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Medical billing and coding professionals play a vital role in Alabama’s healthcare labor force, supporting a healthcare industry boosted by the presence of highly ranked hospitals such as UAB Hospital in Birmingham and Fayette Medical Center in Fayette. In fact, Birmingham is a hub of best-in-state hospitals says Newsweek. In their list of the 11 top hospitals in Alabama, five are located in Birmingham.
Are you aspiring to become a medical billing and coding professional in Alabama? Understanding the salary landscape for this job is crucial for making informed decisions about your career path. This guide delves into the factors that influence compensation, including experience, location, skill set, and certifications.
Snapshot of medical billing and coding in Alabama
There are roughly 2,540 people employed as medical records specialists in Alabama, which is a slightly better than average number—it means per 1,000 people in the state, 1.26 are medical records specialists, says the U.S. Bureau of Labor Statistics. The median wage per hour is $19, which is below the national hourly average, and the forecasted job growth for the coming decade is 8.5%. However, with high rankings in cost of living (13% lower than the national average says Rent Cafe), Alabama is still an attractive prospect for medical billers and coders.
Some of the biggest employers in the state of Alabama may include:
- UAB Hospital:
- Birmingham, AL. UAB Hospital is a major center for clinical research and the home of some of the top medical programs in the U.S. It holds the number one rank on U.S. News & World Report’s Best Hospitals in Alabama survey.
- Fayette Medical Center:
- Fayette, AL. A highly ranked hospital that provides residents of Fayette County with quality inpatient care, along with “sophisticated diagnostic equipment, surgical techniques and specialty clinics.”
- Russell Medical Center:
- Alexander City, AL. One of three five-star hospitals with a progressive, not-for-profit, acute care facility serving the needs of east central Alabama.
- Ascencion St. Vincent’s East:
- Birmingham, AL. Offers programs in primary care, orthopedics, cardiovascular services, cancer treatment and emergency services.
- Huntsville Hospital:
- Huntsville, AL. Huntsville Hospital is a public, not-for-profit hospital group consisting of several sites and buildings originating in the downtown area of Huntsville, Alabama.
Medical billing and coding salary Alabama statistics
Across the nation, the median salary for medical records specialists, encompassing both billers and coders, hovers just above $48,780 annually. However, actual compensation can fluctuate considerably based on a variety of factors. These include your geographical location, experience level, acquired certifications, and medical billing and coding educational background.
Median medical biller and coder salary in Alabama
The median annual salary for medical billers and coders in Alabama is $39,500, lower than the national average. However, it’s important to note that salaries may vary based on experience, education, industry and location within the state. And Alabama’s lower cost of living combined with high-ranked hospitals that may employ medical billers and coders make it a great state in which to work.
Medical Records Specialists
10%$28,390
25%$32,290
50%$39,500Median
75%$50,660
90%$62,710
Median Hourly Wage$19
Job growth8.5%
Total Employment2,540
| Metro area | Median Salary | Bottom 10% | Top 10% |
|---|---|---|---|
| Auburn-Opelika, AL | $45,800 | $23,770 | $78,160 |
| Montgomery, AL | $43,410 | $29,980 | $61,700 |
| Huntsville, AL | $42,900 | $30,480 | $62,710 |
| Tuscaloosa, AL | $42,390 | $29,810 | $61,890 |
| Decatur, AL | $41,760 | $29,920 | $61,210 |
| Mobile, AL | $41,410 | $28,340 | $68,400 |
| Birmingham-Hoover, AL | $38,100 | $30,000 | $65,060 |
| Florence-Muscle Shoals, AL | $37,040 | $28,400 | $57,250 |
| Daphne-Fairhope-Foley, AL | $36,450 | $27,160 | $57,490 |
| Dothan, AL | $34,980 | $23,440 | $51,370 |
Source: U.S. Bureau of Labor Statistics (BLS) 2023 median salary; projected job growth through 2032. Actual salaries may vary depending on location, level of education, years of experience, work environment, and other factors. Salaries may differ even more for those who are self-employed or work part time.
Salary range for medical billers and coders in Alabama
The salary range for medical billing and coding professionals in Alabama typically spans from $28,390 to $62,710 per year. This accounts for entry-level positions to senior-level roles and takes into consideration other factors such as experience, education, whether or not you are self-employed or employed by a company and time in the position.
Employment by Alabama metro area
Your earning level may depend upon where you live within a state. For example, cities tend to pay better than rural or less populated areas. If your city is an industry hub, say for example you work in healthcare and you live in a city that has several high-profile hospitals or healthcare industries, pay may be more competitive. That said, here’s what the BLS reports as the highest employment numbers for the top 10 cities in the U.S. As you can see, Alabama does not rank in any metropolitan area for the highest employment of medical billers and coders in the U.S.
Alabama salary growth and job outlook
With a job growth rate of 8.5% through 2032, Alabama holds potential for medical billers and coders. With Birmingham having five high-ranked hospitals, which may be potential employers for medical billers and coders and is still 8% lower as far as the cost of living than the national average of other cities, Alabama has promise. Other cities in the state, such as Montgomery, have an even lower cost of living—12% less than the national average.
Factors affecting medical biller and coder salaries in AL
There are many factors that can influence the salary you earn in the medical billing and coding field in Alabama. These factors are just some of the most important:
- Experience:
- The number of years of experience you have in the healthcare industry can significantly impact your earning potential. Entry-level professionals may start at a lower salary, while those with extensive experience and expertise can command higher salaries.
- Education and certifications:
- The level of education you have achieved and any relevant certifications can contribute to your salary. Advanced degrees and specialized certifications may result in higher earning potential.
- Industry and company size:
- The industry you work in and the size of the company can affect salary ranges. Certain industries may offer higher compensation, and larger companies often have more resources to provide competitive salaries.
- Geographic location and cost of living:
- Salaries can vary significantly depending on the location within Alabama. Urban areas and regions with higher costs of living typically offer higher salaries to compensate for the increased expenses. It’s essential to consider the cost of living when assessing salary offers and opportunities.
How can I know if I am being paid fairly as a medical biller or coder in Alabama?
There are some ways to gauge whether or not your pay is equitable, and you might want to consider the following if you are concerned about your salary in your workplace:
- Do your research. Research employment and job sites such as Glassdoor, Indeed and Payscale to see what the salary averages are in your city and/or state. Use the U.S. Bureau of Labor Statistics website to find median pay for cities, states and nationally.
- Be observant in your workplace. Do you see other people getting bonuses or additional benefits while you don’t? Might it seem possible that they may also receive more pay for doing the same job? Consider how long each of you has worked for your company and the equity of billing and coding duties and responsibilities on the job.
- Be transparent in the right way. If you believe a wage imbalance exists between you and another staff member doing the same job, ask your employer or HR manager about it directly. It’s always best to be transparent, and you should try and utilize the correct channels. In Alabama, employees may reveal and discuss their compensation with each other under the law.
There are federal laws that protect workers in regard to pay and all states have some form of an equal opportunity in employment act, and Alabama is no different. The Alabama Department of Labor enforces the Clarke-Figures Equal Pay Act (CFEPA), which took effect in 2019, but since the state does not have its own minimum wage law it incorporates the federal minimum wage law for workers.
Alabama education and training
The educational requirements for medical billing and coding professionals in Alabama may vary based on the specific role and employer. However, a typical educational pathway may include:
- Earn a high school diploma or GED.
- Complete a certificate program.
- Earn professional certification, such as those offered by AHIMA or the AAPC, by passing the designated exams and earn the entry-level CCA, CCS or CPC credentials.
- Alabama doesn’t enforce a licensing process for medical billers and coders.
Additionally, ongoing professional development and industry-specific training can significantly contribute to your knowledge and advancement within the healthcare information and medical billing and coding field. The good thing is you can pursue online medical billing and coding programs
to conveniently fit studying into your busy schedule.
Cost of living considerations for AL
When evaluating medical billing and coding salaries in different areas of Alabama, it’s crucial to consider the cost of living. The cost of housing, transportation, health care and other expenses can vary across cities or regions. Assessing the cost of living helps you gauge how salaries align with local expenses and make more informed decisions about job opportunities or potential relocation.
As noted above, Rent Cafe states Alabama is 13% lower than other states in the country. Of the 10 largest cities in the state, all have a lower cost of living than the national average though Tuscaloosa is only 1% lower than the national average. Other cities such as Auburn, Birmingham, Huntsville and Dothan are all 8% lower, while Montgomery, Oneonta, Cullman, Scottsboro and Hartselle are all 12% lower.
Alabama professional associations and networking
Joining professional associations, networking groups, or industry events that cater to medical billing and coding professionals in Alabama may help students and working professionals connect with their communities, access resources and stay updated on industry developments within the state. here are just two Alabama chapters of national groups or organizations for medical billers and coders and other health information professionals in the state:
- Alabama Association of Health Information Management: AAHIM is the state chapter affiliated with the national organization, American Health Information Management Association (AHIMA).
- HIMSS Alabama Chapter: Provides educational conferences, networking opportunities, resources and discussion forums to healthcare information management professionals in the state.
The medical billing and coding salary guide for Alabama aims to provide you with a comprehensive understanding of the salary landscape and key information regarding the profession. Use this guide as a starting point to make informed decisions about your career path, negotiating salaries and for setting realistic expectations for your educational and professional future.
Written and reported by:
All Allied Health Schools Staff
Published: December 8, 2023