The Doximity 2025 Physician Compensation Report: What Every Doctor Needs to Know About Their Worth

Key Takeaways from the 2025 Doximity Report

The 2025 Doximity Physician Compensation Report reveals significant trends affecting every physician’s earning potential and career decisions.

Key Findings:

• Physician compensation increased only 3.7% in 2024 – below inflation and Medicare cuts
• Geographic location matters more than ever – Rochester, MN leads at $469,879 average
• Gender pay gap expanded to 26% in 2024 – a $120,917 average difference
• Pediatric specialists face crisis-level compensation gaps vs. adult medicine
• Practice setting significantly impacts earnings – hospital vs. private practice disparities
• Geographic arbitrage opportunities exist for strategic career moves
• The Investment in Your Future

Bottom Line: Understanding your market position is critical for maximizing earning potential and making informed career decisions.

In-Depth Review

The latest numbers are out, and they tell a compelling story that every doctor in America should hear. The new 2025 Doximity Physician Compensation Report offers valuable insights into where physician pay currently stands—and, more importantly, where it’s going. As the leading firm in physician contract review and compensation analysis, Contract Diagnostics has carefully examined this detailed data to help you see not only what you’re earning but also what you deserve to be earning.

At first glance, the headline number looks encouraging: average physician pay increased by 3.7% from 2023 to 2024. However, upon closer examination of the details, a more complex story emerges, revealing persistent inequalities, growing challenges, and missed opportunities that could cost you hundreds of thousands, or even millions, of dollars throughout your career.

Based on over 230,000 physician survey responses gathered over six years, with more than 37,000 responses in 2024 alone, this report offers the most comprehensive examination of physician compensation in America. However, data on its own can be just noise. That’s why we’re here to share what these findings mean for your career, your financial future, and most importantly, what steps you can take right now to make a difference.

3.7% Increase In Compensation: The Reality And Why It’s Not Enough

While a 3.7% compensation increase may seem like a good step forward, it’s essential to recognize that it represents a noticeable slowdown from the 5.9% growth we saw last year. What’s even more concerning is what this minor increase means when you think about inflation, Medicare payment cuts, and the ongoing shortage of physicians. It helps to look at the big picture to understand the challenges ahead.

It’s worth noting that Medicare physician payments have decreased by 33% since 2001, once adjusted for inflation, as reported by the American Medical Association. Additionally, doctors faced a 2.8% payment cut in 2025, which is part of a broader trend affecting practices nationwide. When considering the total inflation of 7% in 2021 and 6.5% in 2022, many physicians are seeing their real earnings diminish, despite their nominal pay appearing to increase.

This isn’t just about the numbers on a paycheck. It’s about the heart of your practice—your ability to serve patients and secure your financial future. The data highlight that 38% of physicians have already had to delay or cancel plans to hire staff or expand services due to concerns about reimbursement. Additionally, 19% are thinking about taking these steps. This situation can create a challenging cycle where shortages of physicians grow, patient access becomes more limited, and the remaining doctors face even heavier workloads. Let’s work together to find solutions that support the sustainability of your practice and the well-being of your patients.

Geographic Disparities: Where You Practice Matters More Than Ever

The geographic differences in physician pay highlighted in the 2025 report are fascinating and can influence how doctors think about their careers. Rochester, Minnesota, stands out with an average physician salary of $495,532, which has increased by an impressive 8.7% annually. This welcoming community, backed by a top medical system, illustrates how the right local conditions and strong support can create excellent opportunities for physicians.

California stands out as a high-paying destination, with five of the top ten metropolitan areas located here. Los Angeles ($470,198), San Jose ($469,878), Sacramento ($460,671), Riverside ($455,986), and San Francisco ($449,830) all have impressive pay packages. However, things become more nuanced once you consider the cost of living in these areas.

When considering the cost of living, Rochester, Minnesota, still holds its top spot, but the rankings change quite a bit. St. Louis, Missouri, and Oklahoma City shine as great options, offering the perfect mix of competitive doctor salaries and affordable living costs. Meanwhile, well-known high-paying coastal cities like Boston, Washington D.C., Seattle, and San Francisco drop to the lower end of the rankings, as their higher living expenses significantly reduce physicians’ earning power.

This geographic analysis offers an essential reminder for physicians at any stage of their careers: where you choose to practice can be just as influential as your specialty when it comes to maximizing your overall earnings. For example, a doctor earning $390,799 in Boston, which is known for its lower cost-adjusted compensation, might have less purchasing power than a colleague earning $400,000 in Kansas City or Charlotte, where the cost of living is significantly more affordable.

For physicians considering relocation, exploring new career paths, or seeking different practice opportunities, these geographic differences present both challenges and exciting opportunities. The data show that doctors who are open to markets beyond the usual coastal areas may enjoy significantly better financial results while still maintaining excellent professional prospects. The White Coat Investor has an interesting article (and video) on the pros and cons of Geographic Arbitrage for physicians.

The Persistent Gender Pay Gap: A $2 Million Career Impact

The immediate impact is substantial—women physicians earned an average of $120,917 less than men in 2024, after accounting for specialty, location, and experience. However, the long-term effects are significant. Doximity’s analysis of physician compensation data from 2014-2019 estimated that men earn over $2 million more than women over a 40-year career.

This isn’t just a women’s issue—it’s a challenge for the entire healthcare system. With nearly half of medical school graduates being women, ongoing pay inequity not only reflects a significant misallocation of talented individuals but also creates a barrier to solving physician shortages. The data highlight that women physicians often report feeling overworked (91% compared to 80% for men) and are more likely to consider changing their careers (74% compared to 62% for men).

The gender pay gap is present in every specialty covered in the report, and no area shows perfect pay equality. Pediatric nephrology has the widest gaps, whereas oncology has one of the narrowest differences. Still, even the most minor gaps exceed 11%, resulting in tens of thousands of dollars lost each year.

For women physicians, this data highlights the importance of focusing on compensation analysis and contract negotiations. Knowing your worth in the market and confidently advocating for fair pay isn’t just a matter of fairness—it’s about protecting your financial future and making sure that gender doesn’t influence your lifetime earning potential.

Our internal Contract Diagnostics data shows:

Contract Diagnostics Data

The Pediatric Crisis: When Caring for Children Doesn’t Pay

The differences in earnings are truly striking. Adult hematology and oncology specialists make 93% more than their pediatric counterparts in the same field. Similarly, gastroenterologists who treat adults earn about 80% more than those who specialize in pediatric gastroenterology. Even in areas with minor differences, like rheumatology, adult specialists still earn around 33% more than pediatric specialists.

This compensation crisis in pediatric care affects more than just individual doctors’ finances. The survey shows that 87% of pediatricians and subspecialists feel they are not fairly compensated for the complexity and importance of their work. This sense of unfairness is leading to real impacts: 69% have thought about changing their careers, and 23% are already planning or have made such changes.

The current reimbursement challenges are truly concerning when it comes to patient care. Many pediatric physicians, with half of those surveyed, feel that their ability to provide the best care is affected by reimbursement levels. Moreover, an overwhelming 91% express that these issues hinder early intervention and prevention efforts. Due to these challenges, 65% of physicians have had to adjust their practice models, sometimes by increasing patient loads, cutting services, or reducing staff to maintain operational efficiency.

The recruitment and retention challenges in pediatric specialties are deeply concerning. Over 80% of pediatricians feel that the reimbursement gap has made it harder to attract new doctors, and more than 65% believe it has hurt their ability to stay in the field. This creates a troubling cycle where shortages grow, resulting in longer wait times, less access to care, and more stress for the remaining providers. Let’s work together to find solutions and support our pediatric healthcare providers!

Our internal Contract Diagnostics data shows:

For physicians specializing in pediatrics, this data confirms what many have felt for a while: the way reimbursements are currently set often doesn’t give pediatric care the value it deserves. Knowing these market realities is so helpful for planning your career, negotiating contracts, and advocating for better support. While individual doctors might not be able to change the entire system on their own, they can certainly do their best to make sure they’re getting the most out of what’s available within the current framework.

Read: How we helped a pediatrician boost his Salary by $70,000

Practice Setting Matters: Where You Work Affects What You Earn

The 2025 report highlights interesting differences in how physicians are compensated depending on their practice setting, which can influence career choices and negotiations. For instance, single specialty groups typically earn around $476,807, making them the top earners, with multi-specialty groups close behind at $461,671, and solo practitioners at $457,562. These insights show that working for a big health system isn’t always the guaranteed way to achieve the best financial results, offering a fresh perspective for those planning their careers.

Hospital employment, although many view it as secure and beneficial, actually ranks fourth in average pay, at $439,319. On the other hand, roles within health systems, IDNs, or ACOs average slightly lower at $438,983. The difference between the top-paying settings, such as single specialty groups, and hospital jobs is nearly $37,500 each year—a gap that adds up quite a bit over time in a career.

Read: Everything You Must Know Before Negotiating A Hospital Contract

Urgent care centers experienced the most significant growth, increasing by 6.7% in 2024. Although their starting compensation is somewhat lower at $307,768, this positive trend, coupled with the growing demand for easy and accessible care options, suggests that urgent care might be an exciting new opportunity for doctors who are looking for a good balance between work and life, along with the chance to earn competitive pay.

The data highlights some interesting trends in practice autonomy and control. Academic roles, although they come with great perks such as research opportunities and prestige, tend to have the lowest pay, at $382,223. On the other hand, government positions, which typically offer excellent benefits and stability, have an average salary of $303,385.

For doctors exploring new career paths, these findings underscore that selecting the right practice setting is a crucial factor in determining compensation. It’s essential to note that larger organizations don’t always offer higher pay, according to the data. Instead, doctors should carefully examine the overall compensation package, including the base salary, incentives for productivity, benefits, and the potential for long-term earnings.

The Overwork Epidemic: When More Hours Don’t Mean More Money

The 2025 report highlights a serious issue of physician burnout and overwork, which significantly impacts both individual careers and the healthcare system. An impressive 85% of physicians feel overworked, up from 81% in 2023, indicating a persistent crisis that continues to grow and shows no signs of easing.

The gender differences in overwork are pretty noticeable. An impressive 91% of women physicians report feeling overworked, compared to 80% of men. Additionally, women are more often contemplating career changes (74% versus 62% for men). This situation can exacerbate the gender pay gap, as overworked women physicians may be more inclined to accept lower-paying positions in pursuit of a better work-life balance.

Differences in specialty also show up in overwork data. Primary care doctors report the highest rate of overwork at 90%, followed by surgeons at 84% and non-surgical specialists at 83%. This aligns with the high demand for primary care services noted elsewhere in the report and suggests that primary care physicians should bear a disproportionate share of the physician shortage.

Notably, 77% of physicians now say they are willing to accept lower pay for more autonomy or better work-life balance. This is a rise from 75% in 2024 and 71% in 2023. The trend suggests that traditional pay models, which focus solely on financial incentives, may be becoming less effective in attracting and retaining physician talent.

For individual physicians, it’s helpful to see the bigger picture when considering compensation packages. Sometimes, a role with a slightly lower base salary might be a better fit if it offers a healthier work-life balance, more independence, or more manageable call schedules. Ultimately, these quality-of-life factors can make a position truly worthwhile.

Predictions: What the Data Tells Us About the Future of Physician Compensation

Geographic Consolidation Will Accelerate

The Gender Pay Gap Will Persist Without Intervention

The regression in gender pay equity observed in 2024 suggests that relying solely on market forces is insufficient to address this issue. Without specific actions from healthcare organizations and policymakers, the $2 million lifetime earnings disparity between male and female doctors is likely to widen, potentially leading to more women leaving the medical field.

Pediatric Specialties Face a Crisis

The significant pay differences between pediatric and adult medical fields, combined with many pediatric doctors considering career changes, point to a potential challenge ahead in pediatric subspecialty care. We anticipate that within the next 5-10 years, there will be notable shortages of pediatric specialists, which could result in longer wait times and reduced access to specialized care for children.

Practice Setting Preferences Will Shift

Locum Tenens Will Become Mainstream

With 63% of physicians already working in or considering locum tenens roles, this flexible practice model is likely a common element in physician career planning. The appeal of locum work grows due to higher hourly wages, flexible schedules, and fewer administrative tasks, making it increasingly attractive to busy physicians.

Read: Is Locum Tenens Right For You?

Compensation Negotiations Will Become More Sophisticated

What This Means for Your Career: Actionable Insights

The Doximity 2025 report serves as more than just a compilation of statistics—it’s a strategic guide for making well-informed career choices. Below are the essential actionable insights that every physician should keep in mind:

Know Your Market Value

The significant differences in compensation based on geography, specialty, and practice environment make it essential to know your exact market value. Standard salary surveys are insufficient; you require data tailored to your particular specialty, location, and experience.

Consider Geographic Arbitrage

Evaluate Total Compensation Holistically

Don’t Accept the Status Quo

Plan for Career Flexibility

With 68% of physicians contemplating employment shifts, career flexibility has become crucial. Consider how various practice environments and contract agreements can influence your future opportunities.

Understand Your Leverage

Your Story, Your Worth, Your Future: What Happens Next?

You’ve reviewed the data, grasped the trends, and noticed the disparities. Now, the crucial question is: what actions will you take?

The Doximity 2025 report highlights a healthcare landscape where knowledge is equated with power. Physicians who are aware of their market value, stay informed about compensation trends, and actively advocate for fair pay are more likely to succeed. Conversely, those who accept the status quo, trust that their employers have their best interests in mind, or hope for the best may miss out on hundreds of thousands of dollars throughout their careers.

Here’s an inspiring truth from all this data: you have greater control over your compensation than you might realize. Even with healthcare challenges such as reimbursement cuts, workforce shortages, and ongoing inequities, individual physicians who stay informed and proactive can still achieve outstanding results.

Consider the physicians practicing in Rochester, Minnesota, who experienced an 8.7% increase in compensation in 2024. Think about the single-specialty group physicians earning nearly $40,000 more annually than their hospital-employed peers. Reflect on the fact that 77% of physicians understand that compensation isn’t solely about money—it’s about building a sustainable, fulfilling career that enables them to serve patients while securing their families’ financial future.

These aren’t just chance occurrences. They stem from informed choices, deliberate career strategies, and strong advocacy.

The Power of Informed Action

Every day, physicians across the country face career decisions with limited information. They often accept job offers without fully understanding their value in the market and sign contracts unknowingly containing red flags that could limit their future opportunities. Many stay in roles that underestimate their worth, thinking that’s just part of healthcare.

But it doesn’t have to be this way.

The data highlighting troubling trends also uncovers opportunities. The physician shortage, which causes overwork, boosts your bargaining power in salary talks. Geographic disparities, which seem unfair, point to markets where your abilities are more appreciated. Variations in practice settings that seem random are, in fact, strategic choices you can make to enhance your career path.

Opportunities are available, according to the data. The real question is whether you will seize them.

Beyond the Numbers: Your Professional Journey

Your career is about more than just salary figures and benefits. It tells a story of dedication, service, and ongoing professional growth over many years. However, compensation is an essential part of that story—affecting not only your financial stability but also allowing you to practice medicine on your terms, serve your patients effectively, and maintain a work-life balance that leads to long-term career satisfaction.

Physicians succeeding in today’s challenging healthcare landscape have key traits: they know their worth, make informed choices, and advocate for themselves. Instead of waiting for employers to acknowledge their value, they show it through their actions. They don’t settle for unfair pay just because that’s the norm; instead, they pursue better opportunities or negotiate to improve their compensation.

Most importantly, they recognize that managing their compensation isn’t about greed—it’s an essential part of their work. When physicians receive fair pay, they’re more likely to stay committed to their practice, experience less burnout, and provide the best possible care for their patients. Fair physician compensation benefits not only the doctors but also strengthen the entire healthcare system.

Your Next Step: From Data to Action

Reading this analysis is only the start. The true benefit lies in applying these insights to your career. Whether you’re a resident getting ready for your first contract, an experienced physician contemplating a career switch, or someone who hasn’t reviewed their compensation in years, it’s time to take action.

Begin by questioning yourself: Do you understand your actual market worth? Are you receiving fair compensation relative to your specialty, experience, and location? Does your present contract support your long-term success, or are there hidden clauses that restrict future possibilities? Are you optimizing your earning potential, or are you potentially missing out on income?

If you’re finding it challenging to answer these questions confidently, you’re not alone. The complexity of modern physician compensation, the differences across markets and specialties, and the detailed language in contracts can make it challenging—even for experienced physicians—to understand their situation thoroughly.

That’s where expertise truly matters.

Your Story Deserves Expert Analysis

For more than 12 years, Contract Diagnostics has assisted physicians in understanding their value and reaching their compensation objectives. We have evaluated tens of thousands of contracts, examined compensation packages in various specialties and regions, and guided physicians through the complex modern healthcare employment landscape.

We recognize that your career journey is uniquely yours. Your specialty, experience, geographic preferences, family situation, and long-term ambitions all shape what “fair compensation” looks like for you. Because everyone’s situation is different, generic salary surveys and one-size-fits-all advice just can’t do justice to the nuances of your circumstances.

That’s why our approach is truly special. We go beyond simply providing data—we offer personalized analysis that considers your entire story. We’re not just here to spot problems; we’re here to help you solve them. And when it comes to contracts, we do more than review — we empower you with knowledge so you can make confident decisions throughout your career.

Whether you’re looking for a thorough contract review for a new opportunity, a compensation analysis to get a clearer picture of your market position, or some strategic advice for a renegotiation, we’re here to support you in turning insights from reports like Doximity’s into practical results.

The Investment in Your Future

For $297—less than what most physicians earn in three hours of clinical work—you’ll gain the market intelligence that typically leads to $10,000+ in annual compensation improvements from our compensation analysis review. More importantly, you’ll make career decisions with confidence, knowing you understand your true market value.

Think about this: if expert advice helps you negotiate just $10,000 more in annual pay, that’s an extra $400,000 over a 40-year career — not to mention the compounding benefits of higher retirement contributions, better perks, and greater long-term financial security. And if it helps you steer clear of a contract with restrictive clauses that could hold back your future opportunities, the value truly can’t be measured.

This article is for educational and informational purposes only and does not constitute legal advice. The information provided should not be relied upon as a substitute for consultations with qualified attorneys familiar with your specific situation. Laws vary by jurisdiction, and contract terms can have different implications depending on the specific language used. For personalized legal guidance regarding your employment contract or any legal matter, please consult with a licensed attorney in your jurisdiction.”

About the Author

Jon Appino is the Founder and CEO of Contract Diagnostics. He has spent over a decade disrupting the contract review space. He has discussed thousands of contracts with physicians and understands the challenges and opportunities of understanding how your story matters in compensation discussions. He passionately advocates for physicians and believes they deserve to be compensated fairly. He also firmly believes in the power of data and technology to improve the healthcare system.