Three Career Paths for Therapists
You may be considering one of three primary career paths: working as an employee, becoming an independent contractor, or starting your own private practice. Each option has its unique perks and challenges that can affect your income stability, work-life balance, and level of professional autonomy. Whether you prioritize financial security and administrative support or cherish independence and the chance to shape your practice according to your vision, there is a path for you.
Deciding on the right career path calls for a thoughtful look at your personal preferences, financial goals, and long-term dreams. You might thrive with the steady paycheck and benefits of an employment setting, or maybe the flexibility and earning potential of self-employment better suits your lifestyle. By understanding the key differences between these three career options, you can make a well-informed decision that will support both your professional growth and personal well-being.
I have done all three. My decisions were guided by what my family needed at that time. After graduating as a speech language pathologist, I spent the next 15 years balancing private practice with short-term positions in pubic agencies. My private practice gave me joy and fulfillment, but it was not making a profit. My public jobs gave me a reliable income, but working in a union environment disheartened me.
I found that contracting was the most unpredictable of the three career paths. My optimism was always high when I started a contract. I was hired for technology and research projects, not just therapy positions. I could work from home and learn new skills while getting well-paid. Unfortunately, these contract positions were neither fulfilling nor reliable. Invariably, by the end of the contract I was worn out and unwilling to accept another similar contract.
Eventually my three children grew up and my husband's company started thriving. I was able to walk away from being an employee or a contractor and focus on being an entrepreneur. I finally learned how to generate a lucrative income as a private practice therapist.
In reflecting back over my career path, I wish I had not made so many mistakes in my private practice during the first 15 years. I wish I would have known then what I know now.
Career Option 1: Employee
If you find comfort in structure, working as a therapist for a private practice, hospital, clinic, or mental health agency could be ideal for you. Here, you would provide services to clients while following workplace policies and protocols. You could be working in hospitals, community mental health agencies, schools, rehabilitation centers, or private group practices, offering therapy, counseling, and support to individuals, couples, families, or groups experiencing mental health challenges.
As an employee, your responsibilities typically include direct client care, documentation, and team collaboration. You'll conduct assessments, create treatment plans, and provide evidence-based interventions to clients. Beyond serving clients, documentation is crucial, ensuring accurate records for billing, insurance, and care continuity. You'll also collaborate with other professionals, such as social workers and case managers, to deliver comprehensive treatment.
Here are some ways to develop the right mindset for being an employee.
Being at Ease with Structure and Following Policies
If you're stepping into a role as an employee, as opposed to private practice or independent contracting, you'll be part of an organized environment with established rules and policies. This means aligning with agency protocols, adhering to treatment guidelines, and meeting productivity targets. You'll need to feel comfortable operating within these frameworks while always keeping client care front and center.
Openness to Supervision and Meeting Expectations
Especially early in your career, you might find yourself working under clinical supervision. It's important to be open to feedback, follow organizational directives, and aim to meet key performance indicators (KPIs), such as the number of sessions you complete each week.
Patience with Workplace Hierarchies and Processes
In larger organizations, decision-making can involve several tiers of management, which might slow down the implementation of new treatment approaches or present certain bureaucratic challenges. Having patience and being adaptable will be key as you navigate these structured environments.
Career Option 2: Independent Contractor
If you seek more control over your schedule, becoming a self-employed therapist as an independent contractor might be your best path. You can offer your services to multiple agencies, private practices, or telehealth platforms, operating on a contractual basis instead of being on a payroll.
In this role, you would be responsible for setting your schedule, managing your workload, and handling personal finances. This means deciding how many clients to take on, where to work, and which contracts to accept. However, you'll also need to manage your own finances, including invoicing, taxes, and benefits.
Here are some ways to embrace the right mindset as an independent contractor.
Embracing Uncertainty and a Variable Income
As you step into the world of independent contracting, it's important to embrace the unpredictable nature of your income. Instead of fixed pay, you'll notice it can shift based on how many clients you work with, the contracts you secure, and the demand for your services. Being comfortable with financial ups and downs and planning accordingly will set you up for success.
Motivating Yourself to Explore New Opportunities and Keep Growing
You'll have the exciting freedom to carve your own path. It's up to you to seek out work opportunities and invest in your professional development. Think about attending workshops, earning new certifications, and keeping your professional networks strong. All of these actions are key to your career growth and success.
Being Flexible and Adapting to Various Work Environments and Client Needs
As a contractor, you'll often find yourself in diverse settings, working with a variety of agencies. Your ability to quickly adapt to different environments, policies, and client needs will be crucial. Embracing change and working independently in these varied places will be your secret to thriving in this role.
Career Option 3: Entrepreneur (Private Practice Owner)
If you have a vision and a desire to run the show, owning and operating a private therapy practice could be your calling. As an entrepreneur, you'd offer therapy services to clients independently, managing all aspects of the business from client acquisition to financial management.
Running your private practice means being responsible for business operations, marketing, client acquisition, and financial management. Unlike employees or contractors, you will create your own business framework, set up your office space, market your services, bill clients, and ensure you comply with industry regulations. Your success will largely depend on your ability to attract and retain clients, but you'll enjoy the freedom and satisfaction of seeing your own business thrive.
Here are some ways to embrace the right mndset as an entrepreneur.
Embrace the Thrill of Risk
Starting your own practice is an adventure! You'll need to feel confident about investing in your dream and taking smart risks. It's all about trusting yourself and being ready to adapt to the exciting world of self-employment.
Bounce Back and Keep Going
Building your practice won't happen overnight, and you're bound to face some bumps along the way. That's totally okay! Your resilience will help you learn from these challenges and keep tweaking your business to make it better. Staying flexible will help you navigate through changes in what clients want, regulations, and what's happening in the industry.
Grow with Heart
You're in this for the long haul, right? Balancing your business goals with providing excellent, ethical care to your clients is key. Keep your eyes on the prize with a vision for steady growth, all while making sure your clients get the best therapy possible. This way, you'll build a sustainable practice that brings you joy and fulfillment.
You've got this!
