Salary of a family doctor with own practice - earning potential

As a GP in private practice with your own practice, you have the opportunity to organise your own income. Compared to employed doctors in hospitals, self-employment in a medical practice offers higher earning potential. However, this is associated with entrepreneurial risk and additional work. In addition to your medical work, you will also have administrative and business management tasks.

Salaries can vary greatly and depend on various factors such as location, number of patients, specialisation and business skills. In the old federal states, the earning potential for doctors in private practice tends to be higher than in the new federal states.

Overview of revenue and net income of doctors in private practice

As a general practitioner or specialist in private practice, your income and net profit will vary depending on your speciality and location. The amount of income is influenced by various factors, such as treatment costs, patient structure and the region in which your practice is located. On average, the net income of a doctor's practice after deducting all costs is around 296,000 euros per year, which corresponds to a monthly gross income of around 13,000 euros.

The following table shows the average income, expenses and net income for selected specialised areas:

As you can see in the table, revenue and net income vary considerably between the different specialities. While radiologists achieve average net income of over one million euros, this figure is significantly lower for neurologists and psychiatrists. There are also regional differences: In Baden-Württemberg and Bavaria, net income tends to be higher than in the new federal states. For example, the salary range for GPs in Bavaria is between €5,950 and €11,000 gross per month, while in Mecklenburg-Western Pomerania they earn between €4,300 and €8,000. In addition, the choice of location between urban and rural areas influences your income as well as the costs for a possible practice takeover.

The costs of running your own medical practice in detail

If you open or take over your own practice as a GP, you must consider the costs incurred in addition to the income. The investment costs for practice premises, furnishings, medical equipment and basic equipment for examinations, administration and reception vary greatly. While taking over a smaller rural medical practice is often in the five-figure range, modernisation with the latest equipment can quickly reach six-figure sums.

In addition to the one-off investment costs, there are ongoing follow-up costs for rent, staff, materials, health insurance for you and your employees, pension scheme and taxes. As a self-employed doctor, you bear full responsibility for all costs incurred as well as patient acquisition. Large loans are often required to finance the takeover or establishment of a practice.

The exact costs of a medical practice depend on many factors, such as the speciality, location and size. According to data from the Federal Statistical Office, the average annual costs of a radiology practice are around 1,734,000 euros, due to expensive medical equipment. For general practitioners, the costs are usually significantly lower, as they have to invest primarily in practice premises, furnishings and basic equipment.

Careful financial planning with the creation of an individual financial plan and practice check-ups to determine costs are essential for self-employed doctors in cooperation with the business start-up service of the relevant Association of Statutory Health Insurance Physicians (KV). This allows you to realistically estimate the expected costs and better calculate your salary as a registered doctor.

Salary of general practitioner with own practice: comparison with other doctor groups as a table

As a GP with your own practice in the field of general medicine, you can earn a good income. But how does your salary compare to other specialisations? The following table shows the average net income of doctors in private practice in various specialisations:

The table clearly shows that radiologists are at the top of the list of doctors with an average net income of 1,103,000 euros per year. Ophthalmologists follow in second place with 541,000 euros. As a general practitioner, you are in the midfield with 292,000 euros, similar to internists and gynaecologists. Neurologists and psychotherapists achieve the lowest net income with 232,000 euros and 87,500 euros respectively.

Salary differences can be explained by various factors, such as treatment times, number of patients in the clinic, equipment costs and billing options. Salaries can also vary within a speciality - depending on the region and the ratio of statutory health insurance patients to private patients.

How you can increase the revenue of your own practice

As a doctor in private practice, the patient structure has a significant influence on your income. A balanced ratio of statutory and private patients contributes to financial stability. The location of your practice also plays a decisive role. Although the initial investment is higher in cities, you benefit from a larger catchment area. In the countryside, the competitive pressure is lower, but so is the population density. A strategic choice of location, taking into account the infrastructure and patient pool, will optimise your earnings prospects.

You can expand your range of services and generate additional income through specialisations and additional services. IGEL services offer the opportunity to create attractive offers for patients outside of the cash register system. Consistent practice management with efficient controlling and pronounced cost awareness also helps to increase earnings. Optimise your billing and use digital tools to streamline processes and save resources.

Invest in continuous training to ensure your quality and attractiveness for patients. Build up a loyal clientele by offering excellent service and personalised care. Secondary activities such as expert opinions, consultations or lecturing also open up additional sources of income. By taking over a practice, you can benefit from an existing patient base right from the start and reduce your initial investment. Through a targeted combination of these measures, you can sustainably increase the earnings of your GP practice.