At a Glance
To become a healthcare manager, you typically need at least a bachelor’s degree in a health-related field, relevant work experience in a clinical or administrative role, and strong leadership skills. A master’s degree significantly improves your career prospects. The Bureau of Labor Statistics projects 23% job growth for this occupation from 2024 to 2034.
When a hospital system coordinates its COVID-19 response across dozens of departments, or a community health clinic keeps its budget aligned with its patient caseload, there’s a healthcare manager behind the scenes making it work. These professionals don’t deliver clinical care, but they make clinical care possible.
Healthcare managers plan, direct, and coordinate the delivery of health services. They work across hospitals, physician offices, outpatient centers, nursing facilities, and public health agencies. The path into this field runs through education, experience, and, in some cases, professional certification.
What Does a Healthcare Manager Do?
Healthcare managers operate at different levels of a health organization. Some oversee entire hospital systems. Others manage a single department, such as radiology or emergency services. Still others run small clinics or physician offices. The scope changes with the setting, but the core functions are consistent.
Day-to-day responsibilities typically include:
- Setting goals and strategic objectives for a facility or department
- Managing budgets and financial resources
- Recruiting, hiring, and supervising staff
- Creating and maintaining work schedules and records
- Ensuring compliance with healthcare laws, regulations, and licensing requirements
- Facilitating communication between clinical staff and department heads
- Meeting with insurers, investors, government officials, and other stakeholders
- Identifying and implementing efficiency improvements in healthcare delivery
Healthcare managers are especially important in public health settings. When a disease outbreak occurs or a public health emergency requires a coordinated response, healthcare managers at state and local agencies play a central role in the operational response, working alongside epidemiologists, clinical staff, and public health officials.
How to Become a Healthcare Manager
There’s no single licensing requirement to enter healthcare management at the national level, though nursing home administrators are an exception covered below. What determines your career trajectory is a combination of education, work experience, and, increasingly, professional certification.
Step 1: Earn a Bachelor’s Degree
A bachelor’s degree is the baseline credential for most healthcare management positions. A degree in healthcare management, health administration, or public health is the most directly applicable, but business, nursing, and management degrees also open doors. Undergraduate coursework in these programs covers healthcare ethics, health policy, financial management, healthcare terminology, and organizational behavior. If you’re already working in a clinical or administrative role without a degree, that experience has real value, but a bachelor’s will be needed to advance beyond entry-level positions at most employers.
Step 2: Build Work Experience
The Bureau of Labor Statistics specifically notes that prospective healthcare managers typically need work experience in a clinical or administrative role before moving into management. This experience doesn’t have to come after your degree. Many people gain it while completing their undergraduate or graduate education through part-time roles, internships, or clinical placements. Healthcare management is a field where what you’ve done matters as much as what you’ve studied, and employers hiring for management roles almost always expect to see a track record in healthcare settings.
Step 3: Consider a Master’s Degree
A master’s degree won’t be required for every healthcare management position, but it’s common and often preferred, especially for senior roles. Master’s programs in health administration (MHA), public health (MPH), or business administration with a healthcare concentration give you specialized knowledge in areas like population health, healthcare compliance, health informatics, and executive leadership. Many programs include supervised management internships, which extend your professional network and give you direct experience in healthcare administration. If your goal is a director, VP, or C-suite role at a large health system, a master’s degree is typically expected, though requirements vary by employer and organization size.
Step 4: Pursue Professional Certification
No national law requires healthcare managers to hold a professional certification, but earning one makes you more competitive, and many job listings specifically request it. Several established credentials are available depending on your specialty. The Fellow of the American College of Healthcare Executives (FACHE), offered by ACHE, requires ACHE membership, a master’s degree or other post-baccalaureate degree, at least five years of executive-level healthcare management experience, two professional references from current Fellows, continuing education credits, and passing the Board of Governors Exam. The Certified Medical Manager (CMM), administered by PAHCOM, is designed for managers of physician practices and ambulatory service centers, and requires at least 12 post-secondary education credits in healthcare or management, two years of healthcare industry experience, PAHCOM membership, and passing a written exam. For risk-focused roles, the Certified Professional in Healthcare Risk Management (CPHRM) is a recognized credential. Requirements and exam details for all three credentials are set by their respective administering organizations and may be updated over time.
Step 5: Apply for Healthcare Management Positions
With your credentials and experience in hand, you’ll be ready to apply. Entry-level positions like department coordinator or practice manager are realistic targets with a bachelor’s degree and a few years of experience. More senior roles typically require a master’s degree, five or more years in healthcare, and often a professional certification. One important exception: healthcare administrators at skilled nursing facilities and nursing homes are required to be licensed in every state. Education requirements vary by state but commonly include a bachelor’s degree. Check the National Association of Long Term Care Administrator Boards (NAB) for the specific requirements in your state.
Certificates in Healthcare Management
Academic certificates offered by colleges and universities are a separate credential from professional certifications. These programs range from a few courses to a full year of study and are available at both the undergraduate and graduate levels. They’re a practical way to build targeted skills without committing to a full degree, and some schools allow you to apply certificate credits toward a related degree program, though policies vary by institution.
Graduate-level certificate programs often focus on specific areas within healthcare management:
- Accounting and billing
- Human resources management
- Healthcare compliance and law
- Leadership and organizational management
- Health informatics
Healthcare Manager Salary and Job Outlook
The job market for healthcare managers is strong by any measure. According to the Bureau of Labor Statistics, employment of medical and health services managers is projected to grow 23% from 2024 to 2034, well above the average for all occupations. About 62,100 job openings are projected annually over that decade, reflecting both new positions and the need to replace workers who retire or change fields.
23%
Projected job growth for medical and health services managers from 2024 to 2034, according to the Bureau of Labor Statistics.
The median annual wage for medical and health services managers was $117,960 as of May 2024, according to the BLS Occupational Outlook Handbook. Salaries vary considerably by setting, with hospital-based roles reporting higher medians than outpatient or physician office settings in BLS industry data.
| Work Setting |
Median Annual Wage |
| Hospitals |
$128,740 |
| Government / Public health agencies |
$125,590 |
| Outpatient care centers |
$104,710 |
| Physicians’ offices |
$102,360 |
Median wages are national figures and will vary by geography, facility size, and level of responsibility. Managers in metropolitan areas and at larger health systems tend to earn above the national median. The top 10% of earners in this occupation earn above $216,000 annually.
Professional Organizations
Connecting with a professional organization is one of the most practical things you can do early in a healthcare management career. These groups provide networking opportunities, continuing education, job boards, and, in most cases, the professional certifications that healthcare employers look for when hiring for management roles.
- American College of Healthcare Executives (ACHE): The primary professional home for hospital and health system managers, and the body that administers the FACHE credential, which requires a master’s degree, five or more years of executive-level experience, and passing the Board of Governors Exam.
- American College of Health Care Administrators (ACHCA): Focused on post-acute and long-term care settings, including nursing facilities and assisted living.
- Professional Association of Health Care Office Management (PAHCOM): Serves managers in physician practice and ambulatory service center settings, and administers the CMM credential.
- American Health Information Management Association (AHIMA): Focused on health information management and informatics professionals.
- American Association of Healthcare Administrative Management (AAHAM): Specializes in revenue cycle, billing, and healthcare financial management.
- Healthcare Financial Management Association (HFMA): The leading organization for healthcare finance professionals.
- Medical Group Management Association (MGMA): Serves medical practice managers with data, education, and advocacy resources.
- Association for Healthcare Administrative Professionals (AHCAP): Supports administrative professionals across a range of healthcare settings.
Frequently Asked Questions
Do I need a master’s degree to become a healthcare manager?
Not for every position, but a master’s degree significantly improves your options, especially at larger health systems and for director-level or above roles. The Bureau of Labor Statistics notes that while a bachelor’s degree is the typical entry-level requirement, master’s degrees are common and sometimes preferred by employers. An MHA, MPH, or MBA with a healthcare concentration are all recognized credential in this field.
Is healthcare management the same as healthcare administration?
The terms are often used interchangeably, and there’s no standard industry-wide distinction. In some organizations, “management” implies broader strategic and operational oversight, while “administration” refers more to day-to-day coordination and compliance functions. In practice, job titles, responsibilities, and educational pathways overlap significantly. When evaluating a specific role, the job description will tell you more than the title.
Are healthcare managers required to be licensed?
At the national level, there’s no licensing requirement for most healthcare management roles. The main exception is nursing home administrators, who are required to be licensed in every state. Licensure typically requires a relevant bachelor’s degree, supervised work experience, and passing a state or national exam. The National Association of Long Term Care Administrator Boards (NAB) manages the national licensure framework for this role.
What professional certifications help healthcare managers advance?
The Fellow of the American College of Healthcare Executives (FACHE) is one of the most widely recognized credentials in hospital and health system management. It requires a master’s degree, five or more years of executive-level experience, ACHE membership, continuing education, and passing the Board of Governors Exam. For physician practice settings, the Certified Medical Manager (CMM) from PAHCOM requires healthcare industry experience, post-secondary education credits, and an exam. Requirements for all credentials are set by their administering organizations and should be verified directly before applying.
What work settings do healthcare managers work in?
Healthcare managers work in hospitals, physicians’ offices, outpatient care centers, nursing facilities, community health clinics, home health agencies, insurance organizations, and government public health agencies. BLS industry data shows that hospital-based roles and government agency roles tend to report higher median wages than outpatient or physician office settings. As with any field, compensation and conditions vary by employer, region, and level of responsibility.
Key Takeaways
- A bachelor’s degree is the baseline for most healthcare management positions, with master’s degrees common and often preferred for senior roles.
- Work experience in a clinical or administrative setting is expected alongside your education, not just after it.
- Professional certifications like FACHE and CMM aren’t legally required for most roles, but they improve your hiring prospects and are often listed in job postings.
- The BLS projects 23% job growth for this occupation from 2024 to 2034, with a national median wage of $117,960 as of May 2024.
- Nursing home administrators are the main exception to the no-licensing rule, with every state requiring licensure for this specific role.
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Laura Bennett, MPH is a public health professional with over 12 years of experience in community health education and program coordination. She specializes in helping aspiring professionals explore flexible education pathways, including online and hybrid public health degree programs. Laura is passionate about making public health careers more accessible through practical, accredited training
2024 US Bureau of Labor Statistics salary and job market figures for Medical and Health Services Managers represent state and national data, not school-specific information. Conditions in your area may vary. Data accessed May 2026.
