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Average Pay in Private Practice vs Agency Work 

Private Practice Skills
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Average Pay in Private Practice vs Agency Work
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I get asked pretty often what the difference in pay is between agency work and private practice. And honestly, since pay can vary so widely in both private practice and agency work, it’s quite difficult to pinpoint a precise answer to this question.
However, I set out to find any hard data available to help attempt to answer this question. In this video, I compile this information to share the difference in pay between private practice and agency work.
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This video is geared for therapists of all kinds, including psychologists, MFTs, LPCCs, social workers, and others in the clinical counseling field.
Welcome to Private Practice Skills! I’m Dr. Marie Fang, psychologist in private practice. I post videos offering tools I learned the hard way about starting and growing private practice so that you don’t have to.
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This video is not intended as professional or legal advice. Be sure to seek the services of a professional if you are in need of them.
According to Glassdoor, as of January 2020 the average mental health therapist in the U.S. earns $48,905 per year. This data is based on the salaries of 2,793 therapists at the time of this recording.
www.glassdoor.com/Salaries/us...
To put that number into perspective, according to the Bureau of labor and Statistics, among those in the U.S. working full-time, the average individual income in 2019 was $917 per week, or $47,684 per year.
www.bls.gov/news.release/pdf/...
According to Zip recruiter, the average annual salary for mental health therapists is $65k - much higher than Glassdoor’s number of $49k. However, a closer look at Ziprecruiter’s breakdown shows that most mental health therapists are making around $50k, with a few outliers pushing towards 6 figures, causing the overall average to look higher than what most are earning. So in this sense, the data seems relatively consistent between Glassdoor and ziprecruiter.
www.ziprecruiter.com/Salaries...
In other words, the average therapist is earning about the same as the average full-time worker in the U.S.
But, that certainly does NOT mean that all therapists are earning the national average for the field. Let’s take a closer look at a few types of therapist jobs:
According to Ziprecruiter, the average clinical therapist earns $55k per year. Upon closer look at some listings in the “clinical therapist” category in my area, this title seems to often reflect jobs in various agency settings.
www.ziprecruiter.com/Salaries...
www.ziprecruiter.com/Jobs/Cli...
Meanwhile, Ziprecruiter reports the average annual salary for a therapist in private practice is about $98k. But a closer look shows that most people are in the $60k-$96k range. The average is thrown off by a spall percentage of outliers making even over $200k per year.
Of course, this is based on Zip recruiter’s job listings. So these numbers reflect the salary of someone employed in a group practice, rather than running their own practice. But, the pay is still significantly higher than the average therapist.
www.ziprecruiter.com/Salaries...
www.ziprecruiter.com/Jobs/Pri...
A quick check on Glassdoor shows no one reporting their private practice salary. And this makes sense, since people are typically posting to Glassdoor so others can learn about the employer. No need to do that when we employ ourselves!
www.glassdoor.com/Salaries/us...
So if the question is how much someone CAN earn in private practice, well, the ceiling is quite high.
I’m guessing a significant number of people watching this video are less concerned about the average pay for agency work and private practice, and more wondering how much money it’s possible to earn in private practice, and whether this number is higher than what they’re currently earning at an agency job.

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20 фев 2020

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Комментарии : 50   
@SR-or1tm
@SR-or1tm 2 года назад
Thank you so much for this video, I am loving this channel! This discussion about salary is so important, one that was never really addressed in graduate school, but would've been mighty helpful. As an LCSW in Los Angeles who has been committed to community-based work, I've solely worked with non-profits and government agencies. It took me 10 years to make a salary in the high 90's (I started in the 50's), but by then, I was completely burned out from toxic managers and unsustainable expectations of productivity. My caseloads and level of crisis (with little supervisory support) wiped me out - at my last job, I was expected to do 5-6 assessments PER DAY, along with counseling and crisis intervention (hospitalizing clients) at a very high-paced government office. I'm on a 6-month career break now, just to recover from my last job (my health really suffered), but I plan to join a group practice or start my own private practice this coming year. I hope to continue community-based work in other ways because it's the soul of my work, but I haven't yet heard of or come across CBO that has a sustainable work culture, at least in my part of LA. For me, the type of cumulative burnout I experienced over 10 years wasn't worth getting to a higher salary. Even though county benefits are decent, I've often thought about the income (and better mental health?) I might have missed out on by not diversifying, and not having started private practice a bit earlier. It feels intimidating, but your videos are really helping to build my confidence that it's possible.
@colethornton6716
@colethornton6716 Год назад
I can't imagine how stressful that must have been. I'm glad you're going after what you want now. It is sad to think that the work culture at a lot of agencies in the U.S. is so harsh with pay that also doesn't make it worth it. Especially when the populations receiving those services are probably the ones that need them the most. I have the utmost respect for the clinicians that do that work. I wish we would take better care of those clinicians though.
@erindrum5145
@erindrum5145 Год назад
I've loved your channel so far, Marie! This is just one of the many videos I've watched even today! Thanks for making all this amazing content. Truly wonderful. I'm heading to San Diego at the end of the month for a weekend getaway and can only pray that I somehow have the luck to bump into you to say hello and thank you in person :)
@alvinnicholas6606
@alvinnicholas6606 2 года назад
I'm a 4th year phd student in clinical psychology. This video was very encouraging. Thank you
@Missmoon1993
@Missmoon1993 2 года назад
I love this channel! Thank you ❤
@NaTashaBLMFT
@NaTashaBLMFT 4 года назад
Thank you!!!
@theawakenedheart8783
@theawakenedheart8783 4 года назад
Such great insight Marie! Private Practice is the way to go - with “...elbow grease...” Hope you’re well and thanks for the great video 🙏🏼😊🎋
@PrivatePracticeSkills
@PrivatePracticeSkills 4 года назад
I hope I made the elbow grease part clear! The pay definitely comes with hard work!
@theawakenedheart8783
@theawakenedheart8783 4 года назад
Private Practice Skills Yes, super clear and persistence is key. I consider your videos little pieces of gold nuggets that help along the way especially for those of us who are already thinking of slowly jumping from agency to private practice
@molly2frodo222
@molly2frodo222 2 года назад
I do not recommend working for an agency especially in community mental health. The pay is extremely low and most therapists have to work other jobs just to pay their bills.
@inculcatetobemaudlin2943
@inculcatetobemaudlin2943 9 месяцев назад
Wow, very good information
@IAmFrankieA
@IAmFrankieA 4 года назад
Bravo! 👏
@TimothyDearhamer
@TimothyDearhamer 4 года назад
Thank you for the video! Very helpful. (PS: I like your feather earrings.)
@PrivatePracticeSkills
@PrivatePracticeSkills 4 года назад
Aw thanks! I was just thinking while editing the video that maybe I'm getting too old for them. I bought them in my early 20s. But I still love them!
@JorgeMendoza-zm7ev
@JorgeMendoza-zm7ev 4 года назад
Great video! There tends to be so much shame and secrecy around discussing finances, so this was really refreshing. From what I've seen, even agency pay can vary from place to place (size of agency, grant funded positions, hospital vs. nonprofit setting, etc.). Could you share more info on challenges in building your practice (even when doing all the steps and client flow is just slow)?
@PrivatePracticeSkills
@PrivatePracticeSkills 4 года назад
You're absolutely right, agency pay does vary quite a bit! I was trying my best to capture averages, but there's no way to make completely black and white applications of which pays more. Are there any aspects of those challenges starting a private practice in particular you're curious about?
@JorgeMendoza-zm7ev
@JorgeMendoza-zm7ev 4 года назад
@@PrivatePracticeSkills maybe a focus on handling the anxiety/uncertainty that comes with the ebbs and flows of caseload size?
@rainlana7755
@rainlana7755 3 года назад
Hey there. I appreciate you sharing your experience. I’m going through your private practice checklist and I’m finding that I tend to lean my potential business to a more community based organization offering multiple services. I’m wondering if you have any feedback on differences between starting a private practice as opposed to a community based organization. Hope that makes sense.
@molly2frodo222
@molly2frodo222 2 года назад
I worked at 3 different community based mental health agencies. I had to go to the homes and the schools to see my clients. I hated the work and the pay was extremely low (a little bit above minimum wage). Your supervisors work you to death and only care about how many hours you bill a week.
@NunaBuis
@NunaBuis Год назад
How often do insurance companies pay therapists? I have student loans and will need to apply to insurances that pay consistently, like every month.
@pedrogaytan1057
@pedrogaytan1057 6 месяцев назад
Beautiful😍
@adwinter6690
@adwinter6690 3 года назад
I went to a therapist (counselor with only a masters degree) in Las Cruces, NM, and she charged $140 a session, did not take insurance and always charged before the session. She was booked weeks in advance, didn't speak Spanish, which is becoming really necessary in this part of the country, and worked out of her house. And she wasn't even good. She was making bank.
@stateofcarter4140
@stateofcarter4140 2 года назад
How old was she?
@jaylasmith7317
@jaylasmith7317 Год назад
“She wasn’t even good”😂😂😂
@destinywilliams3054
@destinywilliams3054 3 года назад
I am undecided, please help : Can I take both insurance and private pay/ hourly pay ?
@moxiejones7582
@moxiejones7582 2 года назад
Yes
@molly2frodo222
@molly2frodo222 2 года назад
I believe you can. The problem you may run into is most people have insurance and are going to want to use their insurance.
@LifeOfLiz
@LifeOfLiz 3 года назад
What is you are a LMSW (master in social work) could you still get this pay as a therapist with these credentials? I heard as an LMSW you can potentially own a private practice
@minichibichi
@minichibichi 3 года назад
In AZ LMSW cannot have a practice without an LCSW to supervise. I would follow up with your states board.
@molly2frodo222
@molly2frodo222 2 года назад
The salaries she is quoting is what you can expect to make when you are fully licensed.
@Brinaaaaaa
@Brinaaaaaa 2 года назад
What about working in someone else’s large private practice that kind of feels like an agency
@molly2frodo222
@molly2frodo222 2 года назад
I would be careful about working at any private practice. I worked at a private practice. In private practice you only get paid if the insurance pays. If the client is paying, you only get paid once the client pays for the services. There will be times when you will not get paid for sessions.
@Brinaaaaaa
@Brinaaaaaa Год назад
@@molly2frodo222 the private practice I’m doing In a group is on a salary so it’s not fee for service so it’s different
@molly2frodo222
@molly2frodo222 Год назад
@@Brinaaaaaa Wow! You are very lucky. No one pays salary where I live. I asked my supervisor at my job about getting paid for sessions even if the client does not pay and they thought I was crazy. They told me at all their previous jobs it was fee for service.
@Derekdach344
@Derekdach344 7 месяцев назад
Is this going off psychologist salary or other kinds of therapist too
@lamingtongirl123
@lamingtongirl123 3 года назад
What is the estimated entry level salary for a new unlicensed therapist in California?
@molly2frodo222
@molly2frodo222 2 года назад
I do not know what it is in California but in Georgia it is very low somewhere between $25,000-$30,000
@NunaBuis
@NunaBuis Год назад
In Texas, it’s $50,000 so it’s probably higher than that in California.
@terseandtiny1746
@terseandtiny1746 4 года назад
So random but you should be a hand model!! lol
@PrivatePracticeSkills
@PrivatePracticeSkills 4 года назад
😅That's so nice! And I feel like my hands have been a mess since having a baby.
@TL-zn8pp
@TL-zn8pp 2 года назад
I would like to start off by saying that I've watched several of your videos as it pertains to private practice and starting a successful counseling business. There were alot of helpful tools and resources provided. But as I looked deeper into your methodology and belief system I was truly alarmed. How can someone call themselves a Christian and deny God's very word related to gender identity, confusion and homosexuality. True, everyone deserves to be loved and treated with respect but as Born Again believers we are not to condone or accept sin which is direct disobedience to God. Your platform has brought you notoriety, financial gain, and a voice... why would you use that to lead people in error. There is no such thing as a Progressive or Affirming Christian. God said be in the world and not of the world. Be **transformed** by the renewing of our mines not Conform to societal norms. Understand there will come a day you will have to answer to every idle word and false message that is spread. I share this in love and respect so that you will repent and come back to the truth. God Bless.... 1 Timothy 4:1‭-‬2 Now the Spirit speaketh expressly, that in the latter times some shall depart from the faith, giving heed to seducing spirits, and doctrines of devils; speaking lies in hypocrisy; having their conscience seared with a hot iron. 2 Timothy 4:1‭-‬4 KJV I charge thee therefore before God, and the Lord Jesus Christ, who shall judge the quick and the dead at his appearing and his kingdom; preach the word; be instant in season, out of season; reprove, rebuke, exhort with all longsuffering and doctrine. For the time will come when they will not endure sound doctrine; but after their own lusts shall they heap to themselves teachers, having itching ears; and they shall turn away their ears from the truth, and shall be turned unto fables.
@joanmejer3126
@joanmejer3126 Год назад
??
@TL-zn8pp
@TL-zn8pp Год назад
@@joanmejer3126 hello whats the ??
@xjaderadex02
@xjaderadex02 Год назад
You are not a follower of Christ, but rather Christ is a follower of you, oh glorious TL. May the angels lift you up to the highest heavens for your righteous condemnation of PrivatePracticeSkills. You are truly a warrior for God. Your armor is on, and you are winning! Stay in the fight! As Satan’a forces draw nearer, you will be tested.
@TL-zn8pp
@TL-zn8pp Год назад
@@xjaderadex02 All Glory to God, as we follow His example!!! We are vessels of Christ and we are call to be salt( which applied to a wound of a Saint can irritate) No judgement just trying to speak the truth in love for believers.
@lptherapygroup6591
@lptherapygroup6591 4 месяца назад
A true follower of Jesus would not hold prejudices or judgement of others. Jesus accepts all.
@Besztaczka
@Besztaczka 4 года назад
How high are taxes in California?
@PrivatePracticeSkills
@PrivatePracticeSkills 4 года назад
😅quite high. I believe we have some of the highest taxes in the nation.
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