Hospitalist ROI Calculator: Locum vs Tele-Hospitalist
Yearly savings = (locum hourly rate × hours per shift + travel per shift − tele-hospitalist cost per shift) × shifts per month × 12. A hospital covering 30 night shifts a month with locums at $220/hour for 12 hours plus $400 travel spends about $1.09 million a year. At $1,800 per tele-hospitalist shift, the same coverage costs $648,000 — about $446,000 saved.
Inputs
For example, every night shift = about 30 a month.
Use the quote you have, or ask us for one.
Note: This is a planning estimate. It compares direct coverage cost only. It does not include recruiting time, onboarding, or revenue from patients kept locally.
Formula
Locum cost per shift = Hourly rate × Hours per shift + Travel per shift. Annual locum cost = Cost per shift × Shifts per month × 12. Annual tele cost = Tele cost per shift × Shifts per month × 12. Savings = Locum − Tele.
Worked example
A rural hospital fills 30 night shifts a month with locum hospitalists at $220/hour for 12-hour shifts, plus $400 per shift for travel and lodging. Each shift costs $3,040, or $1,094,400 a year. A tele-hospitalist quote of $1,800 per shift comes to $648,000 a year. Savings: $446,400 (41%).
Benchmarks
| Measure | Typical range |
|---|---|
| Locum hospitalist hourly rate | Often $175–$275/hour, higher for nights and short notice |
| Typical hospitalist shift | 10–12 hours (nocturnist shifts usually 12) |
| Travel and lodging per locum shift | Often $200–$600, depending on block length and location |
Rates vary by region, season, and agency. Use your current invoices when you can.
Frequently asked
What is a tele-hospitalist?
A board-certified hospitalist who cares for your inpatients by video, working with your nurses on site. Many hospitals use them for nights, weekends, or overflow.
Why are locum hospitalists so expensive?
You pay the doctor's rate, the agency's fee, and travel and lodging. Short-notice and night shifts cost even more.
Can tele-hospitalists replace all on-site doctors?
Usually not. Most hospitals keep on-site day coverage and use tele-hospitalists for nights, weekends, and busy times. You also need on-site nurses and an emergency provider.
What else should I count besides cost?
Fewer transfers, steadier coverage, and less burnout for your day team. Kept patients bring revenue that this tool does not count — try the avoidable transfer calculator for that.
References
- 1.Society of Hospital Medicine. State of Hospital Medicine Report. https://www.hospitalmedicine.org/practice-management/shms-state-of-hospital-medicine/
- 2.Agency for Healthcare Research and Quality. Telehealth in rural hospitals. https://www.ahrq.gov/topics/telehealth.html
This calculator is for general planning and educational purposes only and is not clinical, legal, billing, or financial advice. Confirm all reimbursement, regulatory, and financial figures with a qualified professional and your organization's current policies before acting on anything here.
Where Beam fits
Beam's tele-hospitalists cover your nights, weekends, and busy days with a steady core team — not a rotating gig roster.
See tele-hospitalist coverage