A look behind the scenes at what goes into a therapist’s fee and why it’s more than just an hourly rate.
Therapy is expensive — or is it? At first glance, seeing the amount therapists charge per hour can feel overwhelming. But let’s take a closer look at what it’s like on the other side of the couch.
First, becoming a therapist requires a significant investment. Training typically takes at least 3–4 years, and during that time, therapists are also required to undergo their own therapy. This means many therapists start their practice carrying student debt.
Once in private practice, if you don’t work, you don’t earn. Sick days? No income. Need a break? Same story. That hourly rate has to cover not only working hours but also time off for rest, illness, or vacations.
Let’s break it down further. In New Zealand, where I practice, taxes can take up to 33% of your income. Then there’s GST (Goods and Services Tax), which adds another 15%. For example, if my session fee is $170, around $22 is immediately put aside for GST alone — it’s not mine to keep.
On top of that, there’s ACC (Accident Compensation Corporation), a levy all working adults pay to ensure affordable care in case of accidents.
And then, of course, there are business expenses:
- Rent for the office space
- Yearly registration or licensing fees to legally call myself a psychotherapist
- Supervision costs (a professional requirement to ensure ethical and effective practice)
- Personal therapy (often ongoing to maintain our own well-being)
- Indemnity insurance
- Website hosting and listing fees so clients can actually find me
- Zoom subscriptions for online sessions
- Continuous professional development (because learning never stops)
And I’m sure I’m forgetting something!
Finally, there’s the work itself. Being a therapist isn’t just about “sitting and nodding.” Therapists must put aside everything happening in their own lives to be fully present for you.
We provide our psyche as a container to hold your emotions, stay warm and empathetic, and reflect thoughtfully — all while ensuring we don’t project our own stuff into the room. It’s as rewarding as it is demanding.
So yes, therapy can feel like a big expense. But when you consider the time, effort, and resources that go into providing a safe and supportive space, it’s easier to see where those fees go.
What are your thoughts on the cost of therapy? I’d love to hear your perspective.