Your expected work
Offer A
Offer B
For a flat-salary offer, leave the threshold and rate blank. For pure productivity pay, enter a base of 0, a threshold of 0 and the rate.
Fill in your expected volume and both offers, then click Compare.
Result
If your volume is different
| Scenario | wRVUs | Offer A | Offer B | A minus B |
|---|
How it is calculated
Cash pay = base + the dollars per wRVU times the wRVUs above the threshold (nothing if you are below it). Yearly value = cash pay + other yearly pay + the sign-on bonus divided by the years you expect to stay. The base is earned out at base divided by the dollars per wRVU wRVUs; a threshold above that is a stretch of unpaid extra work, and the effective rate is cash pay divided by all your wRVUs. The crossover is the volume where the two yearly values are equal.
Not modelled: benefits, malpractice tail, partnership tracks, quality or citizenship bonuses, FTE-adjusted thresholds, taxes, repayment or clawback of sign-on and relocation money, and restrictive covenants. Unverified: checked by hand calculation and unit tests only. Have a healthcare contract attorney review the actual agreement.
Common questions
What is a wRVU and how does an employer pay on it?
A work relative value unit (wRVU) is the standard measure of the physician work behind each billed service. Many employed physician contracts pay a base salary plus an incentive of a set dollar rate per wRVU for volume above a threshold. This tool applies exactly that formula to the numbers in your offer.
What is the wRVU threshold and why does it matter?
The threshold is the annual wRVU volume above which the incentive starts. If it is higher than your base divided by the dollar rate, you produce work for a stretch with no extra pay. The tool shows that gap and your effective dollars per wRVU across all the work you do.
Does the tool tell me what a fair conversion factor is?
No. It contains no benchmark data and states no market rate. Enter the rate in your own offer and compare it with survey data you have licensed or a contract reviewer's advice.
How is the sign-on bonus counted?
It is spread evenly over the number of years you enter that you expect to stay. It does not model repayment or clawback terms; read those in the contract and ask a contract attorney.
Can I compare a flat salary against a productivity offer?
Yes. Leave the threshold and rate blank on the flat offer. The tool shows the volume at which the two pay the same and how each moves if your volume is lower or higher than expected.
What is not modelled?
Benefits, malpractice tail coverage, partnership tracks, quality bonuses, call pay rules beyond a yearly amount you enter, taxes, FTE-adjusted thresholds and non-compete terms.
Is my offer uploaded anywhere?
No. Everything you type stays in this browser tab. There are no accounts, cookies or analytics vendors.