects, is crucial. Familiarizing yourself with the role of a contract review lawyer can be beneficial for your future contract negotiations.
Financial Planning During Residency: Setting Yourself Up for Success
Residency, despite the demanding workload and relatively lower salary compared to attending physicians, is an ideal time to begin building a foundation for long-term financial security. Implementing smart financial strategies early in your career can have a significant positive impact over time.
Contract Review Awareness:
Even though you may not negotiate your resident salary, understand the importance of contract review for your future. Contract review specialists examine all facets of physician contracts, including compensation, benefits, termination clauses, bonus structures, insurance offerings, and retirement plan options. Learning about contract review now will serve you well in your future career.
Disability Insurance: Protecting Your Future Income
Disability insurance is a critical component of financial planning for physicians in all specialties. It protects your future income by providing a portion of your salary if you become unable to work due to illness or injury.
For residents and young physicians, obtaining an individual disability insurance policy is generally recommended over relying solely on group disability insurance, which can have limitations.
When selecting a disability insurance policy, ensure it includes the true own-occupation definition of disability to maximize your potential benefits. Also consider adding riders like a Student Loan Repayment Rider and a Future Increase Option (FIO). The Student Loan Rider can help with loan payments if you become disabled, and the FIO allows you to increase your coverage as your salary grows in the future.
Retirement Planning: Starting Early Matters
Even on a resident salary, initiating retirement planning is beneficial. Explore options like 401(k) and 457(b) plans offered by your residency program. Consider also researching other investment avenues, such as stocks and real estate, to diversify your long-term financial strategy. The earlier you begin retirement planning, the more time your investments have to grow.
Focusing on the Long Game: Residency as an Investment
While resident doctor salaries may not be comparable to those of fully licensed physicians, residency is a crucial investment in your future earning potential and career fulfillment. Focus on maximizing your training, gaining invaluable experience, and developing sound financial habits during this period. With dedication and strategic financial planning, you will be well-positioned for a successful and financially rewarding career as a physician.
For further information on disability insurance or retirement planning for physicians, consider consulting with financial professionals specializing in the medical field.
