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Funds Flow in Academic Neurology Departments

Research output: Contribution to journalArticlepeer-review

Abstract

The term funds flow refers to the financial relationships between the schools or colleges of medicine and its parent university, the hospital/health system, and clinical departments. Funds flow arrangements vary greatly among organizations based on the relationships between these entities, their financial status, levels of extramural research support, and size of endowments and philanthropic activities. We review four general funds flow models: the Make Whole Model, the Pay for Production Model, the Value-Based Model, and the Contribution Margin Model. We also discuss issues that can affect how these models operate and the reasons they differ depending on organizational structures and financial postures.

Original languageEnglish
Pages (from-to)512-518
Number of pages7
JournalSeminars in Neurology
Volume45
Issue number4
DOIs
StatePublished - Jul 23 2025

Bibliographical note

Publisher Copyright:
© 2025. Thieme. All rights reserved.

Funding

The proportion of faculty salary covered by NIH grants is capped, and any faculty compensation over the cap for a given amount of research effort needs to be supported by the department, the parent institution, or a combination of the two. In addition, faculty and trainees often engage in various unfunded research programs. It has been estimated that 10 to 15% of research costs are covered by the academic institution, also through complicated schemes.

Funders
National Institutes of Health (NIH)

    Keywords

    • all education
    • medical care
    • medical economics
    • medical education

    ASJC Scopus subject areas

    • Neurology
    • Clinical Neurology

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