Dermatology remains one of the most lucrative and rewarding medical specialties in the U.S. With the demand for dermatologic care increasing, and a wide range of sub-specialties to choose from, dermatologists can earn impressive salaries while maintaining a healthy work-life balance. 

Whether you’re a medical student evaluating future career paths or a physician considering a switch to dermatology, understanding the earning potential in different states and subfields is essential. Let’s explore dermatology salary by state, income by career stage and specialty, job outlook and which locations offer the best opportunities for dermatologists today.

If you’re considering a move into this dynamic field, check out the PracticeLink job board and our comprehensive articles on dermatology jobs to explore open opportunities, training pathways and career insights.

How much do entry level dermatologists make in the US?

When starting out, dermatologists can initially command high salaries compared to many other medical specialties. The entry level dermatologist salary in the U.S. typically ranges from $180,000 to $250,000 annually, depending on location, employer type and whether the position is in a private practice, hospital or academic setting.

In general, new dermatologists working in rural areas or underserved regions may earn more in base compensation due to physician shortages. Additionally, entry-level salaries can be enhanced with signing bonuses, relocation packages and loan repayment incentives offered by employers eager to attract new talent.

Some key entry-level salary figures by setting include:

  • Private practice: $220,000 – $250,000
  • Hospitals/health systems: $190,000 – $240,000
  • Academic institutions: $180,000 – $210,000

As new dermatologists gain experience, establish a patient base or pursue a subspecialty, their income potential can increase greatly —especially in areas with higher demand for dermatologic services.

What type of dermatology makes the most money?

Among the different subspecialties, cosmetic dermatology is by far the most lucrative. Cosmetic dermatologists focus on elective procedures that are typically not covered by insurance, such as Botox injections, fillers, laser treatments, microneedling and non-invasive body contouring. These procedures are high-margin services with growing consumer demand.

On average cosmetic dermatologist salary can exceed $500,000 per year, especially for those who operate successful private practices in affluent urban areas. Some experienced cosmetic dermatologists with a loyal patient base and a reputation for excellence can earn over $750,000 annually.

Other high-earning dermatology subspecialties include:

  • Mohs surgery: $450,000 – $600,000
  • Dermatopathology: $350,000 – $500,000
  • Pediatric dermatology: $250,000 – $400,000

While medical dermatologists earn slightly less than their cosmetic counterparts, they also enjoy the stability of treating skin conditions like acne, eczema and psoriasis, and often have the satisfaction of building long-term patient relationships.

What state do dermatologists make the most?

Salaries can vary widely by state due to differences in demand, cost of living and availability of dermatologic services. So, what does dermatology salary by state look like?

Here are the top five highest-paying states for dermatologists based on recent industry reports:

StateAverage Salary
Wisconsin$450,000+
Indiana$430,000+
Missouri$425,000+
Georgia$420,000+
Nevada$415,000+

It’s worth noting, many of the highest-paying states are in the Midwest and South, where competition among dermatologists is lower and demand for care is high.

Factors contributing to these salary differences can include:

  • Lower density of dermatologists per capita
  • Greater need for rural healthcare access
  • Incentives and bonuses to attract specialists to underserved regions

In contrast, states with high dermatologist density like California, New York and Massachusetts may offer lower base salaries but compensate with a higher patient volume, brand recognition or opportunities for cosmetic work.

How much is a dermatologist paid in the USA?

So how much is a dermatologist salary in the U.S., on average?

According to Medscape’s latest Dermatologist Compensation Report, the average dermatologist salary in the U.S. is approximately $438,000 per year, ranking among the top five highest-paying physician specialties.

Key factors affecting dermatologist compensation include:

  • Years of experience: Mid-career and senior dermatologists often earn over $500,000.
  • Practice setting: Those in private practice typically earn more than hospital-employed physicians.
  • Sub specialization: Cosmetic, surgical and dermatopathology subspecialists earn more than generalists.
  • Geographic region: As previously noted, rural and underserved states often offer higher pay to attract talent.

In addition to salary, dermatologists often receive bonuses, profit-sharing, equity in practices and other non-salary benefits that increase total compensation significantly.

Where is there a high demand for dermatologists?

The dermatologist job outlook is exceptionally strong, with the U.S. Bureau of Labor Statistics projecting steady growth in dermatology roles through 2032. Demand is driven by several factors:

  • Aging population: Older adults require more frequent skin cancer screenings and dermatologic care.
  • Increased awareness: Public understanding of skin health has grown, increasing demand for both medical and cosmetic dermatology.
  • Shortage of providers: Many regions still have few dermatologists relative to population needs.

High-demand areas include:

  • Rural and Midwestern states such as Iowa, Nebraska and Kansas
  • Sunbelt regions where UV exposure increases risk of skin cancer (e.g., Arizona, Florida)
  • Growing metro areas where population growth is outpacing healthcare access

For dermatologists seeking high-impact roles with strong compensation, relocating to underserved regions can be a strategic career move.

Where is the best place to work as a dermatologist?

While salary is a major consideration, many dermatologists also consider work-life balance, job satisfaction and career growth when evaluating opportunities. So, where is the best place to work as a dermatologist?

Key factors that make a location ideal include:

  • Supportive employer culture: Academic centers and large practices often provide more mentorship and training resources.
  • Flexible scheduling: Many dermatology roles offer 4-day workweeks or part-time options.
  • Career development: Larger institutions may offer research, teaching or leadership opportunities.
  • Patient population: Areas with diverse populations can be more professionally rewarding.

To access these benefits, it’s essential to understand how to become a dermatologist and pursue opportunities that align with your goals. After completing medical school, future dermatologists must match into a competitive dermatology residency and may later pursue fellowship training in a subspecialty.

Where is the best place to live as a dermatologist?

When evaluating lifestyle, cost of living and professional opportunities together, some locations stand out as the best places to live as a dermatologist.

Ideal areas combine high compensation with affordability and quality of life. Some examples include:

  • Texas: No state income tax, high salary potential and a growing patient population.
  • North Carolina: Booming healthcare sector, moderate cost of living and strong academic institutions.
  • Colorado: High demand for dermatology due to sun exposure, outdoor lifestyle and excellent quality of life.
  • Florida: Large aging population increases need for dermatologic care, and coastal living is a perk.

When planning your future in dermatology, don’t forget to factor in dermatology school requirements and the investment needed to reach your goals. These include:

  • 4 years of undergraduate education
  • 4 years of medical school
  • 1 year of internship
  • 3 years of dermatology residency
  • Optional fellowship for subspecialties

The effort pays off in the long term, with many dermatologists earning top-tier salaries and enjoying high job satisfaction in the states where they live and work.

Which state is best for dermatologists?

So, when all factors—salary, demand, lifestyle and career potential—are considered, which state is best for dermatologists?

Some top contenders for the best states for dermatology include:

  • Wisconsin: Highest reported average salaries and strong demand.
  • Texas: High patient volume, no state income tax and diverse population.
  • Georgia: High pay and opportunity in both rural and urban settings.
  • Florida: Aging population, high demand for cosmetic and medical dermatology.
  • North Carolina: Strong healthcare infrastructure and balanced lifestyle.

Ultimately, the best state will depend on individual preferences, subspecialty focus, and personal goals. Some dermatologists prioritize income, others lifestyle and many seek a blend of both.

Dermatology continues to be one of the most appealing medical specialties thanks to its high earning potential, work-life balance and the variety of subspecialties available. 

Whether you’re a recent graduate or an experienced physician considering relocation, understanding dermatology salary by state can help you make informed career decisions.

If you’re considering a career in this vital specialty, explore other articles on dermatology jobs and dermatology career paths in the PracticeLink Resource Center.