Avoiding sticker shock: How much you can expect to pay, and why

Not all practice software is created equal. And with wide ranges in price and function, comparison shopping isn't always easy. Here are tips on what to look for.

By Tyler Chin, AMNews staff. July 11, 2005.

Some 400 companies sell electronic medical records, and 1,000 sell physician practice management software, according to consultants who help physicians evaluate and select information technologies. In some cases, the EMRs and practice management systems come in one package. In all cases, the pricing and functionality of the system -- "functionality" being computerese for "what the dang thing does" -- is all over the map.

So how do you know what you'll get for your money? Or how much you need to spend? If you have the time to do some comparison shopping, as Ken Budowsky, MD, did, you can come up with an idea.

Dr. Budowsky, a pediatrician in Hollywood, Fla., spent three days scouting out electronic medical records software products at an industry convention, narrowing the list of finalists to three candidates that he could then invite to demonstrate their products to his 10 physician partners. He fully expected that the tab would be in the six figures based on the quotes given him by vendors. "It's going to be a lot of money," Dr. Budowsky said.

But how much? Even Dr. Budowsky doesn't know. But in talking to various vendors and consultants in the health technology industry, AMNews has been able to get some ballpark figures.

The initial start-up cost for a comprehensive EMR is $8,850 to $30,000 per physician, consultants said. Within that price range, doctors can buy a system that includes coding, decision support, charting, document management, electronic prescribing, internal messaging, patient summaries and results tracking via flow sheet.