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Hospital Expenses: How Are They Allocated?

How is the average hospital dollar spent? Wages and benefits are the largest expense for hospitals – 59% of total costs. According to an AHA analysis of data from the Centers for Medicare & Medicaid Services, here’s how other hospital expenses are allocated [excluding capital costs]:

Hospital costs by expense type 2012

Source: Chart 6.10: Percent of hospital costs by type of expense, 2012. In: Trendwatch Chartbook 2013. American Hospital Association, Sept. 2013. http://www.aha.org/research/reports/tw/chartbook/2013/chart6-10.pdf

Posted by AHA Resource Center (312) 422-2050, rc@aha.org

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