Is a Master’s in Healthcare Administration a Good Career for 2025?

Co-Founder and Chief Data Scientist

The U.S. healthcare industry is projected to add 2.1 million new jobs between 2022 and 2032, with medical and health services managers—a key role for MHA graduates—expected to see a 29% growth rate, far outpacing the national average for all occupations. As hospitals, clinics, and healthcare systems expand and modernize, the demand for skilled administrators has never been higher.

With this rapid growth and the increasing complexity of healthcare delivery, many professionals are asking: Is a Master’s in Healthcare Administration (MHA) a good career choice? In this article, we explore the value, opportunities, and long-term benefits of pursuing an MHA.

Key Things You Should Know About Master's in Healthcare Administration Careers

The healthcare industry is one of the fastest-growing sectors in the U.S., with management roles projected to grow by 29% through 2033. An MHA can lead to leadership positions in hospitals, clinics, insurance firms, and biotech companies.
MHA programs are available in full-time, part-time, online, hybrid, and executive formats, making it easier to fit into different schedules and career stages. Some programs also offer specializations in areas like policy, informatics, or long-term care.
Tuition for MHA programs typically ranges from $30,000 to $120,000, depending on the school and format. Many programs offer scholarships, employer tuition assistance, and financial aid to help reduce out-of-pocket costs.
While a license is not usually required to work in healthcare administration (except in nursing home administration), certifications such as FACHE, CMM, or PMP can boost your credentials, salary potential, and advancement opportunities.
Many top MHA programs include internships, residencies, or capstone projects that provide hands-on experience in healthcare settings. These experiences are critical for networking, skill development, and job placement after graduation.

What can you do with a master’s in healthcare administration for 2025?
What is the average salary for someone with a master’s in healthcare administration?
What are the highest-paying jobs with a master’s in healthcare administration?
How much does a master’s in healthcare administration cost?
What healthcare administration roles are available in public vs. private sectors?
Which states offer the highest pay for MHA graduates?
How does an MHA salary compare to an MBA in healthcare?
What critical skills are essential for effective healthcare administration?
What role does specialized online training play in advancing healthcare administration careers?
What emerging trends are shaping the future of healthcare administration?
What is the Return on Investment for an MHA Degree?
Do salaries increase significantly with experience in healthcare administration?
What are the top-paying industries for MHA degree holders?
Is there a demand for healthcare administrators in the U.S.?
Other Things You Should Know About Master’s in Healthcare Administration Careers

What can you do with a master’s in healthcare administration for 2025?

A master’s in healthcare administration (MHA) is currently in high demand and can open the door to a wide range of leadership and management roles across the healthcare industry.

Here are some of the most common and impactful career paths:

Hospital Administrator

Oversees daily operations, budgeting, and policy implementation in hospitals. The hospital administrator also ensures compliance with healthcare regulations and improves patient care delivery.

Healthcare Consultant

Analyzes healthcare systems and recommends strategies for efficiency, cost control, and compliance. The healthcare consultant often works for consulting firms or as an independent contractor.

Clinical Manager

Manages specific departments such as radiology, cardiology, or surgery. The clinical manager coordinates staff, schedules, budgets, and departmental policies.

Health Information Manager

Oversees patient records and healthcare data systems. The health information manager also ensures data privacy compliance and implements electronic health record (EHR) systems.

Practice Manager

Handles operations of private medical practices, including staffing, billing, and patient relations.

Health Services Manager

Works in various settings (hospitals, nursing homes, public health agencies) managing service delivery and improving efficiency.

Policy Analyst or Public Health Administrator

Influences healthcare policy through research, analysis, and policy drafting. May work for government agencies, nonprofits, or think tanks.

Pharmaceutical Project Manager

Leads initiatives within pharmaceutical or biotech companies, such as clinical trials or regulatory compliance projects.

Chief Executive Officer (CEO) or Chief Operating Officer (COO)

Top-level roles in healthcare organizations, responsible for strategic vision, financial performance, and stakeholder management.

Long-Term Care Administrator

Manages nursing homes or assisted living facilities, ensuring regulatory compliance and quality care.

What is the average salary for someone with a master’s in healthcare administration?

The average salary for someone with a master’s in healthcare administration (MHA) in the United States typically falls between $80,000 and $120,000 per year, depending on factors such as job title, location, experience, and industry setting. As of 2024, there were 562,700 medical and health service managers in the U.S., which include healthcare administrators.

Here’s a more detailed salary breakdown:

Experience Level

Average Salary Range

Entry-Level (0–2 years)

$60,000 – $80,000

Mid-Level (3–7 years)

$80,000 – $110,000

Senior-Level (8+ years)

$110,000 – $150,000+

Executive-Level (COO/CEO)

$150,000 – $300,000+

Salaries also vary significantly by geographic region, with urban areas and high-cost-of-living states (e.g., California, New York, Massachusetts) offering higher pay.

Medical and health service managers employed in the US as of 2024

What are the highest-paying jobs with a master’s in healthcare administration?

The highest-paying jobs with a master’s in healthcare administration (MHA) are typically executive and leadership roles that carry significant responsibility. Similar to 2-year medical degrees that pay well, higher salaries often correlate with experience, geographic location, size of the organization, and whether the role is in the private or public sector.

Here are the top high-paying positions:

Hospital Chief Executive Officer (CEO): Leads the entire hospital or health system, overseeing strategy, finances, operations, and regulatory compliance.
Hospital Chief Operating Officer (COO): Manages day-to-day operations, streamline processes, and ensure efficient delivery of care.
Healthcare Consultant (Senior/Partner Level): Advises healthcare organizations on financial performance, strategic planning, compliance, and operations.
Pharmaceutical Project Manager/Health Services Project Manager: Leads large-scale healthcare or pharmaceutical initiatives, often with global impact.
Health Informatics Director: Oversees electronic health records (EHRs), data analytics, and digital transformation initiatives.
Long-Term Care Facility Administrator (Large Facilities): Manages nursing homes or assisted living facilities, ensuring compliance, staffing, and patient care standards.

Graduates with a master’s in healthcare administration (MHA), including graduates of 1 year MHA programs online, can pursue a variety of high-paying leadership roles across the healthcare industry. The chart below highlights some of the top-paying positions available to MHA holders, based on national salary averages.

How much does a master’s in healthcare administration cost?

The cost of a master’s in healthcare administration (MHA) varies widely depending on factors such as the type of institution, geographic location, and whether the program is online or on-campus. On average, the cost of an MHA program can range from $30,000 to $120,000 for the entire degree. The cheapest online healthcare administration degree, however, is often on par with the traditional programs.

Cost Breakdown:

Public Universities (In-State): $30,000 to $60,000
Public Universities (Out-of-State): $40,000 to $80,000
Private Universities: $60,000 to $120,000
Online Programs: $20,000 to $80,000 (often more affordable than traditional on-campus programs)

Some universities offer accelerated healthcare management degree online or dual degrees (e.g., MHA/MBA), which can increase costs. Additionally, whether you attend part-time or full-time, and if you are eligible for financial aid or scholarships, are factors that can impact the final cost.

Many schools offer financial aid options, including scholarships, fellowships, and assistantships, which can reduce the financial burden.

Cost of master's in healthcare administration program

What healthcare administration roles are available in public vs. private sectors?

Healthcare administration roles are available in both the public and private sectors, but they often differ in focus, organizational goals, and regulatory involvement. A recent survey of hospital administrators reported that when it comes to employee retention, 48% of cite compensation as the most critical factor, while 37% highlight the importance of providing clear opportunities for career advancement. These findings, however, may also differ between the public and private sector context.

Public Sector Roles

In the public sector, healthcare administrators typically work for government agencies, public hospitals, or nonprofit organizations. Common roles include:

Public Health Administrator: Manages public health programs and initiatives at local, state, or federal levels.
Policy Analyst: Researches and develops health policies, often for agencies like the CDC or state health departments.
Health Program Manager: Oversees government-funded health initiatives, such as vaccination programs or Medicaid services.
Regulatory Affairs Manager: Ensures compliance with health laws and regulations within public institutions.
Veterans Health Administrator: Manages operations within the Veterans Health Administration or other military-related health programs.

These roles often prioritize community health outcomes, equity, and compliance with federal or state mandates.

Private Sector Roles

In the private sector, healthcare administrators usually work in for-profit hospitals, insurance companies, private practices, pharmaceutical companies, and consulting firms. Key roles include:

Hospital Administrator/COO/CEO: Oversees operations, finances, and strategy in private healthcare systems.
Healthcare Consultant: Advises organizations on improving efficiency, profitability, and patient outcomes.
Practice Manager: Manages daily operations of medical offices or specialty clinics.
Health Information Manager: Leads EHR systems and data compliance in private organizations.
Pharmaceutical Project Manager: Oversees clinical trials, regulatory submissions, or product launches.

Private sector roles tend to focus more on financial performance, innovation, and competitive positioning within the healthcare market. Some affordable MHA online programs focus on the private sector.

Which states offer the highest pay for MHA graduates?

States that offer the highest pay for masters of healthcare administration graduates are typically those with high costs of living and a large concentration of major healthcare systems or corporate headquarters. California, New York, Massachusetts, New Jersey, and Washington consistently top the list. In these states, MHA graduates can earn well over $120,000 annually in mid- to senior-level roles, especially in large urban centers like San Francisco, New York City, and Boston. These regions benefit from a dense healthcare network, including academic medical centers, biotech companies, and consulting firms that demand experienced administrators.

Additionally, Illinois, Texas, and Maryland also offer strong compensation, particularly in cities like Chicago, Houston, and Baltimore, which are healthcare hubs. Salaries in these areas are boosted by the presence of top hospitals, managed care organizations, and public health agencies. MHA graduates working in executive roles, such as hospital administrators or healthcare consultants, may see six-figure incomes early in their careers. However, while these states offer higher salaries, it’s important to consider the cost of living, which can significantly impact real income.

Investing in healthcare management degree online can be a good move given these data.

How does an MHA salary compare to an MBA in healthcare?

An MHA salary is generally comparable to an MBA with a healthcare concentration, but differences arise based on career focus, employer preference, and role type.

MHA vs. MBA in Healthcare: Salary Comparison

Entry-Level Roles: MHA and healthcare MBA graduates typically start with similar salaries, ranging from $60,000 to $90,000 annually.
Mid-Career: MHA holders working in hospital administration, health systems, or public health may earn $90,000 to $120,000, while MBA grads in corporate healthcare, finance, or consulting roles may reach $100,000 to $130,000+.
Executive-Level: MBA grads may have an edge in C-suite roles like CFO or COO in for-profit organizations, often earning $150,000–$250,000+, while MHA grads in CEO or COO roles within hospitals or nonprofit systems can earn similar amounts.

In general, the MHA is more specialized, making it ideal for leadership within hospitals, clinics, or public health, whereas the MBA offers broader business skills, often leading to higher-paying roles in healthcare consulting, finance, and corporate strategy. The better salary ultimately depends on the type of industry, career goals, and leadership trajectory.

The industry you work in can significantly influence your salary as a medical and health services manager. The chart below shows the industries that employ the highest number of these professionals..

What critical skills are essential for effective healthcare administration?

Healthcare administrators must combine advanced analytical abilities with robust leadership skills to navigate evolving regulatory frameworks and technological innovations. Proficiency in financial management, data-driven decision-making, and operational strategy is crucial for optimizing healthcare delivery and ensuring compliance. Additionally, effective communication and conflict resolution skills play a significant role in managing diverse teams and stakeholder expectations. Staying updated through continuous professional development and specialized certifications further enhances the ability to lead complex projects and drive organizational change. For those exploring complementary career training, consider taking the best online medical assistant programs.

What role does specialized online training play in advancing healthcare administration careers?

In today’s competitive healthcare landscape, targeted professional development enhances career trajectories by equipping administrators with critical, up-to-date skills. Specialized online training programs focus on contemporary challenges such as data analytics, regulatory compliance, and digital health innovations. By pursuing courses offered through online schools for health information management, professionals can gain a competitive edge that aligns with evolving industry standards and employer expectations. This focused education promotes adaptability and strategic expertise, thereby supporting long-term success in healthcare leadership.

What emerging trends are shaping the future of healthcare administration?

Rapid digital transformation and evolving patient care models are significantly reshaping the healthcare administration landscape. Administrators must now leverage artificial intelligence, advanced data analytics, and telehealth solutions to drive operational efficiency and enhance patient outcomes. Furthermore, the shift toward precision population health management and integrated care systems has underscored the need for agile leadership that blends innovative practices with compliance and risk management. These trends emphasize the importance of continuous professional development, including targeted training programs such as 6 week certification courses medical assistant, to stay competitive and strategically aligned with industry advancements.

What is the Return on Investment for an MHA Degree?

Evaluating the ROI for an MHA degree involves analyzing tuition costs, potential lost wages during study, and long-term salary growth. Prospective students should consider not only immediate expenses but also career advancement opportunities that contribute to higher lifetime earnings. Strategic programs—such as the accelerated health information management degree online—can shorten the time to enter the workforce and expedite salary progression. Additionally, factors like internship placements, networking opportunities, and continuous professional development play critical roles in enhancing the overall financial benefits of an MHA.

Do salaries increase significantly with experience in healthcare administration?

Yes, salaries in healthcare administration increase significantly with experience, often more than in many other industries due to the complexity, responsibility, and high-stakes nature of healthcare leadership roles. This growth is closely tied to the importance of organizational leadership in management, as seasoned professionals develop the skills to guide large teams, drive strategic initiatives, and ensure operational excellence in complex healthcare environments.

Early-career healthcare administrators (0–3 years) typically earn $60,000 to $80,000, while mid-level professionals (4–9 years) often see a jump to $90,000 to $120,000 as they move into managerial or director-level positions. With 10+ years of experience, especially in larger organizations or systems, professionals can command salaries of $130,000 to $200,000+, particularly in executive roles such as COO, CFO, or CEO. Those with specialized expertise (e.g., health IT, compliance, or strategic planning) or who work in high-paying sectors like consulting or biotech may earn even more.

What are the top-paying industries for MHA degree holders?

The top-paying industries for master of healthcare administration degree holders are typically those with a high concentration of resources, complex organizational needs, and a focus on innovation and profitability. Healthcare administrators employed by the government earned, on average, $132,620 in 2024.

While MHA graduates enjoy competitive salaries in these sectors, it’s worth noting that professionals with advanced qualifications like a DBA degree salary often surpass these figures, reflecting the added strategic and leadership expertise they bring to healthcare administration.

Here are the top industries offering the highest salaries:

Pharmaceutical and Biotech Companies

Average Salary: $100,000 – $150,000+

Pharmaceutical and biotech firms often offer high salaries to MHA graduates working in management roles, especially in drug development, regulatory compliance, and healthcare project management. These organizations require skilled administrators to navigate complex global operations, R&D, and product commercialization.

Health Insurance Companies

Average Salary: $95,000 – $130,000+

Health insurance companies like UnitedHealth Group, Anthem, and Cigna employ MHA professionals to manage claims, ensure regulatory compliance, and streamline health services. These companies are often focused on optimizing cost-effectiveness and improving patient care, requiring strong management and operational skills.

Consulting Firms

Average Salary: $100,000 – $140,000+

Healthcare consulting firms, such as McKinsey & Company, Deloitte, and PwC, pay top salaries for MHA professionals who provide expertise in areas like healthcare reform, process optimization, and digital transformation. Consultants often work with large health systems, hospitals, and insurers to enhance efficiency and profitability.

Private Hospitals and Healthcare Systems

Average Salary: $100,000 – $150,000+

MHA graduates in leadership roles within private, for-profit hospitals and healthcare systems typically earn competitive salaries. These organizations are profit-driven and require administrators to manage operations, finances, staffing, and patient care quality effectively.

Medical Equipment and Health Technology Companies

Average Salary: $95,000 – $130,000+

Companies that specialize in medical devices, health tech, and health IT systems, such as Cerner, GE Healthcare, and Siemens Healthineers, offer high salaries for MHA professionals. These organizations need administrators to oversee product implementation, regulatory compliance, and operations.

Academic Medical Centers and Teaching Hospitals

Average Salary: $90,000 – $120,000+

While generally nonprofit, academic medical centers and teaching hospitals are often among the highest-paying employers in the healthcare sector. MHA graduates may take on roles related to managing research operations, training, and overseeing complex hospital functions.

These industries provide higher-than-average compensation due to their specialized nature, competitive landscapes, and the critical role administrators play in ensuring operational and financial success.

Average salary of MHA graduates employed by the government

Is there a demand for healthcare administrators in the U.S.?

There is a strong and growing demand for healthcare administrators in the United States. The U.S. Bureau of Labor Statistics (BLS) projects a 29% growth in employment for medical and health services managers between 2023 and 2033—nearly four times faster than the average growth rate for all occupations. This growth is expected to result in about 61,400 job openings annually, driven by the need to replace workers who transfer to different occupations or exit the labor force, such as through retirement.

For those interested in how to become a sustainability manager, healthcare administration offers a complementary pathway, as sustainability increasingly becomes integrated into healthcare operations and management.

The demand for healthcare administrators is fueled by several factors, including an aging population, increased access to healthcare services, and the expansion of healthcare facilities. In April 2025 alone, the healthcare sector added over 51,000 jobs, highlighting its resilience and growth potential even amid broader economic uncertainties.

Candidates with supply chain manager qualifications may find unique opportunities in healthcare administration, as managing healthcare supply chains efficiently is critical to operational success and patient care.

Additionally, healthcare occupations are projected to account for a significant portion of job openings in the coming years, with approximately 1.9 million openings annually due to employment growth and the need to replace workers who leave the occupations permanently. This robust demand underscores the value of an MHA degree, positioning graduates for a range of leadership roles in a dynamic and essential industry.

Here’s What MHA Graduates Have to Say About Their Careers

Earning my MHA was the best decision I made for my career. The knowledge I gained in leadership, healthcare policy, and financial management has empowered me to take on senior roles, and I now oversee a large team in a prestigious hospital. The ability to make meaningful changes in healthcare delivery is incredibly fulfilling. Sarah
With an MHA, I was able to transition from a clinical role into healthcare administration, where I could blend my passion for patient care with operational efficiency. The degree gave me the confidence to lead healthcare teams, improve processes, and impact the lives of thousands of patients. It's been a rewarding journey with opportunities for continuous growth. James
The MHA program opened doors I never thought possible. From day one, the curriculum gave me hands-on experience with real-world challenges, and the networking opportunities helped me secure a leadership position in a large health insurance company. It’s not just a degree—it's a pathway to making a real difference in the industry. Emily

Key Findings

In 2024, healthcare administrators working in government positions earned an average salary of $132,620.
In April 2025, the healthcare sector added more than 51,000 jobs, demonstrating its strong growth potential and resilience despite wider economic challenges.
The U.S. Bureau of Labor Statistics (BLS) projects a 29% growth in employment for medical and health services managers between 2023 and 2033—nearly four times faster than the average growth rate for all occupations.
When it comes to employee retention, 48% of Hospital Operations Survey respondents cite compensation as the most critical factor, while 37% highlight the importance of providing clear opportunities for career advancement.

Other Things You Should Know About Master’s in Healthcare Administration Careers

Will a master’s in healthcare administration still be relevant in 10 years?

Yes, a Master’s in Healthcare Administration (MHA) will remain highly relevant in the next 10 years due to the ongoing demand for healthcare services, especially with the aging population and healthcare system expansion. As the healthcare industry continues to evolve, administrators will be needed to manage new technologies, regulations, and the complex needs of diverse patient populations. The skills gained in an MHA program will remain essential for navigating these challenges and leading healthcare organizations effectively.

Do you need a license to work in healthcare administration?

In most cases, you do not need a specific license to work in healthcare administration, though some roles—particularly those in hospital or long-term care management—may require state-specific licensure. For example, healthcare administrators in nursing homes are typically required to hold a nursing home administrator (NHA) license, while other roles may require certifications such as the Certified Medical Manager (CMM) or Fellow of the American College of Healthcare Executives (FACHE). Licensing requirements vary depending on the job, state, and specific healthcare setting.

What certifications can boost an MHA graduate’s career?

Certifications can significantly enhance an MHA graduate's career by demonstrating specialized expertise and commitment to professional development. Some valuable certifications include the Certified Medical Manager (CMM), Certified Healthcare Executive (CHE) from the American College of Healthcare Executives (ACHE), and the Fellow of the American College of Healthcare Executives (FACHE), which is a prestigious credential for experienced healthcare leaders. These certifications can improve job prospects, increase earning potential, and provide opportunities for advancement in healthcare administration.

How does an MHA degree impact job placement rates?

An MHA degree improves job placement rates by equipping graduates with specialized skills and knowledge that are highly sought after in the healthcare industry. Many programs also offer internships, networking opportunities, and connections with healthcare organizations, which enhance job prospects. The growing demand for healthcare administrators, driven by an expanding healthcare system, ensures that MHA graduates have strong placement rates in both public and private sectors.