Determining the cost of providing nursing care to hospital patients is a major concern for nursing administrators, especially in developed countries. It is stressed that the costing-out of nursing service is generally viewed as advantageous for the nursing profession. Three basic methods for allocating hospital nursing service costs are described. The first is a per day service method (per diem) that relates nursing costs directly to length of stay. The second method, the relative intensity measures, tries to relate patient's condition (use) of nursing resources to his medical condition. The third alternative to costing nursing is based on patient classification system, which measure patient requirements or nursing workload.
nursing costs; cost-allocation methods; cost accounting; nursing service