RAISING AND LOWERING RATES | EP 135
Today we’re going to get a little more personal! I’m going to share more about my Canadian private practice and how I run it, especially when it comes to raising and lowering my rates.
In the spirit of integrity and authenticity, I want to share these things with you! In this episode, I’m going to be talking about how I raised my rates and then lowered them, and the reasons why I chose to do this, and what I have learned along the way.
Jane is an all-in-one health and wellness practice management platform designed to be helpful to you, no matter how or where you practice. Available online and on any device, Jane offers branded online booking, beautiful scheduling, insurance management, customizable charting, online intake forms, patient reminders, integrated payment processing, online appointments (telehealth) and more! Use the code FEARLESS at signup to receive your first month completely free!
In This Episode
- Playing the market
- Managing the stress of raising rates
- Staying connected with community
- The unexpected solution!
Playing the market
‘So technically, what I’ve been doing up until this point is playing the market! Seeing what the market would bear for my services – and what a wild ride it has been!’ – Julia Smith
Around eight years ago, I started at $125 per session. At this point that price was considered high for a Registered Counseling Therapist, let alone a candidate, which I was at the time. Over the years, I got up to $300 for intake and $275 for subsequent sessions, and I had remained at this price for the past two years.
‘As my price went up, honestly, I was just in shock every time. I couldn’t believe that that’s what the market could bear. I couldn’t believe that people valued my services that much. I was honored and I was also really stressed out!’ – Julia Smith
The reason why I wanted to play the market was because I was curious to see what my worth was financially. I had gotten burned out a few years ago, and was encouraged to raise my rates so that I could see fewer clients but still pay the bills.
Managing the stress of raising rates
I noticed that I felt a significant amount of stress each time I decided to raise my rates but was not sure why.
‘Is it because I’m learning a new skill of raising my rates and I’ll get comfortable with that new rate once I raise it? Or is it my gut saying, “I don’t know if this aligns with your values?” – Julia Smith
What I noticed in the beginning was that I would slowly adjust and feel more comfortable with the new price, and then the stress would reduce. But as my rates got higher and higher, I was unable to destress from the price increase.
Staying connected with community
I realized I started to feel disconnected from my community because, as you raise your rates, fewer and fewer people can afford your services
‘As my rates got higher, even if insurance covered a little bit of it, a huge part of the population that I served still couldn’t afford my fee, but there were enough people that I could keep charging the high rates that I did.’ – Julia Smith
There are other ways to help community, such as hiring other therapists who can see clients at a lower rate or referring to other awesome therapists. But I love being a therapist and doing the work with clients. I wanted to help my community in a way that worked for me as well as for them.
The unexpected solution!
In the spring, I realized that I wanted to lower my rates. I was scared to do it though, because I was nervous that I would reduce my income too much and I wouldn’t be able to afford the bills. However, the solution to my problem arrived unexpectedly!
I received news that Registered Counselling Therapists and Registered Psychotherapists in Canada no longer have to charge tax! This meant that I could adjust and lower my rates more easily and become more accessible to my community.
My associate and I wanted to find a price range that would be more affordable for clients, enable us to cover our expenses, and allow us to maintain a balanced work schedule without needing to work five days a week. Within one day of the tax being taken off, we decided our range and posted it on our Instagram and website, and emailed our clients to let them know, and jumped right in!
‘It was wild! And honestly, it felt so good! I guess I didn’t realize how fun it is to stand up to capitalism and be like, “I know I could charge this, but I’m not going to! I’m going to charge a lower rate!” And that feels so powerful.’ – Julia Smith
It’s a great feeling to know that you could charge more but you choose not to because you want to live and work in alignment with your values.
Connect With Me
Resources Mentioned and Useful Links:
Learn more about the tools and deals that I love and use for my Canadian private practice
Sign up for my free e-course on How to Start an Online Canadian Private Practice
Jane App (use code FEARLESS for one month free)
Learn about Julia’s Canadian private practice
Rate, review, and subscribe to this podcast on Apple Podcasts, Spotify, Amazon, and TuneIn
About Julia
Julia Smith, MEd, RCT, CCC is a registered Counselling Therapist who owns a group private practice in Halifax, Nova Scotia. She is also the owner of Fearless Practice Consulting and hosts the Fearless Practice podcast. Through the Fearless Practice podcast, she provides invaluable insights and practical advice on starting and growing a successful Canadian private practice. Julia’s wealth of knowledge also extends beyond the podcast, as she provides personalized one-on-one consulting to therapists who are feeling burnt out and overwhelmed with their solo or group private practices. With Julia’s expertise, therapists can confidently navigate the complexities of owning a private practice and find work life – balance.
Julia also has written articles for the Canadian Counselling and Psychotherapy association. You can learn more at www.ccpa-accp.ca/blog/.
