<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL STATEMENT INFORMATION EXTRACTED FROM
THE SUPPLEMENTAL CONSOLIDATED BALANCE SHEETS AT OCTOBER 31, 1995 AND 1994 AND
JANUARY 31, 1996 (UNAUDITED) AND THE STATEMENTS OF OPERATIONS FOR THE YEARS 
ENDED OCTOBER 31, 1995, 1994 AND 1993 AND THE THREE MONTH PERIODS ENDED 
JANUARY 31, 1996 (UNAUDITED AND 1995 (UNAUDITED) AND IS QUALIFIED IN ITS 
ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<CIK> 0000861179
<NAME> HEALTH MANAGEMENT SYSTEMS, INC.
<MULTIPLIER> 1,000
       
                                                                                   
<PERIOD-TYPE>                    3-MOS           3-MOS           YEAR            YEAR             YEAR
<FISCAL-YEAR-END>                OCT-31-1996     OCT-31-1995     OCT-31-1995     OCT-31-1994      OCT-31-1993
<PERIOD-START>                   NOV-01-1995     NOV-01-1994     NOV-01-1994     NOV-01-1993      NOV-01-1992
<PERIOD-END>                     JAN-31-1996     JAN-31-1995     OCT-31-1995     OCT-31-1994      OCT-31-1993
<CASH>                                11,843               0          10,801          14,962                0
<SECURITIES>                          19,587               0          19,287          12,798                0
<RECEIVABLES>                         36,765               0          31,630          24,023                0
<ALLOWANCES>                           (568)               0           (296)           (269)                0
<INVENTORY>                                0               0               0               0                0
<CURRENT-ASSETS>                      73,588               0          66,046          54,294                0
<PP&E>                                15,725               0          15,169          13,900                0
<DEPRECIATION>                       (9,903)               0         (9,295)         (7,289)                0
<TOTAL-ASSETS>                        94,508               0          87,384          69,777                0
<CURRENT-LIABILITIES>                 24,101               0          24,403          18,352                0
<BONDS>                                    0               0               0               0                0
<PREFERRED-MANDATORY>                      0               0               0               0                0
<PREFERRED>                                0               0               0               0                0
<COMMON>                                 168               0             164             160                0
<OTHER-SE>                                 0               0               0               0                0
<TOTAL-LIABILITY-AND-EQUITY>          94,508               0          87,384          69,777                0
<SALES>                               25,390          20,985          89,727          73,176           59,949
<TOTAL-REVENUES>                      25,390          20,985          89,727          73,176           59,949
<CGS>                                      0               0               0               0                0
<TOTAL-COSTS>                         19,558          16,471          71,627          59,314           48,989
<OTHER-EXPENSES>                       (374)             777             103           (405)              114
<LOSS-PROVISION>                         272              38             111             190               31
<INTEREST-EXPENSE>                     (251)           (191)           (942)           (464)              114
<INCOME-PRETAX>                        6,151           3,657          17,754          14,077           10,543
<INCOME-TAX>                           2,408           1,850           8,152           6,353            4,766
<INCOME-CONTINUING>                    3,743           1,807           9,602           7,724            5,777
<DISCONTINUED>                             0               0               0               0                0
<EXTRAORDINARY>                            0               0               0               0            (306)
<CHANGES>                                  0               0               0               0                0
<NET-INCOME>                           3,743           1,807           9,602           7,724            5,471
<EPS-PRIMARY>                            .21             .11             .55             .46              .35
<EPS-DILUTED>                              0               0               0               0                0