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Nonprofit Versus For-Profit Healthcare Organizations Essay

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Introduction
This written assignment will be an analysis of the comparisons of nonprofit versus for-profit healthcare and their organizations. It will analyze the characteristics of each healthcare organization and indicate the factors that impact their operation. It will discuss the options to improve the operational and financial performance of nonprofits and for-profit healthcare organizations.
Non-profit versus for-profit healthcare organizations
Non-profit hospitals can be public or private healthcare organizations and the majority of U.S. hospitals are categorized as non-profit and usually exempt from paying taxes. They are structured under Section 501(c) (3) in the Internal Revenue Service (IRS) tax regulations and they pay no federal …show more content…
This causes and affects the wages of all staff of private for-profit hospital systems. Private non-profit hospitals were found to have higher than average wages and a similar pattern was discovered with nurses. For wages in state and local government organizations, the average wages for all staff was comparable to the average wage for staff in private for-profit systems. This wages was lower when compared to wages for staff in private non-profit hospitals. Government hospitals paid registered nurses comparable wages as those in private for-profit hospitals but private non-profit hospitals paid …show more content…
The operational and financial characteristics were debated including the benefits of non-profits and the tax advantages from the IRS tax code. The competition between from public, private, government, non-profit and for-profit organization was discussed and the effects that are realized by staff and wages. As more hospitals compete with similar systems regardless of type of system they operate, there must be more coordination and compromising between them to provide quality healthcare and produce positive healthcare

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