In 2023, the United States had the highest per capita health expenditure among OECD countries. At that time, per capita health expenditure in the U.S. amounted over ****** U.S. dollars, significantly higher than in Switzerland, the country with the second-highest per capita health expenditure. Norway, Germany and Austria are also within the top five countries with the highest per capita health expenditure. The United States also spent the highest share of it’s gross domestic product on health care, with **** percent of its GDP spent on health care services. Health Expenditure in the U.S. The United States is the highest spending country worldwide when it comes to health care. In 2022, total health expenditure in the U.S. exceeded **** trillion dollars. Expenditure as a percentage of GDP is projected to increase to approximately ** percent by the year 2031. Distribution of Health Expenditure in the U.S. Health expenditure in the United States is spread out across multiple categories such as nursing home facilities, home health care, and prescription drugs. As of 2022, the majority of health expenditure in the United States was spent on hospital care, accounting for a bit less than *** third of all health spending. Hospital care was followed by spending on physician and clinical services which accounted for ** percent of overall health expenditure.

Per capita national health expenditures in the United States have increased significantly since 1960. In 2023, national health expenditures amounted to **** thousand U.S. dollars per capita. For comparison, in 1960, per capital expenditures for health stood at *** U.S. dollars. According to recent data, the U.S. has some of the highest health care costs in the world. Health care expenditures With increased per capita health expenditures, U.S. health care expenditures as a percentage of the gross domestic product (GDP) have also increased over the decades. Among developed countries, the U.S. has the highest health expenditure as a proportion of the GDP. The high level of health costs in the U.S. may be attributable to high costs for prescribed drugs and health services as well as high administrative costs. Cost areas A large proportion of all health care spending in the U.S. is attributable to hospital care and physician and clinical services. In recent years, many sectors have seen an increase in health care spending. However, data suggests that prescription drugs have seen some of the most dramatic increases in spending in recent years. The annual prescription drug expenditures in the U.S. reached an all-time high by the end of 2022.

The public and private per capita health expenditure differs significantly by country. As of 2023, the United States had by far the highest public per capita spending worldwide. Moreover, the U.S. had the second-highest private expenditure on health globally just after Switzerland. Health expenditures globally Health expenditures include the consumption of health goods, services and public health programs as well as insurance and government spending. Globally, health expenditures are on the rise. Among all countries the average per capita health expenditure is projected to see an increase of over 30 percent from the 2019 totals by the year 2050. Despite the growing expenditures, there are still countries with relatively low health expenditures. The countries with the lowest governmental health expenditure include South Sudan, Eritrea and Bangladesh. Health expenditures spotlight: the U.S. In 2021 the U.S. national health expenditure was at an all-time high. However, the projections indicate that total health expenditures will increase even more. The per capita health expenditures for the U.S. looked equally grim, with 2021 projected to be the most expensive year for health care on record. Despite having seen a significant increase in the total cost of health care in the U.S., trends indicate that the annual percentage change in health expenditures is decreasing over time.

Among OECD member countries, the United States had the highest percentage of gross domestic product spent on health care as of 2023. The U.S. spent nearly ** percent of its GDP on health care services. Germany, France and Japan followed the U.S. with distinctly smaller percentages. The United States had both significantly higher private and public spending on health compared with other developed countries. Why compare OECD countries?OECD stands for Organization for Economic Co-operation and Development. It is an economic organization consisting of ** members, mostly high-income countries and committed to democratic principles and market economy. This makes OECD statistics more comparable than statistics of developed and undeveloped countries. Health economics is an important matter for the OECD, even more since increasing health costs and an aging population have become an issue for many developed countries. Health costs in the U.S.  A higher GDP share spent on health care does not automatically lead to a better functioning health system. In the case of the U.S., high spending is mainly because of higher costs and prices, not due to higher utilization. For example, physicians’ salaries are much higher in the U.S. than in other comparable countries. A doctor in the U.S. earns almost twice as much as the average physician in Germany. Pharmaceutical spending per capita is also distinctly higher in the United States. Furthermore, the U.S. also spends more on health administrative costs compare to other wealthy countries.

United States US: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data was reported at 0.781 % in 2013. This records a decrease from the previous number of 0.856 % for 2012. United States US: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data is updated yearly, averaging 0.880 % from Dec 1995 (Median) to 2013, with 18 observations. The data reached an all-time high of 1.078 % in 2000 and a record low of 0.724 % in 2008. United States US: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s USA – Table US.World Bank: Poverty. Proportion of population spending more than 25% of household consumption or income on out-of-pocket health care expenditure, expressed as a percentage of a total population of a country; ; Wagstaff et al. Progress on catastrophic health spending: results for 133 countries. A retrospective observational study, Lancet Global Health 2017.; Weighted Average;

The average for 2021 based on 181 countries was 7.21 percent. The highest value was in Afghanistan: 21.83 percent and the lowest value was in Brunei: 2.2 percent. The indicator is available from 2000 to 2022. Below is a chart for all countries where data are available.

The United States has the highest expenditure on health care per capita globally. However, the U.S. has an unique way of paying for their health care where a majority of the expenditure falls upon private insurances. In FY 2024, around one ***** of all health expenditure is paid by private insurance. Public insurance programs Medicare and Medicaid accounted for ** and ** percent, respectively, of health expenditure during that same year. U.S. health care system Globally health spending has been increasing among most countries. However, the U.S. has the highest public and private per capita health expenditure among all countries globally, followed by Switzerland. As of 2020, annual health care costs per capita in the United States totaled to over ** thousand U.S. dollars, a significant amount considering the average U.S. personal income is around ** thousand dollars. Out of pocket costs in the U.S. Aside from overall high health care costs for U.S. residents, the total out-of-pocket costs for health care have been on the rise. In recent years, the average per capita out-of-pocket health care payments have exceeded *** thousand dollars. Physician services, dental services and prescription drugs account for the largest proportion of out-of-pocket expenditures for U.S. residents.

In 2023, U.S. national health expenditure as a share of its gross domestic product (GDP) reached 17.6 percent, this was an increase on the previous year. The United States has the highest health spending based on GDP share among developed countries. Both public and private health spending in the U.S. is much higher than other developed countries. Why the U.S. pays so much moreWhile private health spending in Canada stays at around three percent and in Germany under two percent of the gross domestic product, it is nearly nine percent in the United States. Another reason for high costs can be found in physicians’ salaries, which are much higher in the U.S. than in other wealthy countries. A general practitioner in the U.S. earns nearly twice as much as the average physician in other high-income countries. Additionally, medicine spending per capita is also significantly higher in the United States. Finally, inflated health care administration costs are another of the predominant factors which make health care spending in the U.S. out of proportion. It is important to state that Americans do not pay more because they have a higher health care utilization, but mainly because of higher prices. Expected developmentsBy 2031, it is expected that health care spending in the U.S. will reach nearly one fifth of the nation’s gross domestic product. Or in dollar-terms, health care expenditures will accumulate to about seven trillion U.S. dollars in total.

Global Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure by Country, 2023 Discover more data with ReportLinker!

South Korea increased 2.3points of Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-Of-Pocket Health Care Expenditure in 2019, from a year earlier.

Forecast: Share of Population Spending More than 10% of Household Consumption or Income on Out-of-Pocket Healthcare Expenditure in Japan 2024 - 2028 Discover more data with ReportLinker!

The average for 2021 based on 181 countries was 1402.97 U.S. dollars. The highest value was in the USA: 12012.24 U.S. dollars and the lowest value was in Madagascar: 17.64 U.S. dollars. The indicator is available from 2000 to 2022. Below is a chart for all countries where data are available.

Spain ES: Proportion of Population Spending More Than 10% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data was reported at 5.733 % in 2010. This records an increase from the previous number of 3.946 % for 1996. Spain ES: Proportion of Population Spending More Than 10% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data is updated yearly, averaging 3.946 % from Dec 1985 (Median) to 2010, with 3 observations. The data reached an all-time high of 5.733 % in 2010 and a record low of 2.048 % in 1985. Spain ES: Proportion of Population Spending More Than 10% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Spain – Table ES.World Bank: Poverty. Proportion of population spending more than 10% of household consumption or income on out-of-pocket health care expenditure, expressed as a percentage of a total population of a country; ; Wagstaff et al. Progress on catastrophic health spending: results for 133 countries. A retrospective observational study, Lancet Global Health 2017.; Weighted Average;

Tanzania, United Republic of's Percentage of population that spends 25% or more of household consumption or income on health care is 1.23% which is the 17th highest in the world ranking. Transition graphs on Percentage of population that spends 25% or more of household consumption or income on health care in Tanzania, United Republic of and comparison bar charts (USA vs. Japan vs. Tanzania, United Republic of), (Iran, Islamic Republic of vs. Korea, Republic of vs. Tanzania, United Republic of) are used for easy understanding. Various data can be downloaded and output in csv format for use in EXCEL free of charge.

Demographic trends play a major role in shaping the healthcare landscape, as economic factors and an aging population contribute to fast-rising healthcare spending. While consumers are spending more on healthcare services in the US, healthcare providers are confronting complex challenges related to labor, competition and tech advances. The COVID-19 pandemic exposed healthcare and social assistance providers to unprecedented financial and operational pressures, with the lasting impacts still shaping every corner of the sector in 2024. Providers continue to grapple with workforce shortages intensified by the pandemic, resulting in ongoing staffing and recruitment challenges that pressure wage growth and new strategies to recruit and retain. At the same time, consolidation activity is reshaping the healthcare landscape, with more patients than ever receiving care from massive, integrated health systems rather than independent ones. Meanwhile, social assistance providers are finding it difficult to meet rising demand. Despite this challenging operating environment, revenue has been expanding at a CAGR of 3.1% to an estimated $4.1 trillion over the past five years, with revenue rising an expected 3.2% in 2025. Healthcare and social assistance providers are struggling to address staffing challenges. The pandemic exacerbated existing staffing shortages, as the physical and mental toll of the pandemic pushed some to leave the sector entirely. Persistent labor shortages jeopardize healthcare and social assistance providers' ability to address demand, creating widespread staff burnout, high turnover rates and wage inflation. While the health sector labor market began stabilizing in 2024, alleviating wage pressures, an undersized workforce still leaves hundreds of thousands of jobs open. Statewide and federal initiatives have been enacted to direct investment into building a more robust workforce. Demographic trends will continue to be the driving force behind rising healthcare spending moving forward. However, increasing demand and elevated costs will pressure healthcare and social assistance providers to shift how they operate. Some regulatory measures, like the Inflation Reduction Act, could mitigate rising costs in some areas, specifically pharmaceuticals. Consolidation activity will ramp up as smaller providers join larger health groups to secure larger insurer reimbursements through negotiating power. Digital tools and telehealth will become central in healthcare delivery because of their ability to lower costs, increase capacity, bridge health inequities and improve patient outcomes. In all, sector revenue will grow at a CAGR of 2.6% to reach an estimated $4.7 trillion over the next five years.

This statistic describes the countries with the highest share of domestic governmental health expenditure in 2022. In this year, San Marino had the highest percentage, spending about 29.51 percent of its total governmental expenditures on health-related issues.

Philippines PH: Number of People Spending More Than 10% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure data was reported at 6,419,000.000 Person in 2015. This records an increase from the previous number of 5,935,000.000 Person for 2012. Philippines PH: Number of People Spending More Than 10% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure data is updated yearly, averaging 3,858,000.000 Person from Dec 1997 (Median) to 2015, with 7 observations. The data reached an all-time high of 6,419,000.000 Person in 2015 and a record low of 2,209,000.000 Person in 2000. Philippines PH: Number of People Spending More Than 10% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Philippines – Table PH.World Bank: Poverty. Number of people spending more than 10% of household consumption or income on out-of-pocket health care expenditure; ; Wagstaff et al. Progress on catastrophic health spending: results for 133 countries. A retrospective observational study, Lancet Global Health 2017.; Sum;

Poland's Percentage of population that spends 25% or more of household consumption or income on health care iswhich is the 11th highest in the world ranking. Transition graphs on Percentage of population that spends 25% or more of household consumption or income on health care in Poland and comparison bar charts (Uganda vs. Peru vs. Poland) are used for easy understanding. Various data can be downloaded and output in csv format for use in EXCEL free of charge.

In 2021, the silent generation's spending on healthcare on average amounted to **** percent of their total annual spend in the United States. Compared to the other generations, Gen Z spends the least on healthcare, at *** percent of their total average spend.

Iraq IQ: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data was reported at 0.426 % in 2012. This stayed constant from the previous number of 0.426 % for 2006. Iraq IQ: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data is updated yearly, averaging 0.426 % from Dec 2006 (Median) to 2012, with 2 observations. The data reached an all-time high of 0.426 % in 2012 and a record low of 0.426 % in 2012. Iraq IQ: Proportion of Population Spending More Than 25% of Household Consumption or Income on Out-of-Pocket Health Care Expenditure: % data remains active status in CEIC and is reported by World Bank. The data is categorized under Global Database’s Iraq – Table IQ.World Bank.WDI: Poverty. Proportion of population spending more than 25% of household consumption or income on out-of-pocket health care expenditure.; ; World Health Organization and World Bank. 2019. Global Monitoring Report on Financial Protection in Health 2019.; Weighted average;