Patient classification systems capture nursing costs.

Financial managers expect nursing salaries to reflect declining hospital utilization. Nursing managers, however, expect salaries to reflect the increase in nursing care required by a sicker patient population. With the use of a patient classification system, the cost of the nursing portion of a hospital's operating expenses and the correct amount of nursing labor required by patients can be determined. By determining appropriate staffing levels, high quality nursing care can be delivered in a cost efficient manner.