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Analysis

The Specialty Pay Gap

Published February 2026 · Updated July 2026 · 14 min read

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Key Finding

A family practice physician receives an average of $55.2K per year from Medicare — while an ophthalmologist receives $383.7K. That's a 7x difference.

The Doctors Who Keep You Healthy Earn the Least

Primary care is the backbone of healthcare. Family practice physicians, general practitioners, and internists are the providers most Americans see first — and most often. They manage chronic conditions, coordinate care, and catch problems before they become catastrophic. Yet Medicare pays them a fraction of what it pays specialists.

Our analysis of 10 years of Medicare payment data reveals a stark reality: the average family practice physician receives just $55.2K in total Medicare payments per year. Meanwhile, cardiologists average $193.1K, dermatologists earn $212.7K, and ophthalmologists top the physician rankings at $383.7K.

$55.2K

Family Practice

$84.0K

Internal Medicine

$193.1K

Cardiology

$383.7K

Ophthalmology

Why the Gap Exists

Medicare's payment system is built around procedures. The Resource-Based Relative Value Scale (RBRVS) assigns higher values to surgical and procedural services than to the cognitive work of evaluation and management. A 15-minute cataract surgery can reimburse more than a 45-minute complex care visit for a patient with diabetes, hypertension, and depression.

This isn't an accident — it reflects decades of lobbying by specialty societies on the RUC (Relative Value Scale Update Committee), the AMA panel that recommends payment rates to CMS. Primary care has historically been underrepresented on this committee, leading to systematic undervaluation of cognitive and preventive services.

The RUC Problem

The Relative Value Scale Update Committee has 31 members, the majority representing specialty societies. Primary care holds only 4-5 seats. This committee's recommendations are accepted by CMS over 90% of the time — effectively allowing specialists to set their own prices while undervaluing the work of primary care.

The Ophthalmology Anomaly

Ophthalmology's dominance at the top of the pay rankings might seem surprising — eye doctors earning more than heart surgeons? The answer lies in two factors: high-volume cataract surgery (one of the most common surgical procedures in America, with over 4 million performed annually) and expensive anti-VEGF drug injections for macular degeneration.

A single eye injection of Eylea (aflibercept) generates roughly $1,800-$2,200 in Medicare payments. An ophthalmologist administering 20-30 injections per week — which is common — generates $2-3 million in annual Medicare payments from drug administration alone. Add cataract surgeries and routine eye exams, and the total far exceeds what most other specialties can bill.

The Consequences

The pay gap has real consequences for healthcare access. Medical students graduating with $200,000+ in debt are rationally steered toward higher-paying specialties. The result: a growing shortage of primary care physicians in the United States, particularly in rural and underserved areas.

According to the AAMC, the U.S. could face a shortage of up to 48,000 primary care physicians by 2034. Meanwhile, specialist supply remains relatively stable. The financial incentives embedded in Medicare's payment system are a major driver of this imbalance.

When patients can't access primary care, they end up in emergency rooms — the most expensive setting for care delivery. Chronic conditions go unmanaged, leading to costly hospitalizations that could have been prevented with routine visits. The system pays less for prevention and more for crisis.

The Primary Care Crisis

48,000 — projected primary care physician shortage by 2034
30% — of primary care physicians plan to retire within 5 years
$200K+ — average medical school debt, steering graduates toward high-paying specialties
11% — of physicians who practice in rural areas (despite 20% of population living there)

The International Comparison

The U.S. specialty pay gap is extreme by international standards. In the UK's NHS, the ratio between the highest and lowest-paid specialties is roughly 2:1. In Canada, it's about 3:1. In the U.S. Medicare system, the ratio exceeds 7:1 — and when you include private insurance payments, it can reach 10:1 or higher.

Countries with smaller specialty pay gaps tend to have stronger primary care systems, better health outcomes, and lower per-capita health spending. This isn't a coincidence.

The Numbers

Below are the highest-paid and lowest-paid specialties by average Medicare payment per provider, based on our analysis of 10 years of CMS data.

Top 10 Highest-Paid Specialties

Average annual Medicare payment per provider

#SpecialtyAvg Payment / Provider
1Clinical Laboratory$1.9M
2Radiation Therapy$1.2M
3Radiation Therapy Center$1.1M
4Portable X-ray$747.8K
5Portable X-Ray Supplier$720.2K
6Ambulatory Surgical Center$657.1K
7Micrographic Dermatologic Surgery$558.8K
8Ambulance Service Supplier$506.9K
9Ambulance Service Provider$479.2K
10Ophthalmology$383.7K

Bottom 10 Lowest-Paid Specialties

Average annual Medicare payment per provider

#SpecialtyAvg Payment / Provider
1Dental Anesthesiology$1.9K
2Certified Nurse Midwife$3.4K
3Medicare Diabetes Preventive Program$4.6K
4Anesthesiology Assistant$5.0K
5Anesthesiologist Assistants$6.5K
6Audiologist$7.0K
7Audiologist (billing independently)$7.3K
8Registered Dietitian or Nutrition Professional$7.4K
9Registered Dietician/Nutrition Professional$7.8K
10Maxillofacial Surgery$7.9K

The Nurse Practitioner Response

As primary care physician supply declines, nurse practitioners (NPs) and physician assistants (PAs) have filled much of the gap. NPs now provide over 25% of all Medicare primary care visits, and their numbers are growing 10% annually. Medicare pays NPs at 85% of the physician rate — a policy that makes NP-provided primary care more cost-effective while still providing substantial income for NP practices.

The rise of NPs in Medicare hasn't eliminated the specialty pay gap — it has, in some ways, institutionalized it. As NPs take over more primary care, physicians increasingly migrate toward specialty practice, further concentrating Medicare's highest payments among procedural specialists.

Recent Reforms and What's Coming

CMS has taken some steps to address the gap. In 2021, CMS increased payments for evaluation and management (E/M) codes — the bread and butter of primary care billing. This resulted in a modest redistribution toward primary care, though the overall gap remains vast.

For 2026, CMS has proposed further E/M increases and a new payment category for chronic care management that could benefit primary care. However, these changes are offset by a scheduled 3.37% across-the-board payment cut (the conversion factor reduction), which disproportionately affects lower-revenue primary care practices.

What Can Be Done?

CMS has taken incremental steps to boost primary care payments, including increases to evaluation and management (E/M) codes in recent years. But the structural incentives remain tilted toward procedural medicine. Meaningful reform would require restructuring how Medicare values cognitive vs. procedural work — a politically challenging undertaking given specialist lobbying power.

Some policy proposals include: direct primary care payment models that bypass fee-for-service, expanding the CMS Innovation Center's primary care experiments, reforming the RUC to give primary care more representation, and tying medical school loan forgiveness to primary care practice in underserved areas.

Until the payment gap narrows, America's primary care crisis will continue to deepen — and the patients who need basic, preventive healthcare the most will be the ones who suffer.

The Data Is Clear

Ten years of Medicare payment data leave no room for ambiguity: the system pays dramatically more for procedures than for the cognitive work of managing chronic disease, coordinating care, and preventing illness. This isn't a bug in the system — it's the system working exactly as designed. Changing it requires confronting the specialty societies that benefit from the status quo, reforming the RUC, and ultimately deciding as a society whether we value prevention as much as intervention.

Use our interactive specialty pay tool to explore the data for any medical specialty.

Related Investigations

🏛️ The Specialty Monopoly💰 How Much Does Medicare Pay?📊 Specialty Markup Analysis🩺 How Much Does Your Doctor Make?👁️ Eye Care Billions👩‍⚕️ Rise of the Nurse Practitioner🌾 The Rural Price Tag🩺 Browse All Specialties

Data Sources

  • • CMS Medicare Provider Utilization and Payment Data (2014-2024)
  • • AAMC Physician Workforce Projections (2021-2034)
  • • AMA RUC Membership and Voting Records
  • • MedPAC Report to Congress, March 2026
  • • CMS Proposed Rule: Medicare Physician Fee Schedule CY2026

Note: All data is from publicly available Medicare records. OpenMedicare is an independent journalism project not affiliated with CMS.