Poll: Earnings vs Expenses
Posted By: 5 questions ... sm on 2008-11-05
In Reply to:
1. What are your monthly earnings -- just you (no spousal income) -- doesn't matter how many jobs....monthly earnings?
2. Do you work more than one job?
3. What is your base line rate? If you have more than 1 job, list all base rates.
4. Now what is the minimum bring-home pay you need to survive each month? This is your housing, energy, transportation, insurances, food -- what you have to have to make it.
5. What's the difference? Are you in the hole? Got surplus? Breaking even?
My answers:
1. About $3100 each month.
2. One job.
3. $0.095 cpl plus some incentive bonus each month.
4. $2287 gets everything paid. Savings and pocket money not included in that figure.
5. Surplus but not much. Trying to save as much as possible and have a few greenbacks in my wallet each week.
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Earnings
I might add that I make less than half what I did when I worked in the hospital laboratory (I was in management), but that's OK. I'm much happier. 
Uh...30% IS near 40%. lol. And you need to put aside 50% of your earnings in CA.
.
Earnings
I work five hours a day and take home (after taxes, etc.) between $1500-1700 every pay period.
Earnings
In California. That's specific enough.
My earnings
For the last three years, I worked a 30-hour week and earned 44K with MQ each year. I expect to earn at least 60K now that I am fulltime.
How do you get your earnings up?
Hi there,
I have been working as an MT since January. It was certainly slow at first as I was on a learning curve. Now I am quite familiar with the work and have made all sorts of "shorthand" for myself with MS Word. I also spend long hours, often more than 8 a day working at this, and I am still only earning under $600 per two weeks. How do I get my earnings up? I have heard one can make very good money doing this... but I am considering going back to work outside the home. I need to earn at least $1000 per two weeks. The company I am with pays 8 cpl for typing and 4 cpl for editing.
MT Earnings
The MT Conundrum
Those in the medical transcription field flocked to our 2008 Salary Survey, eager to see how they measured up against their colleagues. We had 872 total respondents in the transcription field, and 516 full-time MTs/editors and 212 part-time MTs/editors took our annual survey. Average MT salaries did nudge up a bit--4 percent--from last year, with full- and part-time MTs/editors making an average of $28,900 in 2008, compared to $27,800 last year. Full-time MTs reported bringing in $33,500.
At the Association for Health Care Documentation Integrity (AHDI), Kim Buchanan, CMT, AHDI-F, director of education and credentialing, hears a lot of complaints from MTs in the industry reporting drops in pay. "You hear complaints that wages are going down, but overall the data shows otherwise," Buchanan said. "This stat is showing we're slowly increasing."
MTs who work for medical transcription service organizations (MTSOs) did see a dip in pay (see sidebar on the next page), but certified medical transcriptionists (CMTs) (21 percent of full-time MTs) saw average salaries poke up to $39,000. To compare with last year's results, CMTs across all HIM professions brought in $37,864, and this year, CMTs who were MTs and other HIM professionals combined made an average of $43,900. Buchanan was very encouraged by the numbers, as full-time MTs who have a CMT make nearly $7,000 more than their non-credentialed colleagues. "To me, that really shows the credential differentiates you in the marketplace," Buchanan noted. "It's really encouraging to me to see the credential is being valued, and it should be. The complexity of documentation we're starting to see is going to require a knowledgeable worker, and to me, credentials show you made a commitment to lifelong learning and you are truly invested in your knowledge."
The registered medical Transcriptionist (RMT) credentialed folks didn't fare as well, making on average $6,000 less than full-time MTs with no credential. The credential is only 2 years old, Buchanan explained, and most RMTs are entry-level MTs/editors who just came out of school. Looking at the average salary of MTs/editors with 0 to 2 years' experience ($24,500), RMTs make more than that ($26,100), and the RMT might also just be the ticket that gets new MTs hired in the field. "In a way, it's really helping them leapfrog that beginning salary you show on 0 to 2 years," Buchanan said. "It's helping them, it's propelling them, and it's putting them ahead, which is great. That's exactly what we wanted it to do."
After examining all the numbers for MTs, Buchanan was happy the average salary for MTs/editors crept up, albeit slightly. "Overall, I'm encouraged to see we continue to increase, even if it's at what looks like a snail's pace," Buchanan said. "In an economy where people are losing jobs left and right, it's good to know transcription is remaining viable, and we're still seeing our wages creep back up."
Lynn Jusinski is an associate Editor with ADVANCE.
MT earnings
What a load of crap
monthly earnings
I'm new to this board, just found it today, and have been *so* depressed with what I've been reading in regards to line counts and rates you all are being paid. I've been an IC for 15 plus years, transcribing for about 23 years now. I charge by gross lines, 12 cents a line, max 70 characters possible on a line. I make okay money, averaging between $3000 and $4000 a month, with three good dictators, and I live on the West Coast. I could easily make more if I turned off the TV when transcribing and didn't take time off to be at the kids' sporting events. Before I got married, I easily made $55-60K a year, before expenses, but taxes killed me  so I backed off a bit. (This was before the elaborate Expander programs.) Ladies, the money is out there. You just have to find the right accounts!!
What do you mean they "take" 25% of your earnings?
If you mean they pay you 75% of what they charge the client, then 25% is small potatoes in my opinion for all the headaches they have for marketing, keeping the client happy, being the responsible party for turn around, technical issues, etc. It's not worth the other 25% to me to have to go out and find clients and keep them happy and covered.
Well, if you doubled your earnings, does it come up to that 60-75K
s
it does take a toll on earnings...
I agree about the rates for VR. It can take a while to fix a botched report and in some cases I have to fix them by typing in the corrections, but still only getting paid half the rate. I used the Edit Script platform, which is awesome, but the company I work for is heavily supported by ESL docs, so it is a challenge. I do, however, use the IT Expander and get free lines from templates.
My solution was to also work for a second company that uses the same platform, but is mostly American docs and has a higher percentage of typing rather than editing, about 60/40 (40 typing). My first company is around 80/20 (only 20% typing). I agree with another poster who said that you have to find the combination that will work for you and increase your pay. She is right because for me, the second company is a smaller company and I will make more money with them. I like the other company also because they will give me experience with ESLs, but I will earn less money. I do the smaller company full time so I can eventually get the benefits and the larger company with the ESLs part time. Now I am receiving 2 paychecks, but working extremely long hours. I feel it will balance out with time. I have flexible schedules with both and can usually take off anytime I choose,which I feel are the perks of being an MT. It is hard to have this situation with a traditional job, so I take the good with the bad. I am new to this field and want to stay optimistic about my future with MTing.
Weekly earnings
Am relatively new to at home transcription so I am not doing as well as most poster.
Instant Text is relativley new to me, but helping prodcution.
I am not familiar with MP Lite. I know someone will be kind enough to share.
Thanks!
earnings - what can i expect from home?
Hello all ... I've been an MT for 13+ years and my current hospital has OUTSOURCED  my position! I'm in a crappy job at the hospital currently, working 3-11, to keep my benefits until I decide what to do, and go on interviews. I'm considering working for the company that took over the hospital account - but I'm not sure what to expect as far as pay per line.
If its not too personal - how much do you guys earn at home per hour/week?
THanks so much! Joanne
I live on one job and save the earnings from the 2nd.
I am retiring at 55. Only 10 years left.
I've always worked 2 jobs and saved 100% of the 2nd one.
Have a list of places I want to go and things to do when I retire. Gotta get started early. :)
You only have to report earnings over $300 on a 1099 form.
Most people don't want to mess with it, so they don't report it. I don't think it's right. I know of people who are selling things on Ebay, parting out cars or doing construction for income, but they still collect unemployment, social security disability, foodstamps, utility payments, and welfare. It's not fair. Those of us who work hard and follow the law do with less while other people cheat the system and live high on the hog. Their kids have designer clothes, $50+ shoes and the latest electronics.
Yes, I've reported it for babysitters before.
I have no expenses except to buy my
computer, desk and chair, which after time becomes a wash and are nominal expenses. All my references are online paid for by the company (all Stedman electronic word books, my free personal subscription to Monthly Prescribing Reference, etc.)
Maybe you can cut your expenses? sm
If you are using telephones for dictation, maybe switch to handheld units? Or use a TASP to save money on calls? Use the Internet more to cut down on expenses. Hope this helps. If you can, keep your clients. They are hard to come by nowadays.
With state and Federal, you 40% of your earnings GO, bottom line.
I don't know what's up for debate, it's fact.
Housing prices have gone up 40% in the past year alone in California.
That should be 15% social security of your gross quarterly earnings also. n,
:
Remember that's $40 before all expenses. nm
x
Medical expenses
January, 2000 - DH tore rotator cuff, needed MRI/arthrogram, followed by rotator cuff repair.
January, 2001 - I had foot surgery in podiatrist's office.
January, 2002 - DH had cervical MRI/myelogram, followed by anterior cervical diskectomy with fusion, two levels.
January, 2003 - DH had knee MRI, followed by arthroscopy.
January, 2004 - I had LASIK surgery.
OMYGOSH, it's almost January again!
Why not just add it to your business expenses? nm
x
You can still deduct your MT expenses if your and IC - sm
regardless of taking the standard deduction. Your write offs for MT are on the Schedule C (not B). My husband and I take the standard deduction as we don't have enough on our Sch. B; then I write off all my IC deductions and report my income on the Sch. C.; putting the bottom line (income minus IC write-offs) on the 1040 line 12. So I am not quite clear on what you are talking about but I know how I do it is how most of us (if not all) do our deductions. You may want to do an amended return.
Tax Deductible Expenses
We ran a business for years from our home. As far as I know, you can take the base rate of your telephone bill as an expense (which includes FCC taxes) and any long distance calls related directly to the business. As for Home Owners Insurance, you can take 7% of the insurance because you use 7% of your home for your business. Also, anything related to the business such as equipment, paper, tapes or special software programs can be taken as well. If you have to travel to deliver the finished reports, I believe the rate is 28 cents a mile. If you travel, you can also deduct any maintenance on your vehicle. Hope this helps. 
Taxes, Expenses
I would have internet anyway; now I get to write it off. I would have long distance anyway; now I get to write it off. Everyone pays taxes and insurance, it is just a matter of who is doing the bookkeeping. Walmart STARTS at $8/hour and then when they pay all that same stuff they are really making $5- $6. You can write off ALL your health insurance, a portion of your utilities and the area you work in, computer, software, and other supplies.....save on gas (this is HUGE right now), work clothes, make up, day care, and and and. There's always more than one way to view something.
Also, are these figures before tax/expenses or after? sm
Some ICs might be quoting their pay before taxes and expense deductions, which isn't their ACTUAL pay for the year. If someone has their own accounts and says they bring in $50K per year, that's possible, but probably not the amount they receive free and clear.
I find it hard to believe anyone makes that much free and clear unless they are working 12 hours a day, every day, and pulling in a significantly high per-line rate. I'm not saying it can't be done, but I base this opinion on the fact that I make a very good line rate, type over 100 wpm for easy accounts I've had for years, and still don't bring in that kind of money free and clear. I come close with my gross income, but after taxes and expenses, it's only about 65% of that! And I work 9-10 hours a day with only one week of vacation per year.
Come to think of it, that's pretty sad when I see it on paper. LOL I'm going to go look for a new line of work now.
It is irrelevant what percentage the service takes of 'your' earnings...sm
what matters is: is it worth it to you to work for that rate? On some accounts, my IC's might make only 50% of what I charge the client, on others they might be paid 80%. For one physician, I might charge 12 cents a line - if another calls, says they are in a jam and desperate to get their backlog done, I might bid it at 14. But if you are satisifed with say 8.5 cents a line, it doesn't matter if your MTSO charges them 9.5 or 19.5.
As far as line rates to physicians, again, it depends on what the market will bear. You could call local physician offices and tell them you are an independent MT service and you are getting price ranges for the locality, and ask the OM what they are paying. That would give you an idea of what is competitive. In West Virginia, they might be charging 18 cents per line, in Chicagoland they might be charging 11.
The line rate
What is the cost of your living expenses? sm
I would really like to know this as mine seem high. My cost for the bare minimum, not including insurance, medical costs or entertainment, is about $1,800.00 per month.
Is that high to most people? TIA.
$350 a month for my share of expenses.
z
get a credit card just for your IC expenses
it will keep all your expenses in one place and you won't need to keep receipts, just the credit card statements. Other than that, track mileage, though to be frank most people will just claim an average mileage and then create a mileage journal if audited. Also if you will take the home office deduction, you can claim percentage of heating, etc. but easy enough to do that. Might be worth your while to consult with a CPA if you take the IC job, and then the first year that you do your taxes. He can explain everything you need and then you can take it from there. Just one or two more forms to fill out, nothing earth-shattering.
Was told could deduct pet expenses. sm.
If it is a dog and is over 50 pounds, you can claim its food, vet bills, pet insurance, vaccinations all that as long as your business is run from your home. It applies as a guard dog. It does not matter which breed the dog is either. This is the state of Missouri, not sure about other states.
I am gonna try it as we shelled out alot of money over a period of time for a dog that was poisoned. Luckily, he lived.
WORK-AT-HOME EXPENSES JUST AS MUCH - sm
as if I were working outside the home, if not more. The only thing I would spend money on an outside job would be the $4.00 daily bus fare. I have more than enough clothes for work, no problem there, maybe lunch or can brown-bag. The company pays the office space, light, electricity, internet, cable, AIR CONDITIONING in summer (imp.)
On the other hand, even as an employee, I am not reimbursed for my high-speed, HIGH-COST cable/DSL/telephone I need to make these few cents a line, electric costs, lights, AC BILL JUMPS WHEN SITTING AT PC ALL DAY IN SUMMER, buy my own office supplies, books, references.
Just another mind sc---ing they give you by telling you it's cheaper to work at home. (I have no kids).
My earnings are very similar to shipaddict. Really good week I can top $1000 but rarely. nm
;
6 months of expenses "tucked/socked" away? No way. sm
I am the owner of a small transcription company. We have 50 transcriptionists. We invoice $150,000 per month. Our payroll, taxes, manager salaries, postage, bank fees, overhead, etc run approximately $140,000 per month. That means that we should have $840,000 tucked away somewhere. No way. We depend on our customers to pay. Our employees are paid on time and paid a decent rate. Our bills are paid. To say that someone needs 6 months of expenses put away is unrealistic and naive. Where did I attend school? For undergrad, University of Michigan, for graduate school, Northwestern University, with a master's degree in Business Management and a Bach degree in Finance. The rule of thumb is to have one payroll worth of cash on hand or a line of credit available equal to that amount.
It's really annoying that people can toss out comments like that, stating them as if they were fact, without any basis of fact. Most companies do not have close to a million dollars lying around. If they do, it is foolish.
I also took home office expenses as an employee, but --
You can only get any good out of it if you are also a homeowner with a lot of mortgage interest or have a lot of medical expenses, etc., that would make it higher than the standard deduction.
deducting home office expenses -
For the home office expense - You would measure the amount of space you actually use to work (your desk area) and figure the percentage of that square footage to your total square footage. Then you would use that percentage of your utilities costs, etc., to count on your taxes.
I got into this because it paid more money and I didn't have daycare expenses.
I have more time for a social life now that I work at home. I go to lunch or coffee with family and friends. I used to run errands on my lunch half-hour at my old job and either pay my bills or balance my checkbook on my breaks. I know all the other parents at the school now, so we get together on weekends or chitchat at the school. When I used to work outside the home, I was so exhausted from dealing with crabby people all day long that I just wanted to isolate myself at home on evenings and weekends. Now that I work at home, I actually seek out friends to keep from getting isolated.
You could take him to small claims to get expenses and pain and suffering.
:+
Need help with calculating expenses for bid on large account. At the moment I do not know *sm*
how many lines they dictate per day/week. I am going to call the person who sent me the bid forms and ask. I do not have my own call-in system and would be using a TASP. Can someone tell me that currently uses a TASP how to go about figuring my costs in so that I do not under bid. I know that each dictator and the type of report is going to vary but on an average what would you say? Bottom line is I need to know how many cents per line I need to charge to cover the call-in system and my other expenses. Another thing they listed in the bid is that the vendor is to provide all other supplies including plain paper to complete each assignment. The hospital will provide any special letterhead, envelopes, etc. How do you provide the paper and probably the toner if you are doing this remotely? Would there be any other expenses that would fall under other supplies that you can think of other than toner and paper? How much toner and paper do I provide or should I ask the hospital what they use on a weekly basis? I would assume I have the right to ask questions as to how much paper, toner, how many lines they do each day or week on average. I want this account very much but I do not want to have to pay a cheap line rate and I need to make this worth my while. Thank you very much for you help.
One thing also - keep all your receipts of any business related expenses
I have a folder and everytime I buy anything related to work whether it be a pen, a printer ribbon, a book, a keyboard, etc. I put in that folder. Those things add up and they are all deductible which comes off of your gross. This is in addition to the home use of your office. A statutory IC is a great way to go because you don't have to pay the entire social security but you are still IC and can utilize the business deductions. If you pay your own health insurance and it is in your name that is also deductible. Keep good records...this is the most important I have learned being an IC. Also you will probably have to file quarterly if you make over a certain amount. If you don't you will be penalized by IRS and have to pay the penalty fee with your April 15th filing. And also remember to figure your state taxes for the year. However it does depend on your personal situation and if you file jointly with your husband that may change things. Good luck.
Personally I think IC is great but unless you have some really good deductions you can end up paying a lot in taxes . If you have to pay your own social security at 15% and you were taxed at 20% rate for federal and let's say 6% for state you would be paying 41% of your income in taxes which is no fun. But you only pay on your net income and not your gross so it sort of comes out in the wash.
home office expenses are still deductible if you are an employee - nm
x
My cost of living expenses monthly is $2200/month
I'm self employed, so I'm killed in taxes AND I live in NY...but I wouldn't have it any other way
I LOVE NEW YORK!!!!
Any help on form 8829*Expenses for Business Use of your Home would be greatly
Hi All,
I was a statutory employee last year but not now. I usually do my own taxes but am having trouble with form 8829 and am not sure if the accountant can squeeze me in at this late date. Thought I would try here first for help. I use my den exclusively for work (almost) and am going to take this 7% of our home as a business expense.
Under Part II... Lines 10 and 11. Deductible mortgage interest and real estate taxes...I am going to take the entire amount on schedule A, so, hopefully, do not have to enter anything here.
line 17. Insurance. Are we allowed to take a portion of our homeowners insurance as a deduction? I have no separate business insurance.
Line 19. Utilities. I know I can take 7% of my electric, gas, water, garbage (I think), but what about phones? We have both cell and regular phone. When I call, I use the regular phone for toll free numbers, but the cell phone to my boss who does not have a toll free #.
Then, I need to find the value of my home for Part III. I guess I will check home sales in the neighborhood and go by that.
Geez..sorry for sounding like such a dummy. I can do all the other...capital gains, etc, just not sure what is allowed for home expenses.
As I say, I will try to get in to the accountant, but any advise for any of this form would be greatly appreciated. I cannot complete schedule A until I have my Profit or Loss done, which I cannot complete until I do this form.
Thanks.
I too question you overhead expenses. I work for a company that only gets 11-12 cpl and pays us 8-8.
/
True but that is to cover the expenses like rent, office supplies, sm
manager salaries. That does not include payroll that is based on service.
A good example woould be this: You are starting a book store. You need to plan the original inventory and six months worth of expenses. If you sell that inventory, you use the money from that to buy more books. If you do not sell any at first, you can stay in business for six months while you get noticed.
With transcription or any service business, you need enough in the bank to cover the same expenses, those that can keep you afloat while building your client base. However, you only hire more people as you get more customers. The payroll does not figure into the 6 months as it is based on what you provide, whereas the 6 months takes into account what it takes to get it going even if you do not have 1 employee.
Very, very few companies can have $800,000 lying around. If they did, they probably would need to invest it in equipment or spend it in other ways or the IRS would consider it profit and tax the heck out of it!
I figure income minus expenses, send 23% for federal and 7.5% to state--sm
quarterly. The state probably differs state to state, but that is the percentile my accountant came up with. Have never had to pay and additional.
I deduct all expenses that relate to my home office-% of utilities, taxes, repairs to that room, --s
mortgage (we do not plan to sell our house so this deduction will not affect us)as my office is used only for that purpose, internet, phone, I print out a daily schedule so paper/ink, computer repairs, pens, pencils, tape, staples, file cabinets, storge bins for tax recepts/tax returns,file folders. Anything/everything I use to do my job.
I was using mileage for another account where I pick up tapes every day, but found for me the time it took to keep track of the mileage, write it down, add it up was not worth the effort so I quit doing it this year.
POLL
Ok, we know what we are unhappy about in this business. LET'S TAKE A POLL. In 4 lines or less, what would be your ideal Transcriptionist job? No flames please. Just list the important factors that would make you want to go to bat for a company. Include pay plan also. Thanks. 
re:poll
Consistent, steady amount of work on the same one or two accounts, you know, the ones you know so well you can do them in your sleep?
Pay that makes you feel like getting up and hitting the keys each day.
For at home MT's, at least some feedback from office ie: what's going on, who's new/old etc, instead of calling in, asking for someone only to find out they jumped ship....ooops, I've run over my line allotment
Poll
1. To be treated with RESPECT and shown appreciation.
2. To work 1 account with less than 500 ESL doctors in order to have some consistency and become familiar with your doctors and then maybe be able to achieve your line count.
3. To be paid for your actual lines typed and not what they think you should be paid for.
4. To be informed of what is going on in the company by your supervisor or other higher up and not have to come to this board for information.
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