How to Set a Fair Price for Plastic Surgery: Tips for Clinics and Surgeons

Last Updated: August 27, 2024

Plastic surgery is a medical specialty aimed at improving the appearance and function of various parts of the human body. With the growing demand for aesthetic procedures, many plastic surgery clinics and surgeons need to calculate the selling price of their services and procedures more accurately. To do this, it's important to consider all fixed costs, material costs, and labor.

1. What to Consider When Calculating Prices for Plastic Surgeries

To calculate the selling price of a procedure, a detailed understanding of all costs involved is necessary.

1.1 Fixed Costs
Fixed costs are those that do not vary based on the number of procedures performed, such as rent, electricity, water, phone, internet, employee salaries, taxes, insurance, among others. These costs should be spread among all procedures performed in the clinic to be included in the selling price.

1.2 Variable Costs
Material costs are those directly related to the surgical procedure, such as disposable materials, medications, prostheses, surgical materials, among others. These costs vary depending on the type of procedure performed and should be added to the selling price of the procedure. It's also important to consider the quality of the materials used, as this can directly impact patient satisfaction and the clinic’s reputation.

1.3 Labor
In addition to fixed costs and material costs, it's important to calculate the labor value of the surgeon and their team. This value should be based on the salaries of the involved professionals. The salary value of the surgeon and other involved professionals should be added to the selling price of the procedure to calculate the final amount to be charged to the patient.

2. Understanding the Calculation

We can use breast augmentation as an example, which is one of the most commonly performed plastic surgery procedures.

The fixed costs of the clinic include space rental, electricity, water, phone, internet, employee salaries, taxes, insurance, among others. These costs are divided among the procedures performed in the clinic.

The material costs for breast augmentation include silicone implants, which may vary according to the size and brand chosen by the patient, medications, surgical materials, anesthesia, among others.

The labor value of the surgeon and their team is based on the salaries of the involved professionals. The values for those involved should be added to the selling price of the procedure.

With all these costs taken into account, it’s possible to calculate the selling price of breast augmentation.

Another example of a procedure that requires a precise selling price calculation is abdominoplasty. This procedure involves the removal of excess skin and abdominal fat, as well as correcting abdominal muscles.

The fixed costs of the clinic include space rental, electricity, water, phone, internet, employee salaries, taxes, insurance, among others. Just like in breast augmentation, these costs are divided among the procedures performed in the clinic.

The material costs for abdominoplasty include surgical materials, anesthesia, medications, dressings, among others. It's also important to consider the necessity of a post-operative belt, which must be provided to the patient.

The labor value of the surgeon and their team is based on the salaries of the involved professionals. Abdominoplasty is a longer and more complex procedure than breast augmentation, so the surgeon's hourly rate and those of other involved professionals should be taken into careful consideration.

With all these costs taken into account, it's possible to calculate the selling price of abdominoplasty.

Just like in breast augmentation, it’s important for the price to be competitive and fair, considering all the costs involved.

3. Other Costs

In addition to the direct costs related to the procedure, plastic surgery clinics should also consider indirect costs, such as investments in marketing and advertising, training and development of the team, acquisition of equipment and technologies, among others. These indirect costs should be taken into account so that the clinic can stay updated and competitive in the market.

4. Practical Calculation

To illustrate the calculation of the price of a surgical procedure, let's consider the case of rhinoplasty, which is a plastic surgery that involves the aesthetic or functional correction of the nose.

To calculate the selling price of rhinoplasty, the clinic must consider all fixed costs, material costs, and the labor of the surgeon and the team. Additionally, it is important to consider indirect costs and competition.

4.1 Fixed Costs
Let’s suppose a plastic surgery clinic has the following monthly fixed costs:

• Space rental: $1,000.00
• Electricity: $200.00
• Water: $100.00
• Phone: $50.00
• Internet: $30.00
• Taxes: $1,000.00
• Insurance: $400.00
This totals a monthly fixed cost of $2,880.00.

4.2 Variable Costs
To perform a rhinoplasty, the clinic needs the following materials:

• Surgical materials: $300.00
• Anesthesia: $100.00
• Medications: $60.00
• Dressings: $40.00
This totals material costs of $500.00.

4.3 Labor
To calculate the labor of the surgeon and the team, it is necessary to consider the salaries of the involved professionals. Let’s suppose the surgeon's salary is $3,000.00, the anesthetist's $600.00, and the salaries of other involved professionals $1,000.00 each. Assuming the team consists of 4 professionals (surgeon, anesthetist, nurse, and instrument technician), we have a labor cost of $6,600.00.

4.4 Performing the Calculation
Considering that the clinic performs around 10 procedures per month, the total fixed cost will be distributed among the 10 procedures, resulting in a fixed cost per procedure of $288.00.

The same applies to labor; the $6,600.00 should be distributed among the 10 procedures, resulting in $660.00 per procedure.

Thus, the total cost to perform a rhinoplasty in the clinic would be:

• Monthly fixed costs: $288.00
• Material costs: $500.00
• Labor: $660.00
Totaling a cost of $1,448.00.

4.5 Indirect Costs

To define the selling price of rhinoplasty, the clinic should consider indirect costs, such as investments in marketing and advertising, training and development of the team, acquisition of equipment and technologies, among others.

Let’s assume these indirect costs total $3,000.00 per month. Then it’s $3,000.00 divided by 10 procedures, totaling $300.00 per procedure.

4.6 Profit Margin

So, with all these factors in mind, the clinic can define the selling price of rhinoplasty as follows:

• Total cost: $1,448.00
• Indirect cost: $300.00
• Desired profit margin: 30%
• Selling price: (total cost + indirect cost) / (1 – profit margin)
• Selling price: ($1,448.00 + $300.00) / (1 – 0.3) = $2,493.71
Thus, the clinic could set the selling price of rhinoplasty at about $2,494.00, rounded.

5. Other Factors to Consider in the Selling Price

It's important to remember that prices can vary according to each region and market, and the values cited here are just hypothetical examples. Additionally, the clinic should always consider the quality of the services provided and patient satisfaction, seeking to offer a fair and competitive value.

Another important point to highlight is that the clinic should stay updated on the costs of its materials and the market rates to adjust its pricing as necessary. Moreover, it is important to have rigorous financial control so that the clinic can quickly identify variations in costs and profits.

In summary, the calculation of the selling price of services and procedures in plastic surgery clinics should consider several factors, such as fixed costs, material costs, labor, indirect costs, and competition. It is essential for the clinic to strive to offer a fair and competitive value while also focusing on the quality of services and patient satisfaction.

Furthermore, the calculation formula here has been simplified for better understanding. There are other variables to be considered, but they do not significantly impact the calculation; they just make it more precise, such as calculating the hourly cost of the involved professionals.


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Edited by Ciro Freitas. Specialist in finance and corporate controlling, and founder of Controllertech.

Ciro Freitas

My name is Ciro Freitas, and I am the founder of Controllertech. I am 38 years old and graduated in Business Administration from PUC-MG in 2009.

Over 21 years, I have worked in companies of various sizes (yes! I started at 17), including multinationals from India and Italy, always in the area of controlling and finance.
With all this experience, I decided to found my own financial management company, which has been the area I have worked in the longest and gained considerable knowledge.

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