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Since 2020, work-from-home opportunities have become easier to find. While it can take some adjustments on both sides, working from home has significant benefits for employees and employers.

Read on to learn some of the advantages of work-from-home roles, as well as how to find these jobs.

What Are the Benefits of Remote Work for Employees?

While no two jobs are exactly alike, you can generally expect these benefits in working from home.

•   Workday flexibility. Depending on company policy, you may be less tied to your desk while working from home during the day. That could give employees the time to attend to housekeeping chores or to take a walk between meetings and tasks. Similarly, employees may be able to start their workday earlier or later based on preference.

•   No commute. With no commute to or from the office, employees who work from home free up time during the day. They may also save money on public transport or gas and car maintenance.

•   Fewer interruptions. With no water cooler to gather around or coworkers to people-watch, working from home often has fewer social interruptions than a traditional office setting.

•   Less formality. The work-from-home dress code is usually less formal than the office. Not only are employees more comfortable during the day, they can save on wardrobe costs.

•   Location. Many work-from-home employees have the luxury of choosing where they work geographically — though they may still be required to work hours that align with their employer’s time zone.

Compared with a traditional office job, working from home can take some getting used to, but many employees feel that it’s worth it.

Recommended: Free Credit Score Monitoring

Examples of Remote Work Benefits for Employees

The benefits of working from home for employees are far ranging and vary by role and company. The examples below help explain why remote work is appealing to many office workers.

Saving Money

People who work from home save money on things like lunches out and an office wardrobe. Employees who can prepare meals in their own kitchen are less likely to rely on takeout. Similarly, employees save money without a commute, whether that means reduced trips to the gas station or fewer public transit passes.

Setting up a home office can involve new expenses, but if workers are smart about managing their work-from-home budget, they usually come out ahead.

A spending app can quickly show you how much money you’d save by working from home.

Recommended: Does Net Worth Include Home Equity?

Saving Time

Office distractions can challenge productivity. Working from home can have its share of distractions as well — including chores, children, and pets. (Some parents with flexible work-from-home jobs may long for their relatively peaceful days in the office.) But for the most part, employees tend to be more productive when they work from home.

At home, you’re unlikely to fall into conversations on a journey from your desk to the bathroom, and less likely to be interrupted when you’re focused on a task.

Recommended: Best Self-Employed Jobs for Parents

Saving Sanity

While stress can be harder to quantify, employees who work from home may feel less frazzled during the workday. This can be attributed to everything from setting up an optimal home office to avoiding a stressful commute.

Reducing workplace stressors can benefit productivity, job satisfaction, and employee engagement.

Recommended: 31 Part-Time Remote Jobs with Flexible Hours

What Are the Benefits of Remote Work for Employers?

At first glance, it may feel like remote work is largely more beneficial to the employee than the employer. However, that’s not necessarily the case. The employer benefits are motivating many companies to prepare for a more remote workforce.

•   Lower operational costs. Employers save money when they’re not leasing and maintaining an office space. They may also be able to save on things like office equipment and employee benefits.

•   Flexible budgets. When a company can hire from anywhere across the country or globe, it may be able to acquire talent at a more affordable rate.

•   Higher productivity. Productive employees lead to a better bottom line for employers.

•   Less absenteeism. When everyone is working remotely, there’s less likelihood of an office bug that sends half the employees home, reducing sick days.

•   Higher retention. Employees who are happy with the remote office policies are more likely to stay with the company. Improved retention rates can save a company significant resources over the long run.

Recommended: Should I Sell My House Now or Wait?

Examples of Remote Work Benefits for Employers

Employees have more autonomy in a remote culture, but worker satisfaction ultimately benefits employers as well.

Better for the Bottom Line

When a team is fully remote, a company saves money and resources on office space, utilities, maintenance, furniture, and benefits like catered lunches and new equipment.

Remote work also frees office managers and similar roles to focus on things like company culture and worker satisfaction instead of sourcing new carpets and real estate.

Better for the Talent Pool

When geography isn’t an issue, employers can access a much wider talent pool. If a company seeks highly specific roles or qualifications, a national or even international search can yield much better applicants than one limited to a single area.

Remote work can broaden the talent pool in another way. Many qualified candidates cannot spend long hours in an office on a regular basis, either because they have a physical disability or they care for a child or aging parent who needs supervision. Also, retirees who want to bring in some additional income may feel more comfortable in a work-from-home job.

Better for Boosting Satisfaction

Satisfaction may be less noticeable than savings on rent or getting better applicants for an open job. Still, when employees are happy in their roles, it generally leads to less turnover, higher productivity, and a more positive work environment.

When teams are engaged and happy, they’ll do better work, saving the company time and money. Plus, less time is wasted on hiring and training new employees, so employers can focus on growth and building a stronger company culture.

How to Find Remote Job Opportunities

If the benefits of remote work make it sound like a good fit for you, here are some ways to “try before you buy.”

•   Consider getting a second job you can do at home after hours.

•   Negotiate with your current company to work from home one day a week for a set period — for instance, Fridays during the summer.

•   Reach out to friends who work from home for their take on what it’s really like (and maybe a referral!).

•   Not all work-from-home jobs are tied to a corporate office. Start your own business inspired by your skills and passions.

The Takeaway

With remote work becoming more common, it’s worth learning about the benefits for employers and employees. Working from home can reduce stress, boost productivity, and even save employees money. For employers, remote work can help their bottom line by reducing office costs and increasing employee retention.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

FAQ

What are the benefits of working from home for employees?

Most of the benefits of working from home for employees have to do with autonomy. Work-from-home employees get to choose where they work, how they work, when they work, and even their dress code.

What are five advantages of working from home?

Five advantages of working from home include workday flexibility, saving time and money, higher productivity, location flexibility, and setting your own hours.

What is the biggest advantage of working from home?

For most employees, the two biggest advantages of working from home are saving time and money. Employees save time by not commuting to and from work or chatting with coworkers. Similarly, they’ll probably save money in the long run by avoiding lunches out and spending less on workplace attire.

Photo credit: iStock/miniseries

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

*Terms and conditions apply. This offer is only available to new SoFi users without existing SoFi accounts. It is non-transferable. One offer per person. To receive the rewards points offer, you must successfully complete setting up Credit Score Monitoring. Rewards points may only be redeemed towards active SoFi accounts, such as your SoFi Checking or Savings account, subject to program terms that may be found here: SoFi Member Rewards Terms and Conditions. SoFi reserves the right to modify or discontinue this offer at any time without notice.

SORL-Q125-030

When setting income goals, some people use a six-figure salary as a benchmark, which runs from $100,000 and $999,999 per year. Here, learn more about what this salary means, how to earn that level of income, and more important intel.

How Much Is a Six-Figure Salary?

“Six figures” simply refers to a number with six digits. Typically used with money, the term covers amounts from $100,000 to $999,999. (Once you hit 1 million, you’re in seven-figure territory.) Someone with a six-figure salary makes at least $100K.

How to Make Six Figures

There is no one right way to earn six figures. That said, there are strategies that can better position you for this level of income. Getting a good education, while not absolutely necessary, is a solid foundation for the kinds of jobs that pay in the six-figure range. Another path is to start your own business.

The Bureau of Labor Statistics (BLS) lists 170 occupations with typical annual salaries of at least $100,000. The degrees required for these jobs range from a high school diploma to a doctoral degree.

It’s important to recognize that certain careers just pay more than others. Once you’ve chosen a high paying field, you can determine the type of education and training you’ll need to pursue.

You’ll also want to learn how to manage and grow your money. A good place to start is by tracking your expenses and savings with a free spending app.

Average Age to Make Six Figures in the US

According to the U.S Census Bureau’s most recent data, about 22% of households earn between $100,000 and $149,000. Another 11.5% earn between $150,000 and $199,000. And 13% earn $200,000 or more. Note that this is household income, not individual. Compare those figures to the national average salary of $66,622.

Some workers begin earning six figures in their twenties and thirties. Economists nickname them HENRYs, for “high earners, not rich yet.” But for most people, their “peak earning years” are from age 35 to 64.

Keep in mind that annual income says nothing about someone’s financial health. An individual making $50K who manages their money well can be in a better place financially than someone making six figures.

Recommended: What Is a Good Entry-Level Salary?

Examples of Jobs That Pay Six Figures

A look at the highest paying jobs by state offers insight into these types of careers. All these jobs make at least $200,000, and all but one are in the medical field. Texas is an outlier. There, chief executives, the highest paying job in the Lone Star State, earn $239,060 on average.

Other types of jobs that can pay a six-figure salary include airline pilots ($219,140), IT managers ($169,510), and lawyers ($145,760). It’s probably fair to say that, in any industry, there are successful bosses who make six figures.

What Does a Six-Figure Salary Get You?

What a six-figure salary will get you depends on several other factors. A big one is the cost of living in your area. This is how much you spend on housing, transportation, food, and other necessities. When someone lives in a place with a high cost of living, they will typically have less disposable income and less to put into savings than someone who lives in a low cost-of-living location. This can be true even if both are making competitive salaries.

Another factor is household size. For a single person living in California, a six figure salary might be more than enough. However, a family of four living in the same area could be just scraping by.

Recommended: How to Counter a Salary Offer

Do You Need a Six-Figure Salary to Build Wealth?

While a six-figure salary may be considered good, you don’t necessarily need to earn that much to build wealth.

That said, you need to have a reasonable income to live on. For example, a $20,000 salary typically isn’t enough for a household to meet basic expenses. Consider rent: The 30% rule recommends spending no more than $6,000 on rent per year (that’s 30% of $20K), which works out to $500 a month. The average rent nationwide is now $1,750, more than three times what you could afford on a $20,000 salary.

What about a $40,000 salary? This may be enough for a single person in some areas, but probably not for a family. And while an individual could afford basic necessities, they may not have much left for building wealth — that is, saving and investing.

Another factor is existing debt. If you are paying down high-interest credit card balances, it can be hard to also put money toward savings.

The income needed to build wealth then is an amount that covers the cost of living in your location, allows you to pay off any debt, and provides enough extra to set aside money for an emergency fund, retirement, and investing.

How to Build Wealth Without Earning a Six Figure Salary

As we mentioned above, the steps to building wealth are the same for any salary. First, pay off your debt, especially high-interest credit cards and loans. Money going to interest is money that could be going into your savings or investments.

Second, look for ways to cut back on spending: cooking at home instead of going to costly restaurants, closing fee-based apps that you don’t really need, and so on.

Finally, save and invest the money that isn’t going to credit card debt or other nice-to-have but not necessary expenses.

Recommended: The 52 Week Savings Challenge

The Takeaway

A six-figure salary, meaning one between $100,000 and $999,999, is a benchmark for many people who want to meet financial goals. Having a good education is usually helpful but not always necessary, and certain jobs are more likely to come with six-figure salaries. Having a good salary is helpful when building wealth, but the same strategies can be utilized on a five-figure salary. Tracking your spending and automating your savings are two good first steps.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

FAQ

Is a six-figure salary good?

In most places in the United States, $100,000 is a good salary, covering the needs of an individual or small family, while building savings.

What does a six-figure salary mean?

This is a salary that contains six digits: from $100,000 to $999,999.

What is an-eight figure salary?

This is a salary amount consisting of eight digits: from $10 million annually to $99 million.

Photo credit: iStock/Renata Angerami

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

*Terms and conditions apply. This offer is only available to new SoFi users without existing SoFi accounts. It is non-transferable. One offer per person. To receive the rewards points offer, you must successfully complete setting up Credit Score Monitoring. Rewards points may only be redeemed towards active SoFi accounts, such as your SoFi Checking or Savings account, subject to program terms that may be found here: SoFi Member Rewards Terms and Conditions. SoFi reserves the right to modify or discontinue this offer at any time without notice.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

This content is provided for informational and educational purposes only and should not be construed as financial advice.


Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Third Party Trademarks: Certified Financial Planner Board of Standards Inc. (CFP Board) owns the certification marks CFP®, CERTIFIED FINANCIAL PLANNER®, CFP® (with plaque design), and CFP® (with flame design) in the U.S., which it awards to individuals who successfully complete CFP Board's initial and ongoing certification requirements.

SORL-Q125-027

Age plays a major role in how much money people make. This is simply because as you get older, you gain career experience and bring more value to companies. Income tends to peak at ages 35-44. But when are a worker’s “peak earning years,” and what happens after they’re past that period?

Keep reading for insight into the average income by age in the United States.

Average Salary by Age in the US

Your education, industry, work experience, negotiation skills, and plain luck can all influence how much money you make. To get an idea of whether you’re earning a competitive salary, it can be helpful to know how much other people in the same age group are making.

Here’s a closer look at the average income by age in the U.S. at the end of 2024, according to the Bureau of Labor Statistics.

Average Salary for Ages 16-19

The early days of your working life usually aren’t the most lucrative: 16 to 19 year-olds who work full-time make $679 a week or $35,308 a year on average.

Average Salary for Ages 20-24

Salaries start to rise as workers gain experience. Those in the 20 to 24 age group make an average of $784 a week or an annual salary of $40,768.

This is when many financially savvy professionals start building their 401(k) balance. That’s because the earlier you invest for retirement, the less money you’ll typically have to invest over time. Or, as the saying goes, your time in the market is more important than marketing timing.

Recommended: Average Savings by Age

Average Salary for Ages 25-34

Salaries begin to jump up once workers reach the 25 to 34 age group, with the average weekly pay being $1,136 or an annual income of $59,072.

Ideally, employees will put much of their raises and bonuses toward savings rather than impulse spending.

Average Salary for Ages 35-44

For 35 to 44 year olds, annual salaries are still growing: The average weekly pay is $1,356 or $70,512 per year on average. This is the beginning of what’s commonly referred to as “peak earning years.”

Average Salary for Ages 45-54

While many employees enjoy higher wages into their 50s, others find their salary stagnating. Overall, workers in the 45 to 54 age group actually see salaries drop a little, with a weekly pay of $1,336 on average. The average annual income in middle age is $69,472.

Recommended: Financial Tips for People in Their 40s

Average Salary for Ages 55-64

Salaries drop further for workers between 55 and 64, whose average weekly salary is $1,268 for an annual salary of $65,936. What happened to paying for experience? Some companies may believe they can pay younger employees less for the same work, and see older workers as overpaid. As a result, 55+ workers are no longer offered the same retention incentives — such as pay raises — regardless of performance.

On the other hand, professionals who are satisfied with their retirement savings may choose to work less or retire early instead of waiting until the average retirement age.

Average Salary for Ages 65 and Older

Once workers reach 65, they are likely shifting to part-time work to stay active during retirement and to earn a little extra retirement income. Some people need more retirement income than others, and Social Security benefits and savings aren’t always enough. Which may be why we see salaries drop to an average of $1,159 for an annual salary of $60,268 per year for those 65 or older.

Tips for Maximizing Your Salary

Now that we’ve shed some light on the average income by age in the U.S., let’s address some ways workers can maximize their salary. That can mean finding ways to hold on to what you’re earning or to make it grow.

Create a Budget

If you’ve ever created a spending budget, you know how shocking it can be to see all the ways we fritter away our hard-earned salary on unnecessary purchases. By cutting back on items you don’t really need — from bottled water to forgotten subscriptions — you’ll free up more cash for things like saving and investing.

Pay Down Debt

What’s even more shocking than the amount you spend on little things like daily snacks and late-night Ubers? The interest charges and fees that come with debt. The faster you pay off high-interest credit cards, the more you can put toward longer-term goals: an emergency fund, travel, or buying a home.

Make Saving Automatic

One easy way to make saving and investing a priority is to automate it: Set up regular, recurring transfers from your paycheck or checking account. That way, big goals like a dream wedding and retirement are prioritized before there’s even a chance to spend that money.

Take Advantage of Tax Deductions and Credits

Taxes may be an unavoidable part of life, but there are ways to pay less to Uncle Sam. Whether you hire a tax accountant or use software to file your return, look for opportunities to snag a larger tax refund.

Make Retirement Contributions

Contributing to a retirement savings account is a convenient way to save and invest in one fell swoop. As an added benefit, some employers match a portion of employee contributions. That means if someone isn’t contributing to their employer sponsored 401(k) plan, they’re leaving free money on the table. that helps expand an employee’s net worth.

Recommended: Investing 101 Guide

Open a High-Yield Savings Account

A low-risk way to earn money on savings is by opening a high-yield savings account. This type of savings account tends to offer a higher interest rate than normal savings accounts.

The Takeaway

The average income by age in the U.S. tends to rise as workers gain more experience. Eventually salaries plateau and then drop off. Your peak earning years coincide with middle age, meaning you make the most you ever will in your 40s and 50s. The average salary in the U.S. tops out at $ $70,512 for ages 35-44.

Take control of your finances with SoFi. With our financial insights and credit score monitoring tools, you can view all of your accounts in one convenient dashboard. From there, you can see your various balances, spending breakdowns, and credit score. Plus you can easily set up budgets and discover valuable financial insights — all at no cost.

FAQ

What does the average 30 year old make?

On a weekly basis the average 30 to 34 year old makes $1,136 per week or an annual income of $59,072. Workers ages 35 to 44 can expect to earn more: The average weekly pay is $1,356 or $70,512 per year on average.

What percentage of Americans earns over $100,000 a year?

Estimates vary about how many Americans earn over $100,000 per year. Some studies say about 18% of the population earns that much; others say almost 40% do.

What salary is middle class?

The salary that places you in the middle class varies depending on where you live and the cost of living there. According to one Pew Research study, the median middle-class household (not individual) makes $106,100. However, if you can afford to pay your bills and have money left over for savings and modest indulgences, you’re likely middle class.

About the author

Jacqueline DeMarco

Jacqueline DeMarco is a freelance writer who specializes in financial topics. Her first job out of college was in the financial industry, and it was there she gained a passion for helping others understand tricky financial topics. Read full bio.

SoFi Relay offers users the ability to connect both SoFi accounts and external accounts using Plaid, Inc.’s service. When you use the service to connect an account, you authorize SoFi to obtain account information from any external accounts as set forth in SoFi’s Terms of Use. Based on your consent SoFi will also automatically provide some financial data received from the credit bureau for your visibility, without the need of you connecting additional accounts. SoFi assumes no responsibility for the timeliness, accuracy, deletion, non-delivery or failure to store any user data, loss of user data, communications, or personalization settings. You shall confirm the accuracy of Plaid data through sources independent of SoFi. The credit score is a VantageScore® based on TransUnion® (the “Processing Agent”) data.

*Terms and conditions apply. This offer is only available to new SoFi users without existing SoFi accounts. It is non-transferable. One offer per person. To receive the rewards points offer, you must successfully complete setting up Credit Score Monitoring. Rewards points may only be redeemed towards active SoFi accounts, such as your SoFi Checking or Savings account, subject to program terms that may be found here: SoFi Member Rewards Terms and Conditions. SoFi reserves the right to modify or discontinue this offer at any time without notice.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

This content is provided for informational and educational purposes only and should not be construed as financial advice.


Tax Information: This article provides general background information only and is not intended to serve as legal or tax advice or as a substitute for legal counsel. You should consult your own attorney and/or tax advisor if you have a question requiring legal or tax advice.


Third-Party Brand Mentions: No brands, products, or companies mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third-party trademarks referenced herein are property of their respective owners.

Third Party Trademarks: Certified Financial Planner Board of Standards Inc. (CFP Board) owns the certification marks CFP®, CERTIFIED FINANCIAL PLANNER®, CFP® (with plaque design), and CFP® (with flame design) in the U.S., which it awards to individuals who successfully complete CFP Board's initial and ongoing certification requirements.

SORL-Q125-029

Health-care jobs are projected to grow faster than average for all occupations through 2033, resulting in about 1.9 million openings each year, according to the Bureau of Labor Statistics. If heath care is a field you’re interested in, two positions to consider that are expected to see substantial employment growth are nurse practitioner (NP) and physician assistant (PA).

NPs and PAs are advanced practitioners with similar job responsibilities but also some key differences. If you’re trying to decide between the two, read on to learn what you need to know about the difference between a PA vs NP.

Physician Assistant vs Nurse Practitioner: Key Similarities and Differences

PAs and NPs are both important health-care professionals. They work in similar settings, including hospitals, clinics, and physicians’ offices. Here’s how the two specialties are alike and how they differ.

What Is a Physician Assistant?

A physician assistant is a licensed medical professional with an advanced degree who provides direct patient care in primary-care settings, performing many of the same jobs a physician does. This includes doing medical exams, diagnosing conditions, prescribing medication, and treating illnesses. PAs work in collaboration with a supervising physician as determined by state law.

A PA’s education is in general medicine, and their training is disease-centered and similar to that of a physician.

Recommended: Budgeting as a New Doctor

What Is a Nurse Practitioner?

Nurse practitioners are registered nurses (RNs) with advanced education and training for patient care. They typically choose a primary specialty before they enter their graduate program.

NPs provide comprehensive health care and can examine patients, diagnose conditions, prescribe medication, and treat illnesses. In approximately 28 states, NPs can practice without a doctor’s supervision.

Physician Assistant vs. Nurse Practitioner: Key Responsibilities

One of the major differences between an NP and PA is their approach to health care, which is based on different medical models. PAs focus on disease treatment, while NPs focus on patient treatment. So while many of their responsibilities may be similar, the context in which they perform them is not.

The duties of NPs revolve around the patient and include:

•   Recording health histories

•   Conducting physical exams

•   Diagnosing and treating health problems

•   Interpreting lab results and X-rays

•   Prescribing medications and therapies

•   Referring patients to other health professionals if needed

•   Patient education

By comparison, PAs take a biology-based approach to diagnose and treat diseases. They perform such duties as:

•   Doing hospital rounds

•   Performing patient exams

•   Diagnosing illnesses

•   Assisting with surgeries

•   Ordering and interpreting lab tests and X-rays

•   Prescribing medications

•   Developing and managing treatment plans

•   Advising patients on preventative care and treatments

Recommended: Budgeting as a New Nurse

What Is a Nurse Practitioner’s Scope of Practice?

NPs choose a primary specialty, concentrating on a specific patient population. They can specialize in such areas as acute care, family care, neonatal, pediatric, oncology, gerontology, and women’s health.

As mentioned, in 28 states, NPs can treat patients and prescribe medications without a physician’s supervision.

What Is a Physician Assistant’s Scope of Practice?

PAs typically collaborate with supervising physicians as determined by state law. They are trained as generalists, meaning they can practice in almost any medical field. Many PAs have a variety of specialties and sub-specialties, which might include emergency medicine, internal medicine, radiology, pediatrics, surgery, and orthopedics.

Nurse Practitioner vs. Physician Assistant: Education and Certification

PAs and NPs must earn advanced degrees and become licensed and certified. Here’s what’s required for each role.

How to Become a Nurse Practitioner

It typically takes six to eight years to become an NP, including undergraduate and graduate school. The first step is to become an RN by earning a bachelor of science in nursing (BSN) degree. After that, a student can choose to pursue a master of science in nursing (MSN), which usually takes two years to complete, or a doctor of nursing practice (DNP), which typically takes four years to complete.

After earning an MSN or DNP, an NP must receive accreditation from a certification board, such as the American Academy of Nurse Practitioners (AANP-CP), which confirms that their coursework and clinical training meets the licensure board’s requirements. They then get licensed.

How to Become a Physician Assistant

It takes about six to eight years to become a PA. First, an aspiring PA must earn a bachelor’s degree with an emphasis on science. Then they must complete a PA program accredited by the Accreditation Review Commission on Education for the Physician Assistant (ARC-PA), which involves classes and clinical rotations. Students graduate with a master’s in PA studies.

Finally, a PA needs to take the Physician Assistant National Certifying Exam (PANCE), and get licensed in the state(s) where they wish to practice.

Nurse Practitioner and Physician Assistant Specializations

As noted, NPs specialize in certain practice areas, while PAs have a more general medical education.

Types of Nurse Practitioners

There are many different types of NPs with different specializations. Some types of NP you may want to consider include:

•   Family nurse practitioner (FNP): FNPs specialize in family medicine and work with people of all ages. They perform physical exams and health screenings, monitor patients, and develop treatment plans. They also provide continuing education and support.

•   Pediatric nurse practitioner (PNP): PNPs work with children and conduct physical exams, health screenings, and diagnosis and treatment. They may work in private practice, public health centers, pediatric ICUs, emergency departments, and specialty-based clinics.

•   Adult-gerontology nurse practitioner (AGNP): AGNPs work with patients ranging in age from adolescence to the elderly, offering continuing comprehensive care for a broad spectrum of needs. They may work in private practice, hospital settings, nursing homes, or in the homes of patients.

•   Psychiatric nurse practitioner (PMHNP): These mental health professionals treat mental illnesses, disorders, and substance abuse problems. They may work in private psychiatric practices, schools, and community mental health centers.

•   Neonatal nurse practitioner (NNP): NNPs work with premature and sick infants and babies with birth defects and other health conditions. They often work in neonatal ICUs.

•   Women’s health nurse practitioner (WHNP): NPs who work in women’s health advise women on reproductive and sexual health and treat reproductive system disorders. They may work in fertility clinics, hospitals, or private practices.

Types of Physician Assistants

PAs work in primary care or in specialty and subspecialty roles. Those in primary care positions may work in family medicine, internal medicine, or pediatrics, for instance.

If they specialize in internal medicine, the subspecialties they could focus on include:

•   Cardiology

•   Critical care

•   Endocrinology

•   Gastroenterology

•   Hematology and oncology

•   Infectious disease

•   Nephrology

•   Neurology

•   Pulmonology

•   Rheumatology

There are also surgical subspecialties a PA might choose, such as:

•   Cardiovascular or cardiothoracic surgery

•   Bariatric surgery

•   General surgery

•   Neurosurgery

•   Oncology surgery

•   Orthopedic surgery

•   Pediatric surgery

•   Plastic surgery

•   Transplant surgery

•   Trauma surgery

Other specialties a PA might pursue include: allergy and immunology, dermatology, geriatrics, obstetrics and gynecology, pain management, emergency medicine, psychiatry, and radiology.

Nurse Practitioner vs. Physician Assistant: Salary and Career Outlooks

As you’re deciding between nurse practitioner vs physician assistant, it’s important to consider the career and salary opportunities for each.

Average Annual Salary

PAs and NPs earn similar salaries, with PAs making slightly more. However, employment for NPs is projected to be higher than that of PAs.

Nurse Practitioner Salary and Career Outlook

When it comes to salary opportunities as a nurse, the median annual salary for an NP in 2023 was $129,480 per year, or $62.25 per hour. The overall employment for nurse practitioners is projected to grow 40% between 2023 and 2033.

About 31,900 NP openings are projected on average for each year over the next decade.

Physician Assistant Salary and Career Outlook

The median annual salary for a PA was $130,020 in 2023, and the overall employment for these medical professionals is expected to grow 28% from 2023 to 2033.

Approximately 12,900 openings for PAs are projected on average each year over the next 10 years.

Nurse Practitioner vs. Physician Assistant: Which Career Is Right For Me?

PAs and NPs are equally important roles in the health-care system. They make similar salaries and the employment outlook for each is strong.

As you debate which career is the best fit for you, think about your interests and goals. If you are drawn to the patient-centered model of care, an NP might be the right choice for you. If you prefer a disease-centered model, a PA could be the job you’re looking for.

In addition, consider the cost of college for each. An NP may spend as much as $78,820 on their education. In contrast, a PA might spend up to $95,165.

Whether you decide to pursue a NP or PA degree, there are a variety of funding options to help you pay for school, including federal student loans, scholarships and grants, and private student loans.

In addition, there are ways to make paying your student loans more affordable or manageable, including income-driven repayment (IDR) plans for federal student loans, loan repayment assistance programs offered by states and organizations, and student loan refinancing.

By refinancing student loans, you replace your current loans with a new loan from a private lender that ideally will have a lower interest rate and more favorable loan terms.

If you can secure a lower interest rate, refinancing student loans to save money may make sense for you to help pay for schooling to become an NP or PA. Just be aware that refinancing federal student loans makes them ineligible for federal benefits like income-driven repayment.

Using a student loan refinancing calculator can help you see what your monthly payment might be if you choose to refinance.

If you need more information, our student loan refinancing guide can give you additional details about the process and whether it’s right for you.

The Takeaway

Nursing practitioner and physician assistant are both rewarding careers in the medical field. The main difference between the two is their approach to health care. An NP’s approach is patient-centered, while a PA’s is disease-centered. Think carefully about which role offers the best career path — and the most rewarding type of work — for you.

And while schooling to become a PA or an NP can be expensive, remember that there are a multitude of ways to help pay for it including federal and private student loans.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

FAQs

Who goes to school longer, a PA or a nurse practitioner?

It takes about the same amount of time to become an NP and a PA — approximately six to eight years, including graduate school. However, to become an NP, some universities require at least one year of experience as an RN before a student can pursue their master of science in nursing.

Is it harder to become a nurse practitioner or a PA?

The schooling and experience necessary to become both a nurse practitioner and a PA is challenging. Which one is more difficult for you depends on your unique skills and strengths. If you’re good at patient care, an NP might be a better fit for you. If you’re drawn to a more traditional medical school approach, you may find that it makes sense for you to become a PA.

Is a nurse practitioner higher than a PA?

As licensed health-care professionals who play important roles in medical care, neither a nurse practitioner nor physician assistant is higher than the other. One thing to keep in mind, however, is that NPs can work independently in many states, while PAs work in collaboration with a physician.

Photo credit: iStock/SDI Productions

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