Practice finance: Learn financial essentials for career success

Dermatology is one of the most financially rewarding medical specialties, but dermatologists receive little training in how finance impacts their career. To maximize your professional potential, you should understand how practices generate revenue, how practice financial health impacts your compensation, and how to leverage that information to control your financial future.

The AAD offers resources to help you understand the essentials of practice finance. These include balance sheets and the impact of relative value units. We also help you understand how to maximize your own impact on revenue, to demonstrate your value to the practice.

Financial essentials every dermatologist should know

Every dermatologist should understand how practices make money, how those finances affect your pay, and how to use that information to make smart career and personal financial decisions. Our guide walks through the financial essentials every dermatologist should know and offers practical, actionable ways to build financial literacy and control your financial future.

Balance sheets

Understanding financial statements doesn’t have to be intimidating. Your practice’s balance sheet tells a clear story about its financial health: what you own, what you owe, and what’s left over. By reading our beginner’s guide to balance sheets, you’ll gain valuable insight into your ability to cover expenses, manage risks, and plan for future growth.

Relative value units

Relative Value Units (RVUs) are everywhere in medicine, and they are a major element in how dermatologist work is measured and compensated. Use our RVUs explained for dermatologists guide to make informed decisions about contracts, productivity, and career planning.

Demonstrate financial value for your practice

Every patient interaction, workflow improvement, and idea for growth can strengthen your practice’s success, allowing you to play a key role in driving both quality and revenue. Use our six tips on demonstrating financial value for your practice to play a key role in driving both quality and revenue.

This content was created with the particular needs of early-career dermatologists in mind. See the rest of our Career Launch resources for young physicians.