NR-510 Wk 3 TD PART 1: You are a Family Nurse Practitioner (FNP) employed as a contact employee in a busy primary care practice for 2 years. The providers in the group include one physician, who is also the owner of the practice, & two other nurse practitioners. The owner of the practice recently made comments about the need to produce more revenue. You relate with his concerns & feel that you have several strategies that could be helpful. Your contract is up for renewal in 3 months. You are highly satisfied with your job & want to stay in the group. You see 20 patients per day on average, & take call every third weekend. Discussion : What negotiation strategies should you use to propose a contract renewal? Use logical reasoning & provide evidence based rationales for your decisions. Keep in mind that your negotiation terms & conditions must be within the legal scope of practice for an ANP. There are many NPs who shy away from contract negotiations because they assume their contract is predetermined &/or they do not want to get into a disagreement with their current or potential employer (Danielson, Potenza, & Onieal, 2016). There is no need to shy away from negotiating a compensation package, just remember that it is a normal, professional conversation & be sure to come prepared. Salaries are usually based off of the average salary of NPs in regards to geographical location, practice setting, & practice specialty (Danielson, Potenza, & Onieal, 2016). For NPs, the professional organization AANP gathers & reports salary information (Danielson, Potenza, & Onieal, 2016). It is important to negotiate more than just a salary into your compensation package. Common benefits that can also be negotiated include call pay, bonuses, profit- sharing, health insurance, malpractice insurance, disability & life insurance, vacation time, sick time, holiday pay, professional expenses such as reimbursement for CEUs & any travel associated with CEUs, professional license renewal, DEA registration, prescription registration fee, & retirement benefits offered such as a 401-k & employer matching (Danielson, Potenza, & Onieal, 2016). According to Danielson et al. (2016), you should learn how to calculate the revenue you bring or could bring into the practice. Buppert (2015), says an NPs salary & benefits should be one-third of what is billed under you & your benefits should equal out to approximately 25 percent of your base salary. Negotiations should happen over a few meetings so that both parties are clear as to what the other expects (Danielson, Potenza, & Onieal, 2016). Once you come to an agreement, a formal, written contract should be produced & signed by all parties (Danielson, Potenza, & Onieal, 2016).
For my contract negotiations, I am aware of what my work as an NP contributes to a practice, including being a revenue generator. Buppert (2015), estimates that the pay per patient is $70 per visit. Since I see an average of 20 patients per day that equates to $1400 of revenue generated per day & $7000 per week. Assuming I work 46 weeks of the year, I would generate $322,000 a year. Assuming the practice has a 90 percent collection
- Fall '15
- NR 510