Grand Rounds - What is Fair Market Value with Jon Appino of Contract Diagnostics

The podcast addresses the complexities surrounding fair market value (FMV) in physician compensation. Jon Appino from Contract Diagnostics clarifies that there's no formal, universal definition of FMV; it varies among employers and contracts. Employers must ensure compliance by not overpaying physicians, referencing legal cases where non-compliance led to substantial settlements. FMV encompasses total cash compensation, including salary, bonuses, and stipends, amortizing signing bonuses over their duration. The discussion emphasizes that physicians should be compensated fairly for their work, considering factors like RVUs, call frequency, and administrative duties, and not be limited by arbitrary percentile caps. Physicians are encouraged to research and negotiate their FMV, equipped with data and talking points to bridge the gap between employer offers and their perceived worth.