Medical Billing and Coding Salary | Full Guide for 2024 (2024)

Are you willing to step into the healthcare industry but are hesitant about how to do so without attending years of schooling and loads of money?

Do you also have questions about the inner workings of managing medical records and processing bills in clinics or hospitals?

If you answered yes, pursuing a career in medical billing and coding might be ideal for you.

These professionals, called medical billers and coders, are responsible for accurately documenting and billing for medical services rendered.

If you’re considering this fulfilling career, you may have questions about the salaries they earn and the differences in their salaries across states and cities.

We’re here to address all such queries and more, so let’s dive right in!

Medical Billing and Coding Salary | Full Guide for 2024 (1)

What is a Medical Biller and Coder, and What Do They Do?

Let us first answer what exactly is Medical Biller and Coder.

Medical Billers and Coders are healthcare professionals responsible for translating medical procedures, diagnoses, and treatments into universal codes for billing and insurance purposes.

They play an important role in ensuring accurate documentation and reimbursem*nt for medical services.

Here’s what Medical Billers and Coders do:

1. Coding: They assign specific codes to medical procedures, diagnoses, and treatments using standard code sets such as CPT (Current Procedural Terminology), ICD (International Classification of Diseases), and HCPCS (Healthcare Common Procedure Coding System).

2. Billing: They use these codes to create and submit claims to insurance companies, government healthcare programs, and patients for reimbursem*nt. This involves understanding insurance policies, verifying patient information, and ensuring claims are accurate and compliant with regulations.

3. Record Keeping: They maintain detailed and up-to-date medical records, including patient histories, treatment plans, and billing information. These records are essential for tracking patient care, ensuring legal compliance, and facilitating communication between healthcare providers and insurance companies.

4. Communication: They often act as bridges between healthcare providers, insurance companies, and patients, addressing billing inquiries, resolving discrepancies, and ensuring that all parties understand the billing process.

See: What is Medical Billing and Coding?

Medical Billing and Coding Salary

Now, turning to the main question you’re likely to be most interested in: what is the typical annual salary for a medical biller and coder?

According to the U.S. Bureau of Labor Statistics (BLS), the average annual income for a medical biller and coder is $48,780, or approximately $23.45 per hour.

It’s worth noting, however, that these numbers can vary depending on various factors such as experience, geographic location, certifications, and more.

For example, a medical biller and coder working in a high-cost-of-living area like New York City may earn considerably more than one working in a rural area.

Medical Billing and Coding Salary | Full Guide for 2024 (2)

Medical Biller and Coder Salary By State

As we mentioned earlier, salaries for medical billing and coding professionals can differ based on where you’re located.

Now, let’s dig into how salaries vary across different industries and states for folks in this field.

First, the top five highest-paying industries for medical billers and coders include:

  • Grantmaking and Giving Services with an annual mean salary of $74,840.
  • Other Professional, Scientific, and Technical Services with an annual mean salary of $72,700.
  • Insurance Carriers with an annual mean salary of $69,330.
  • Wholesale Trade Agents and Brokers with an annual mean salary of $69,000.
  • Software Publishers with an annual mean salary of $67,040.

Now, let’s take a look at the top five highest-paying states for medical billers and coders across the U.S.:

  • District of Columbia – $70,900 annually
  • Washington – $64,250 annually
  • California – $64,070 annually
  • Connecticut – 63,250 annually
  • Maryland – $62,930 annually

Looking at these figures, you might be thinking, why not move to one of such higher-paying states?

While that may look like a good option, it is also important to consider the additional costs you might have to bear if you decide to move states. This can include the cost of living, which is usually higher in all of the above-mentioned five states, like accommodation, travel, and so on.

In contrast, let’s also look at the top 5 lowest paying states across the U.S. for medical billers and coders:

  • Montana – $49,020 annually
  • Nevada – $48,110 annually
  • Texas – $48,030 annually
  • Arkansas – $44,120 annually
  • Mississippi – $42,440 annually

Medical Billing and Coding Job Outlook

Looking ahead, the outlook for careers in medical billing and coding seems pretty bright. The healthcare industry is on the rise, especially with the aging baby boomer population and the increasing demand for medical services.

According to the Bureau of Labor Statistics (BLS), the projected employment growth for roles like medical billers and coders is around 8% from 2020 to 2030. That’s roughly 16,500 new job opportunities in this field!

So, if you’re considering a career in medical billing and coding, the future looks promising with plenty of job openings expected in the next decade.

Medical Billing and Coding Salary | Full Guide for 2024 (3)

Is Certification Important for Medical Billers and Coders?

While it might not be required in most states, getting certified as a medical biller and coder can be really beneficial. It shows you’ve had the right training and know-how to keep medical records accurate and billing processes in check. This is important because it helps ensure everyone is paid duly.

Certified professionals also play a key role in meeting the standards set by organizations like the AHIMA and AAPC. These certifications not only prove that you’re up to par with industry standards but also help maintain a consistent level of quality and safety in healthcare facilities, which is a big part of the job.

And when it comes to pay, being certified often means you’ll earn more than those without certification. Plus, it can open up doors for you to advance in your career and land better-paying positions.

Conclusion

In short, how much medical billers and coders make and their job opportunities depend on where they work and how much experience they have. But one thing’s clear: their pay reflects just how important their role is in keeping things running smoothly and patients healthy.

Related Resources:

  • How Long is Medical Billing and Coding School
  • Best 4-Week Online Medical Coding and Billing Course
  • Medical Billing and Coding Online Courses Cost
  • A Day in the Life of a Medical Coder
  • Medical Billing vs Coding
  • CPC Certification
Medical Billing and Coding Salary | Full Guide for 2024 (2024)

FAQs

Medical Billing and Coding Salary | Full Guide for 2024? ›

According to the U.S. Bureau of Labor Statistics (BLS), the average annual income for a medical biller and coder is $48,780, or approximately $23.45 per hour. It's worth noting, however, that these numbers can vary depending on various factors such as experience, geographic location, certifications, and more.

How to pass the CPC exam in 2024? ›

Learn what to study for the CPC exam
  1. Not all areas of the CPC curriculum require equal study time. ...
  2. Know your modifiers. ...
  3. Know your medical terminology. ...
  4. Know the letter ranges for ICD-10 and number ranges for CPT® codes. ...
  5. Acclimate yourself to the language in the code books.

Are medical coders in demand in 2024? ›

The Growing Demand for Medical Billing and Coding Professionals in 2024. Not only will professional medical billers and coders continue to thrive in 2024, but the demand for them is also expected to increase in the next few years.

What is the future outlook for medical billing and coding? ›

The Bureau of Labor Statistics forecasts that jobs for medical billers and coders will increase about 8% between 2022 and 2032, adding about 16,500 jobs in that time. This is about as slightly faster than average job growth.

What is the highest pay for billing and coding? ›

The average salaries for popular medical billing and coding positions range from $40,000-$102,000. Certified medical coders earn 27% more than those without certification.

How many people fail the CPC exam the first time? ›

There's no doubt about it, the CPC® exam is tough. A variety of sources show that ONLY about 50% of coders receive the necessary 70% score to pass the CPC® Exam on the first try. That means that half of all test-takers need a second shot at passing. Who wants to take this test more than once?

How many times can you fail the CPC exam? ›

You can take the exam as many times as you need to pass it, but don't forget about the CPC exam fees. As we've mentioned, it costs $499 to take the Certified Professional Coder exam, and with each payment you are also offered a free retake.

Will coding still be relevant in 2025? ›

Is Coding Still Relevant in 2025? Yes, coding is still relevant; this will be no different in the next three years. However, programming assignment help and language syntax will continue to get more superficial. Initially, it consisted of simply punching holes in the cardboard.

Is it hard to get hired as a medical coder? ›

It can be tough to get a coding or billing job right away. Many new coders and billers start working in related healthcare fields, and then use that experience as leverage to get a billing or coding job. With a lucrative, growing field like coding and billing, it's all about getting your foot in the door.

Will computers replace medical coders? ›

So, will AI replace medical coders? The answer is no (for now). In the short term, we see AI assisting billers and coders and making their lives easier, not completely taking over the space and eliminating jobs. Of course, this has the potential to change as technology continues to develop.

How many claims should a medical biller work per day? ›

Billing Staff Productivity Benchmark

For example, a small physician practice may have a benchmark of 10-15 claims processed per hour, while a large hospital system may have a benchmark of 25-30 claims processed per hour.

Do medical billers make more than coders? ›

The median range for medical billing specialists in 2022 was $47,180. Entry level billing and coding specialists may earn less than that, but the highest 10% of all coders earned about $75,460 in May 2022. However, with additional medical billing and coding certifications, you may earn even more.

Is medical coding future proof? ›

Certified medical coding professionals prove essential in every aspect of healthcare. Medical coding in healthcare administration and operations no longer impacts only providers and health systems. Now, more than ever, coding is applicable to all aspects of the healthcare industry.

Can you make 6 figures as a medical coder? ›

The salary range for medical billing and coding professionals in California typically spans from $38,530 to $99,800 per year.

How much can you make coding from home? ›

While ZipRecruiter is seeing annual salaries as high as $95,500 and as low as $33,000, the majority of Computer Programmer Work From Home salaries currently range between $50,500 (25th percentile) to $80,000 (75th percentile) with top earners (90th percentile) making $87,000 annually across the United States.

Which state pays the most for medical coders? ›

Highest-Paying States for Medical Billing and Coding

The Bureau of Labor Statistics puts New Jersey at the top of the list with an average annual salary of $68,500, followed by California; Washington, D.C.; Hawai'i; and Connecticut.

How can I pass my CPC exam successfully? ›

Here are some tips to help you increase your chances of passing the CPC:
  1. Treat practice exams like real tests. ...
  2. Keep practicing for time management. ...
  3. Keep practicing for test-taking skills. ...
  4. Keep practicing for accuracy. ...
  5. Read your guidelines. ...
  6. Gather items you'll be taking to the exam.
Aug 1, 2023

What is the best way to study for the CPC exam? ›

The surest way to prepare for the CPC exam is to train with AAPC by enrolling in a CPC Certification Preparation Course. Designed by the creators of the exam, these courses will ensure you receive an effective and comprehensive education covering proper use of all medical code sets you'll encounter on the exam.

Is passing the CPC exam hard? ›

The CPC exam can be challenging as it covers a wide range of topics and requires extensive knowledge of medical terminology, anatomy, and coding guidelines. However, with adequate preparation and practice, passing the exam is achievable.

How hard is it to pass the CPC test? ›

The national average CPC pass rate is around 45 - 50%. This is the average of all CPC students who sat the course in that exam period. This will be a mixture of everyone, from those who sat a classroom or online CPC course to those who borrowed an old set of CPC notes from a mate.

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