Business Data & Benchmarks · United States
Residential Treatment Facility Revenue Benchmark
A residential treatment facility provides round-the-clock care and treatment for people with mental health conditions or substance use disorders who live on site during their program, combining housing, meals, counseling, medical oversight and supervision. Bed count, length of stay, licensing and the payers that fund treatment shape a business that runs on staffing.
Average Residential Treatment Facility Revenue per Year 2022 Economic Census
The 2022 Economic Census counts every residential mental health and substance abuse facility with paid employees and publishes their combined annual receipts. Dividing that total by the number of facilities gives the average annual revenue per employer establishment shown below.
≈$2,662,000 /year
Average annual gross revenue per employer establishment
8,032
Employer establishments in the United States, 2022
as published $21.4 billion
Combined annual gross revenue of employer establishments, 2022
How this is calculated: about $21.4 billion in combined annual receipts divided by 8,032 employer establishments works out to an average annual revenue of $2,662,000 per employer establishment.
Scope: Residential Mental Health and Substance Abuse Facilities, NAICS 623220. The Census category is Residential Mental Health and Substance Abuse Facilities, which counts residential treatment centers and group homes for mental health conditions and substance abuse. Facilities for people with developmental disabilities, psychiatric hospitals and outpatient centers are counted in separate categories. Classified separately in group 6232: 623210 Residential Intellectual and Developmental Disability Facilities. Nothing outside that code is counted on this page.
Source US Census Bureau, 2022 Economic Census, Summary Statistics (ECNBASIC): ESTAB, RCPTOT and PAYANN by NAICS · Vintage 2022 Economic Census · Calculation BusinessNES · Accessed September 2026
Employer Establishments at Year Five Industry group
Residential intellectual and developmental disability, mental health, and substance abuse facilities, NAICS 6232, the 2018 starting count compared with the count of five-year-old establishments in 2023.
64.6%the year-five count as a share of the starting count
Across the 2014 to 2018 cohorts, five-year results ranged from 64.6 to 73.7 percent. This benchmark covers Residential intellectual and developmental disability, mental health, and substance abuse facilities, NAICS 6232, as a whole, and this category accounts for 8,032 of the 43,469 employer establishments in it. A count by age is not a survival rate, because the figures compare two headcounts rather than follow one set of businesses.
Payroll as a Share of Revenue Official data
Payroll divided by receipts, both as published for the same year.
| Measure | Value |
|---|---|
| Annual payroll share of receipts, United States | ≈44% |
Payroll share of receipts, Residential Mental Health and Substance Abuse Facilities, United States, 2022 Economic Census.
Approximately 44.0 percent of every revenue dollar goes to annual payroll, a high share because residential care needs counselors, nurses, technicians and support staff around the clock, and staffing ratios are often set by licensing rules.
Payroll here excludes benefits, employer taxes and owner compensation, and it excludes food, housing costs, medical supplies, insurance and the facility itself, which together carry the rest of a program's budget.
Business Scale and Ownership Structure Official data
How large the average establishment is, and whether the population is independent operators or multi-site companies.
| Measure | Value |
|---|---|
| Paid employees per employer establishment | 26.3 |
| Employer establishments per firm | 1.78 |
Scale and ownership, Residential Mental Health and Substance Abuse Facilities, United States, 2022 Economic Census.
The average establishment employed about 26.3 people, and the industry counted 1.8 employer establishments per firm. A facility of that size runs several shifts of clinical and residential staff for a modest number of beds, and the establishments per firm figure shows that multi-site treatment organizations, both nonprofit and for-profit, are common in this category.
These are arithmetic industry averages. They state the size of the average establishment and show that multi-establishment ownership exists. They do not show the distribution of business sizes and they do not measure market concentration.
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Data Source Notice
This product uses the Census Bureau Data API but is not endorsed or certified by the Census Bureau.
Figures above are from the 2022 Economic Census reference year, released by the Census Bureau in 2024 and 2025; markets have moved since.
Questions Worth Asking BusinessNES analysis
Residential Treatment Facility: what a revenue average cannot show about beds, stays and payers.
Before you rely on this benchmark
- Who pays for treatment? Commercial insurance, Medicaid, state contracts, grants and private-pay families fund residential care at very different rates, and a program's payer mix decides its revenue per bed. The census counts receipts from every source together.
- How many beds and how long is a stay? Revenue follows occupied bed days, so a small facility with long stays and a large one with short programs can report similar totals. Bed count and average length of stay are the numbers a program is run on, and neither is published here.
- Nonprofit or for-profit? Community nonprofits, faith-based programs, hospital-affiliated units and for-profit treatment companies all appear in this category with different funding, goals and cost structures. The average describes a mixed population rather than one model.
- Which licenses and accreditations apply? State licensing can set staffing requirements, staff qualifications, physical-plant rules and clinical standards, while payer and accreditation requirements may add further obligations. Compliance is a large fixed cost and a constraint on capacity that the benchmark cannot express.
- What does staffing stability cost? Counselors, nurses and residential technicians work demanding shifts and turnover is high in many programs, so recruitment, training and overtime are constant expenses. The payroll share shows wages, not the churn behind them.
- How is the facility housed? Converted homes, purpose-built campuses and leased buildings carry different costs, zoning constraints and neighborhood relations. The property behind a program is a major factor in its economics and appears nowhere in a receipts figure.
Sources and Methodology
Revenue, establishment counts, payroll, employment and firm counts on this page come from the 2022 Economic Census, Summary Statistics, published by the US Census Bureau. Averages and shares are BusinessNES calculations from those published totals, and each one names the two figures it divides.
The Census counts employer establishments, meaning each facility with paid staff. Facilities for people with developmental disabilities, psychiatric hospitals and outpatient centers are counted in separate categories.