Healthcare Recruiting
2026 Healthcare Provider Salary Guide: What Physicians, Nurses, and Therapists Earn by State
Healthcare provider compensation varies dramatically depending on where you practice. A registered nurse in California can earn nearly double what a nurse in Mississippi takes home. For physicians, the gap between the highest-paying and lowest-paying states exceeds $100,000.
Whether you are a recruiter benchmarking offers or a provider evaluating relocation, this guide breaks down 2026 salary data for physicians, registered nurses, physical therapists, and occupational therapists across all 50 states.
How Physician Salaries Break Down in 2026
According to the Medscape 2025 Physician Compensation Report, the average physician in the U.S. earned $374,000 in 2024, up from $363,000 the year prior. Primary care physicians averaged $287,000, while specialists averaged $404,000. By 2026, self-reported data from SalaryDr puts the median physician salary at approximately $425,000, reflecting continued upward pressure from nationwide shortages.
Geography plays a major role. Physicians in the Midwest consistently outearn peers in other regions, averaging around $385,000 annually. Rural states with fewer physicians per capita tend to offer the most competitive packages, including higher base salaries, signing bonuses, and loan-repayment incentives.
Top 10 Highest-Paying States for Physicians (2025-2026)
| Rank | State | Avg. Annual Salary | Key Factor |
|---|---|---|---|
| 1 | Indiana | $410,000+ | Low supply, high demand in rural areas |
| 2 | Wisconsin | $405,000+ | Midwest premium, major health systems |
| 3 | North Dakota | $400,000+ | Rural shortage drives compensation |
| 4 | Nebraska | $398,000+ | Underserved communities, strong incentives |
| 5 | South Dakota | $395,000+ | Low physician-to-patient ratio |
| 6 | Missouri | $390,000+ | Large health systems, growing metro areas |
| 7 | Connecticut | $388,000+ | High cost of living, affluent patient base |
| 8 | Kentucky | $385,000+ | Rural shortage, expanding hospital networks |
| 9 | Florida | $383,000+ | Large retiree population drives demand |
| 10 | Georgia | $380,000+ | Growing population, expanding healthcare |
Sources: Medscape 2025 Physician Compensation Report, Doximity 2025 Physician Compensation Report, CompHealth 2025 Physician Salary Report. Figures represent all-specialty averages and may vary significantly by specialty.
Cost-of-living note: States like Wyoming, Mississippi, and Iowa often rank even higher on a purchasing-power basis. Physicians in these states keep more of what they earn thanks to no or low state income tax and affordable housing.
Registered Nurse Salaries by State
The national average RN salary reached approximately $99,840 in 2026, according to Nurse.org, citing Bureau of Labor Statistics data. The gap between the highest and lowest-paying states exceeds $60,000.
Top 10 Highest-Paying States for Registered Nurses (BLS May 2024)
| Rank | State | Avg. Annual Salary |
|---|---|---|
| 1 | California | $148,330 |
| 2 | Hawaii | $123,720 |
| 3 | Oregon | $120,470 |
| 4 | Washington | $115,740 |
| 5 | Massachusetts | $112,610 |
| 6 | Alaska | $112,040 |
| 7 | New York | $110,490 |
| 8 | District of Columbia | $109,240 |
| 9 | New Jersey | $106,990 |
| 10 | Connecticut | $103,670 |
Source: U.S. Bureau of Labor Statistics, Occupational Employment and Wage Statistics, May 2024.
California's dominance in nurse pay is driven by strong union representation, high cost of living, and progressive staffing ratio laws. However, after adjusting for cost of living, Oregon and Alaska offer some of the best real earnings for RNs nationwide.
Physical Therapist Salaries by State
Physical therapists earn a national median of $101,020 per year, according to BLS data. States with robust healthcare infrastructure and higher costs of living tend to pay the most.
Top 10 Highest-Paying States for Physical Therapists (2025-2026)
| Rank | State | Avg. Annual Salary |
|---|---|---|
| 1 | Massachusetts | $104,435 |
| 2 | Washington | $104,378 |
| 3 | New York | $101,599 |
| 4 | Alaska | $100,838 |
| 5 | Nevada | $98,256 |
| 6 | Hawaii | $94,687 |
| 7 | Missouri | $94,496 |
| 8 | Maryland | $93,632 |
| 9 | Idaho | $92,812 |
| 10 | Delaware | $91,337 |
Source: World Population Review, citing BLS Occupational Employment and Wage Statistics.
Occupational Therapist Salaries by State
Occupational therapists earn a national median of $98,340 annually. The top-paying states skew toward coastal markets and states with large aging populations.
Top 10 Highest-Paying States for Occupational Therapists (BLS May 2024)
| Rank | State | Avg. Annual Salary |
|---|---|---|
| 1 | California | $113,550 |
| 2 | New York | $107,530 |
| 3 | Nevada | $107,070 |
| 4 | New Jersey | $105,880 |
| 5 | Colorado | $104,950 |
| 6 | Virginia | $102,550 |
| 7 | Washington | $101,780 |
| 8 | Maryland | $101,710 |
| 9 | Texas | $101,610 |
| 10 | Oregon | $100,910 |
Source: OT Potential, citing BLS Occupational Employment and Wage Statistics, May 2024.
What Drives Salary Differences Between States
Several factors explain the wide geographic variation in provider pay:
- Supply and demand: States with fewer providers per capita pay more. Rural Midwestern states consistently top physician salary rankings for this reason.
- Cost of living: Coastal states offer higher nominal salaries but lower purchasing power. A nurse earning $148,000 in California may have less disposable income than one earning $85,000 in Tennessee.
- State income tax: No-income-tax states like Texas, Florida, Washington, and Tennessee give providers an effective 3-6% raise compared to high-tax states like California (up to 13.3%).
- Union presence: Strong nursing unions in California, Oregon, and Washington have pushed RN salaries well above national averages.
- Population demographics: States with large elderly populations (Florida, Arizona) see elevated demand for specialists and therapists.
How Recruiters Can Use This Data
For healthcare recruiters and staffing agencies, salary benchmarking is essential for competitive offers. Underbidding the market by even 5% can mean losing a candidate to a competing facility.
Ava Health gives recruiters access to a database of over 1.4 million healthcare providers across all 50 states, complete with specialty, location, and contact information. Whether you are recruiting physicians for a rural hospital in Nebraska or nurses for a health system in California, having the right data makes the difference between a filled position and an open one.
Start building your recruiting pipeline today at providers.avahealth.co.
Related reading: The Healthcare Staffing Shortage: 2026 Data and What It Means for Recruiters, Best States for Healthcare Workers in 2026: Salary, Demand, and Quality of Life, Family Medicine providers.
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