What is an ethical hourly fee for therapy

[Learnedtoolate]

I got called a mental health center last year when I got depressed.   The worker who answered the phone was empathetic.   I went in to talk with her for about one hour.

She referred me to another provider in another town who I decided I liked.    I stopped at the billing office on my way out of their building like I was supposed to.

My understanding was that I should not be concerned about the cost and that it was most likely on a sliding scale.  I had no insurance.  Six months later, I got a bill from them out of nowhere and they were asking for $340 for only one hour of work.    This was like a slap in the face.    I went to visit their billing office to see if there had been a mistake and there had not been.    If counselors are asking for $340 per hour, I'm staying away from them.   Do they really have the right to charge this much?   Is the ongoing expense of their building and business really worth charging clients more than some of them can make in a week?   Thankfully, I only saw them one time.

[Clydesmom]

4 minutes ago, Learnedtoolate said:

Do they really have the right to charge this much?

Yes.  Each provider sets there own fee for their services.  Every area/city/state has its own "reasonable and customary" charge for services.  However, NOTHING prevents a provider from charging more than the local reasonable and customary amount.  It is up to the patient or their guarantor to decide if they increased cost is worth it.

4 minutes ago, Learnedtoolate said:

My understanding was that I should not be concerned about the cost and that it was most likely on a sliding scale.

Is that the financial agreement  you signed or what you assumed was the situation?

5 minutes ago, Learnedtoolate said:

Is the ongoing expense of their building and business really worth charging clients more than some of them can make in a week?

Charges are based on WAY more than that.  Malpractice coverage for some specialists can be $500,000 per year or more. 

Assuming malpractice coverage of $50k per year that equals $962 per week.  Then add in building rent, office furniture, staff, utilities, website, billing services, benefits for staff, licensing and how much do you think it costs per week to run a practice?  The average start up cost for a practice is estimated between $25k to $100k in the first year alone.  Add to that insurance can take 90-180 days to pay claims so they wait for reimbursement while having to meet payroll and expenses in the mean time.

If you want to avoid this in the future ask what the cost is BEFORE you make the appointment.