Years ago I asked all the veterinarians in my network what their biggest frustration was. Time and time again I received a response that their income was a big source of frustration.
I remember having the same frustration. I was brought up to believe if you worked hard, you would be rewarded. This certainly occurred in my first practice. However, in subsequent practices that wasn’t the case. Every year I wondered if I would receive a pay rise. I wasn’t sure exactly how I was being evaluated and I didn’t know how to ask.
Years later I worked in a clinic where I was told my turnover had to be five times my income. Initially, I was upset. I became a vet to help and heal, not sell and deal. How could my value to the practice be solely evaluated by my turnover!
After a few weeks, I realised this target was achievable. That is when I began to realise that I could positively influence my income. Knowing this allowed me to be aware of what I needed to turnover every year for my desired income.
Once I became more aware of my turnover, I began to notice when I had missed charges and discounted my invoices. Working in various practices over the years, I saw this often and I realised that this is a problem that affects many practices. Most of the time, it isn’t intentional. When you are busy, double booked without enough time to think or working long hours with no breaks, charges are missed. If you are uncomfortable discussing fees or large invoices, it becomes easy to discount the estimate or invoice. The problem is that every time this occurs, you are reducing your potential future income.
If your income is influenced by your turnover and you are missing or discounting $20 in each consult, it doesn’t sound like much. If this occurs in every consult, every day, all year, it can easily add up to many tens of thousands in lost turnover. This can be a significant amount in lost income to you.
Your income is heavily influenced but not solely determined by your turnover. They are many other factors that contribute to your income. Having great clinical and surgical skills isn’t enough anymore in this highly competitive environment. Employers are looking for knowledgable and competent veterinarians with great communication skills who can build strong client relationships and be a team player. They also want veterinarians who can confidently discuss fees with clients, book revisits, further workups and surgeries.
To increase your income you must be able to generate an income in excess of the costs of employing you. You must be competent and confident clinically and surgically in practice. You must also be a good communicator who has a good following with clients who refer new clients to your practice. Finally you must be able to communicate to your employer how you are an asset to their practice and negotiate a pay increase. If you never ask, it will never happen.
I know this can sound overwhelming. That is why I have created a program where I work with veterinarians to build awareness about their money mindset, identify where they may be discounting or missing charges, how to confidently communicate with clients about fees and how to negotiate a salary increase.
The Income Accelerator is an 8 week online program. Find more information here.
