Physical therapist turnover is one of the most costly challenges for outpatient rehab clinics and healthcare systems. Losing a team member doesn’t just mean finding a replacement—it means lost productivity, high recruiting expenses, and patient dissatisfaction.
Based on current industry averages and real-world assumptions, the cost of PT turnover can easily exceed $70,000 per employee.
Let’s break down where those dollars go—and how your clinic can reduce the risk.
The Admin Cost of Offboarding a PT
Even before a physical therapist officially departs, there’s admin work—exit interviews, system access removal, documentation, and HR handoff.
- Estimated cost: $300
Lost Revenue During the Vacancy Period
The biggest cost of PT turnover? Lost billable hours. If your PT saw 50 patients per week at an average reimbursement of $110, a 6-week vacancy leads to major financial leakage.
- 50 visits/week × 6 weeks × $110 = $33,000
Temporary Coverage: Expensive but Necessary
Filling the gap often requires PRN therapists or traveling PTs. They’re vital—but costly. Their rates are often $30/hour higher than your salaried employees.
- Temporary staffing cost difference = $7,200
Clinics often underestimate this category when calculating the true cost of PT turnover.
Recruiting Costs Are Higher Than You Think
Recruiters typically charge 15–25% of annual salary. If you're replacing a PT earning $95,000/year, your recruiting bill could top $19,000—not including time spent screening and interviewing.
- Total estimated recruiting cost: $20,200
📑 Credentialing & Admin Setup
Bringing a new PT onboard isn’t instant. Background checks, license verification, EMR access, and insurance credentialing take time and money.
- Estimated cost: $1,100
Onboarding + Ramp-Up Time = Productivity Loss
A new hire doesn’t reach full productivity immediately. While onboarding, they require mentorship and supervision. Productivity is reduced for both the new PT and their trainer.
- Onboarding + learning curve cost: $5,200
Patient Drop-Off and Retention Risk
Patients build trust with their provider. When their PT leaves, some patients may stop attending. If just 5 patients per week cancel for 6 weeks, that’s a $3,300 loss in revenue.
Total Cost of Physical Therapist Turnover: $70,300
The cost of PT turnover ranges between $65K–$75K, depending on your geography and staffing model.
Why Physical Therapist Retention Should Be a Business Priority
Beyond numbers, turnover disrupts:
- Team morale
- Patient care continuity
- Clinic growth and scalability
Whether you manage 3 therapists or 30, reducing physical therapist churn is one of the most effective ways to boost profitability.
4 Ways to Reduce Physical Therapist Turnover
1. Monitor & Prevent PT Burnout
Use regular 1:1s, wellness surveys, and anonymous feedback loops to catch signs early.
2. Strengthen Your Onboarding Process
Build a 30-60-90 day onboarding plan that promotes clarity, mentorship, and team integration.
3. Offer Career Development Paths
Provide CEU reimbursement, mentorship opportunities, and clear growth tracks.
4. Budget for Culture & Retention
From flexible schedules to wellness stipends, small perks can drive long-term loyalty
Final Thoughts
Physical therapist turnover isn’t just a staffing issue—it’s a business risk. From revenue loss and recruitment costs to patient attrition and staff morale, the ripple effects are wide-reaching and expensive.
But turnover isn’t inevitable. With proactive strategies—like structured onboarding, burnout prevention, and investment in team culture—clinics can dramatically reduce churn and improve both clinician satisfaction and patient outcomes.
In an industry built on trust, care, and continuity, retaining great therapists isn’t just good practice—it’s good business.
