Residential Intellectual and Developmental Disability Facilities Revenue Benchmarks
The average residential intellectual and developmental disability facilities business in the United States generates $5.1M in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 6,992 residential intellectual and developmental disability facilities businesses in the U.S., employing 542,497 workers with an average profit margin of 13.0%. The average employee in this industry earns $42K per year (Bureau of Labor Statistics QCEW 2023).
What Does a Residential Intellectual and Developmental Disability Facilities Business Actually Do?
Group homes and residential facilities for adults with intellectual and developmental disabilities. Almost entirely Medicaid-funded.
Who buys: State Medicaid programs contracting for residential care.
Average Revenue
$5.1M
per year
Profit Margin
13.0%
industry average
Revenue / Employee
$65K
per year
Total Businesses
6,992
in the US
Est. Owner Income
$658K
small business avg
Labor Cost
50.0%
of revenue
Avg Employee Wage
$42K
per year (BLS)
Market Saturation
2.1
firms per 100K people
How Much Do Residential Intellectual and Developmental Disability Facilities Charge?
IDD residential facilities are mostly Medicaid-funded at state-negotiated rates.
| Service | Typical range |
|---|---|
Medicaid IDD reimbursement | $150–400/day per resident |
Private pay | $200–550/day |
Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.
Complete residential intellectual and developmental disability facilities business plan
A 12-section data-backed business plan for a residential intellectual and developmental disability facilities business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.
Cost Structure — Where Every $100 in Revenue Goes
Approximate P&L breakdown for the residential intellectual and developmental disability facilities industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.
| Category | Per $100 revenue | Per typical business | What's in it |
|---|---|---|---|
Medical supplies & pharma | $13 | $656K | Disposables, medications, lab reagents, implants, and other direct patient supplies. |
Wages & benefits | $50 | $2.5M | Payroll for all employees at the business (owner comp not included for small owner-operators). |
Rent & facilities | $6 | $281K | Rent or mortgage on business location plus utilities tied to the space. |
Marketing & advertising | $2 | $94K | Google/Meta ads, SEO, print, referral fees, event sponsorships. |
Other operating costs | $17 | $843K | Malpractice insurance, billing services, equipment leasing, regulatory compliance. |
Net profit | $13 | $658K | What remains for the owner or shareholders after all business expenses. |
Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.
Average Revenue by Business Size
Industry Dynamics (Census BDS 2023)
New Business Rate
9.55%
openings/year
Closure Rate
9.48%
closings/year
Net Job Growth
+2.79%
annual
Businesses Closed
601
in 2023
Firm Count Trend
Should You Start a Residential Intellectual and Developmental Disability Facilities Business?
Startup Cost
$75K – $300K
Break-Even
3 months
5-Year Survival Rate
70.0%
Related Industries
Frequently Asked Questions
- What does a residential intellectual and developmental disability facilities business do?
- Group homes and residential facilities for adults with intellectual and developmental disabilities. Almost entirely Medicaid-funded. State Medicaid programs contracting for residential care.
- How much do residential intellectual and developmental disability facilities charge?
- IDD residential facilities are mostly Medicaid-funded at state-negotiated rates. See the pricing table above for typical rates by service type.
- How much does the average residential intellectual and developmental disability facilities make per year?
- The average residential intellectual and developmental disability facilities business generates $5.1M in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $658K per year at a 13.0% profit margin.
- How many residential intellectual and developmental disability facilities businesses are there in the US?
- There are 6,992 residential intellectual and developmental disability facilities businesses operating in the United States, employing a total of 542,497 workers.
- How much does it cost to start a residential intellectual and developmental disability facilities business?
- Startup costs for a residential intellectual and developmental disability facilities business typically range from $75K to $300K, with a 5-year survival rate of 70.0%.
- What is the average salary in the residential intellectual and developmental disability facilities industry?
- The average employee in the residential intellectual and developmental disability facilities industry earns $42K per year, according to Bureau of Labor Statistics data (QCEW 2023).
Industry Growth & Survival
The residential intellectual and developmental disability facilities industry is actively growing — adding jobs at a net rate of 2.8% per year. New establishments are opening faster than existing ones close (9.5% entry vs 9.5% exit), indicating healthy demand.
Approximately 61% of residential intellectual and developmental disability facilities businesses survive their first 5 years. This is above the national average (~50%), making it a relatively safe industry to enter. In 2023, 601 firms in this industry closed permanently.
Employment & Wages
The average employee in the residential intellectual and developmental disability facilities industry earns $42,271/year. This is below the national average of ~$65K — typical for this sector. With 24,156 establishments employing 382,759 people, the typical business has about 16 employees.
Industry Trend (2000–2023)
The residential intellectual and developmental disability facilities industry has grown 49% since 2000 (from 7,453 to 11,109 firms).
See full historical statistics →Compare Residential Intellectual and Developmental Disability Facilities revenue with other industries: