Not-for-profit hospitals surveyed by the Internal Revenue Service in 2006 reported chief executive officers earned $490,431, on average, in total compensation, according to the Internal Revenue Service’s Exempt Organizations Hospital Compliance Project Final Report.
The average CEO salary was $408,927, according to long-awaited results from the agency’s survey of roughly 500 tax-exempt hospitals’ executive pay and community benefits. The median top executive compensation and salary were $377,256 and $323,858, respectively.
Results showed not all hospitals aided their communities equally. Roughly 60% of uncompensated care was provided by 14% of hospitals, and the same share of community benefits were provided by 9% of hospitals. On average, community benefit expenditures as percentage of total hospital revenues were roughly 9%.
Uncompensated care as a percentage of revenue was 7%. Figures are largely from hospitals’ 2005 tax year. The median community benefit cost as a share of revenue was 6%. Median uncompensated care as a percentage of revenue was 4%.