Nursing vs. Healthcare Administration: How Do They Differ?

When pursuing a career in healthcare, both nursing and healthcare administration can be viable options.

Nursing, a high-demand field, involves direct patient evaluation, observation, and education. In contrast, healthcare administrators manage hospitals or other public health system’s operations behind the scenes.

You should consider several different factors, including work type, salary, and educational requirements, to determine the best career path for you. You should also consider whether you want to work in a clinical setting or in an office setting.

Nursing and healthcare administration differ in their work type, education requirements, salary and job prospects, and work setting. Explore these distinctions below.

Nursing involves hands-on patient care, while healthcare administration is more business-oriented. Healthcare administration involves working with facility stakeholders rather than directly with patients.

Nurses’ responsibilities include creating care plans, educating patients, administering medications, and performing patient assessments. Healthcare administrators oversee healthcare departments and organizations and can specialize in areas like finances or analytics.

While both career paths require a bachelor’s degree, further education may be necessary. Some employers will prefer you to earn a master’s degree in healthcare administration before working in the field. This may be especially true if you don’t have previous relevant work experience. Becoming a Fellow of the American College of Healthcare Executives (FACHE) is also more common in this career.

To practice as a nurse, you must be licensed. This involves meeting specific educational criteria, including passing a background check and the national licensing examination.

Both careers are in demand, but their salaries differ significantly. In 2023, healthcare administrators earned a median annual salary of $110,680, whereas registered nurses earned $86,070.

However, RNs can increase their earning potential considerably with an advanced nursing degree. With a master’s degree, RNs are qualified to become advanced practice registered nurses (APRNs). In 2023, APRNs earned a median annual salary of $129,480 in 2023.

Both nurses and healthcare administrators work within healthcare facilities — like hospitals, nursing homes, and clinics — yet they differ in work hours and expectations. Nurses typically work long shifts on their feet outside of standard business hours, while healthcare administrators typically work regular business hours in offices.

Nurses also spend most of their day with patients, while healthcare administrators spend their time on computers or meeting with stakeholders.

Advanced degrees can pave the way for career advancement and a higher salary in nursing and healthcare administration. While different types of APRNs exist in the nursing field, they all involve direct patient care. However, APRNs have a larger earning potential compared to RNs and are more in demand.

Some employers prefer candidates with a master’s degree when hiring healthcare administrators, so you may need a graduate degree regardless of whether you aspire to be an APRN or healthcare administrator.

If you are currently an RN who is considering an advanced degree and want to transition to a healthcare role with less direct patient interaction or a higher level of leadership, a master’s in healthcare administration (MHA) or master of business administration (MBA) in healthcare administration may be worth pursuing.

Before you decide which career is the best fit for you, consider the following.

As a registered nurse, you will work directly with patients, performing tasks like monitoring vitals, cleaning wounds, dispensing medications, and assisting in examinations. A career in nursing is ideal for those seeking hands-on healthcare involvement and direct interactions with patients.

If you prefer a healthcare role without daily patient interaction, healthcare administration might suit you. Common tasks for healthcare administrators include managing budgets, acquiring equipment, and handling administrative duties.

This job is ideal for someone who wants to work behind the scenes to increase healthcare access, improve healthcare quality, and decrease costs.

Both nursing and healthcare administration boast higher salaries above the median wage with projected growth rates at least double the average for all occupations, according to the BLS.

They also both offer career advancement opportunities with advanced degrees, however, they require time investment and often involve long, nontraditional hours. Consider the time commitment, degree requirements, and salary when choosing your career path.

Note: The insights on this page — excluding school descriptions — were reviewed by an independent third party compensated for their time by BestColleges. Page last reviewed July 17, 2024.