%20(1).png)
Setting Membership Pricing
First and foremost, create a financial plan to help guide you. You might want to talk to a local DPC mentor about their start-up costs and expenses to get a better idea of these numbers in your area. Remember that the lower your overhead and start-up expenses, the less you have to charge and vice versa.
- Calculate total start-up (one-time) costs = $ _____________
- Calculate ongoing (operating) expenses = $______________/year
- Determine desired self-pay (take-home) pay = $ _____________/year
- Determine what portion (if any) of your patient panel will be offered charity care
- Determine per-member-per-month need
Once you have these numbers in mind you should consider the type of population you want to take care of in your practice.For example, if you prefer to have younger patients or small families with children, you might consider instituting an aged-based membership. This gives a lower cost to younger adults and families with children under 18, who generally feel that they are healthy and only need care on occasion.
An example would be the following:
- Children up to age 18: $40 without adult membership, $20 with adult membership
- Adults to age 44: $60 per month
- Adults 45-64: $80 per month
- Adults 65 and older: $100 per month
Conversely, if you prefer to have older patients in your practice or perhaps you do not see children, you may want to institute a single cost per member, which may be higher than what a younger person would want to pay but lower for the older patients.
- For example, if your per-member-per-month need is $80 per member, charge each member a flat $80 per month.
Some prefer to set one cost for children and one cost for adults to simplify things. For example:
- Children: $40 per month
- Adults: $80 per month
If you are a pediatrician, you may want to consider a higher cost for newborns and infants when you know they will need more well care and lower the cost as they get older. For example:
- For children less than 2 years old – $100/month
- For children 2 to 5 years old- $75/month
- For children 6 to 18 years old – $50/month
Some doctors will set a “family rate”. While this can be a good way to gain members and young families, proceed with caution as some very large families may be very time intensive.
Obviously, there is no one right answer with regards to how to charge and every practice is a bit different. Consider your location and population as well. You might be able to charge more if you are in an affluent neighborhood or prefer to attract this population. You might consider charging less if your town's per capita earnings are low or your practice is in a lower-income part of town.
Remember, this is YOUR practice. You can choose to set pricing however you see fit.
The content of this page is restricted to active members.
If you are an active member please log in. If you have recently applied for membership, please allow staff 3-5 days to review your application. Otherwise, if you feel you are reaching this by mistake, email hello@dpcalliance.org for assistance.
Setting Membership Pricing
First and foremost, create a financial plan to help guide you. You might want to talk to a local DPC mentor about their start-up costs and expenses to get a better idea of these numbers in your area. Remember that the lower your overhead and start-up expenses, the less you have to charge and vice versa.
- Calculate total start-up (one-time) costs = $ _____________
- Calculate ongoing (operating) expenses = $______________/year
- Determine desired self-pay (take-home) pay = $ _____________/year
- Determine what portion (if any) of your patient panel will be offered charity care
- Determine per-member-per-month need
Once you have these numbers in mind you should consider the type of population you want to take care of in your practice.For example, if you prefer to have younger patients or small families with children, you might consider instituting an aged-based membership. This gives a lower cost to younger adults and families with children under 18, who generally feel that they are healthy and only need care on occasion.
An example would be the following:
- Children up to age 18: $40 without adult membership, $20 with adult membership
- Adults to age 44: $60 per month
- Adults 45-64: $80 per month
- Adults 65 and older: $100 per month
Conversely, if you prefer to have older patients in your practice or perhaps you do not see children, you may want to institute a single cost per member, which may be higher than what a younger person would want to pay but lower for the older patients.
- For example, if your per-member-per-month need is $80 per member, charge each member a flat $80 per month.
Some prefer to set one cost for children and one cost for adults to simplify things. For example:
- Children: $40 per month
- Adults: $80 per month
If you are a pediatrician, you may want to consider a higher cost for newborns and infants when you know they will need more well care and lower the cost as they get older. For example:
- For children less than 2 years old – $100/month
- For children 2 to 5 years old- $75/month
- For children 6 to 18 years old – $50/month
Some doctors will set a “family rate”. While this can be a good way to gain members and young families, proceed with caution as some very large families may be very time intensive.
Obviously, there is no one right answer with regards to how to charge and every practice is a bit different. Consider your location and population as well. You might be able to charge more if you are in an affluent neighborhood or prefer to attract this population. You might consider charging less if your town's per capita earnings are low or your practice is in a lower-income part of town.
Remember, this is YOUR practice. You can choose to set pricing however you see fit.