Exhibit 10.2

AMENDMENT NO. 1
TO EMPLOYMENT AGREEMENT

     This Amendment No. 1 (“Amendment”) to that certain Employment Agreement by
and between ProxyMed, Inc., a Florida corporation (the “Company”), and Judson E.
Schmid (the “Executive”) dated January 23, 2001 (the “Agreement”), is entered
into as of June 2, 2004 (the “Amendment Date”). In consideration of the mutual
covenants and agreements hereinafter set forth, the parties agree as follows:

     WHEREAS, the Company and the Executive have agreed to amend that certain
Employment Agreement;

     NOW, THEREFORE, the parties agree as follows:

     1. Position. Commencing on the Amendment Date, the Executive’s position
shall be Executive Vice President and Chief Accounting Officer, reporting to the
Company’s Chief Financial Officer.

     2. Salary. Effective May 1, 2004, the Executive’s salary shall be increased
to $162,500.00. Upon compliance with the relocation provisions in Section 3
below, the Executive’s annual salary shall be $175,000.00 payable in accordance
with the Company’s then-current payroll practices.

     3. Relocation and Reimbursement of Expenses. Executive hereby agrees to
relocate to the Atlanta, Georgia area by no later than December 31, 2004.
Executive shall be entitled to reimbursement of up to $65,000 in relocation
costs in accordance with approved Company guidelines. Reimbursement of
disposition costs may be applied to Executive homes being built in Heron Bay
(Parkland, FL) in lieu of his Coral Springs, FL home. Through August 31, 2004,
Executive shall be entitled to receive expense reimbursement for all travel,
lodging (hotel or apartment rent), car rental, and meals in accordance with the
Company’s reimbursement policy. Thereafter, such expenses shall be considered
part of the $65,000 relocation allowance noted above.

     4. Stock Options. As of the Amendment Date, Employee will receive a stock
option agreement for a ten (10) year term to purchase up to 5,000 shares of the
Company’s common stock at its fair market value defined as the price at which
common stock is reported to have traded on the NASDAQ System at the close of
business on the Amendment Date. The options will vest over a three (3) year
period as follows: 1,667 on the first anniversary of the Amendment Date; 1,667
on the second anniversary of the Amendment Date, and 1,666 on the day before the
third anniversary of the Amendment Date. If Executive does not meet the
conditions of relocation set forth in Section 2 above, these options will be
cancelled.

     5. Except as otherwise modified herein, all terms and conditions of the
Executive’s Employment Agreement shall remain in full force and effect. To the
extent that a conflict shall exist as between the terms or conditions of the
Employment Agreement and this Amendment, those of this Amendment shall prevail.

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     6. This Amendment may be executed in one or more counterparts, all of which
shall be considered one and the same agreement and shall become effective when
one or more counterparts have been signed by each of the parties and delivered
to the other parties.

     7. This Amendment constitutes the entire agreement, and supersede all prior
agreements and understandings, both written and oral, among the parties with
respect to the transactions contemplated hereby, and (b) is not intended to
confer upon any person other than the parties hereto any rights or remedies.

     IN WITNESS WHEREOF, each of the parties has executed this Amendment, in the
case of the Company by its duly authorized officer, as of the day and year first
above written.

     
PROXYMED, INC.
  EXECUTIVE:
 
   
By: /s/ David E. Oles
  By: /s/ Judson E. Schmid

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Signature
  Signature
 
   
Print Name: Davie E. Oles
  Print Name: Judson E. Schmid

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Title: Vice President
   

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