Learn how to raise your self-pay therapy rates with confidence using customizable rate increase letter templates and communication tips.
August 22, 2025
12 min read
Money can feel like a taboo topic, even for a therapist. When the time comes to raise your rates, you may feel awkward about telling your self-pay clients. But communicating the upcoming change with grace and professionalism goes a long way. Here’s how to start, complete with templates you can use to inform both new and longtime clients.
As caring professionals, therapists may feel guilty about charging more for their services — after all, the higher the price tag, the higher the chances that some people can’t afford treatment. In reality, though, it’s normal for therapy rates to increase over time so you can make a living and build a strong business to continue offering these much-needed services.
On a practical level, you may have to charge more to keep pace with changing market conditions, growing overhead expenses, and ever-creeping costs of living. That’s not a luxury, but rather a necessity for maintaining a sustainable practice. Beyond that, it makes sense to charge more as you progress in your career. Higher rates reflect the hard-won experience (and additional training) you’ve gained over time.
There’s no universal rule about how often you should raise your rates, but it’s best to be thoughtful about when and how often you implement financial changes. A price increase should always feel rational, rather than arbitrary, to avoid unnecessarily upsetting clients. It’s also best to give clients ample time to budget for the change, so try to announce your new prices at least 30 days before they go into effect.
Some therapists may choose to raise their rates progressively and gradually over time — perhaps annually, or every other year — to keep pace with increases in general costs of living and rising business-specific costs, such as office rental fees.
Others may tie rate increases to changes in service, training, or experience. For example, if you attain an advanced degree or branch out into a new form of therapy, that could be a logical time to reassess what you’re charging.
When communicating rate changes, your goal should be to strike a balance between warmth and directness. Remember, there’s no need to apologize for your decision; you’re just doing what’s necessary for yourself and your business. Sugarcoating or expressing regret for the change may come across as unprofessional or blur the boundaries of your relationships with clients.
That said, you should be mindful about the impact that rising costs may have on clients’ budgets — or even their ability to continue with treatment. Any financial changes should be communicated with empathy. Take the time to remind clients that you are grateful for their trust and appreciate their loyalty to your practice.
Since rate increases can be stressful or upsetting to those on the receiving end, make sure your clients know that you are available to discuss any questions or concerns they may have, even if it means setting aside extra time outside of sessions to have conversations.
Many therapists convey logistical changes, such as rate increases, in writing rather than face-to-face. That’s beneficial for multiple reasons. It saves time during sessions, avoids the need to repeat the same conversation with each client, and gives clients a written record they can consult later. (In addition to an emailed letter, some therapists choose to post a sign in their office or quickly follow up with clients in person or by phone.)
Start your rate increase letter with the relevant details — what your new prices will be, and when they will go into effect — so there is no confusion about what’s happening and when. Then, share a little bit about why the change is happening. Clients deserve enough explanation so as not to feel blindsided, but there’s no need to go overboard. A sentence or two should be enough to explain your reasoning.
Close the letter by encouraging clients to contact you if they have questions or concerns. If you have preferences about when and how those conversations should take place (i.e., by phone or email), spell them out clearly and make sure clients have your best contact information.
Below is an easy-to-edit template you can use to communicate your rate change to existing clients. You can tweak it to fit your unique voice and practice circumstances.
Subject: Upcoming Rate Adjustment Notice
Dear [client’s name],
I'm writing to inform you that, effective [date], my session fee will be changing to [new rate] per session.
This adjustment reflects rising costs and the ongoing investment I make to provide high-quality care and engage in professional development. I remain committed to offering you the best support possible and am deeply grateful that you trust me with your therapeutic care.
If you have any questions or concerns about this change, please don’t hesitate to reach out. You can contact me at [phone number] or [email address]. I appreciate your understanding and continued trust in our work together.
Warmly,
[Your name]
[Your credentials]
[Practice name, if applicable]
In many ways, it’s easier to communicate an upcoming price adjustment to new clients, who haven’t gotten used to your previous rate. But it’s still a good idea to do so in a standardized and professional way. The below template may help.
Subject: Welcome & Session Rate Information
Dear [client’s name],
Welcome, and thank you for choosing to begin this journey with me. I look forward to working together.
As part of our onboarding process, I want to share that my session fee is [new rate] per session, effective [date]. This rate reflects the time, expertise, and resources I dedicate to providing quality, individualized care.
If you have any questions about the rate, scheduling, or anything else before we begin, feel free to reach out at [phone number] or [email address]. I’m here to help make the start of our work as smooth and supportive as possible.
Looking forward to connecting soon.
Warmly,
[Your name]
[Your credentials]
[Practice name, if applicable]
You may think that a face-to-face conversation is the most empathetic way to share delicate information — but in this case, a written letter is ideal. Putting the relevant details in writing gives clients something they can refer back to, so they don’t forget about the important upcoming policy change. They may also appreciate having time to process the news on their own time, so they can think through any questions or issues they may have.
On the timing front, make sure to send your letter at least 30 days before your rates actually go up. Any less, and clients may feel blindsided. Plus, you’ll want to have plenty of time to iron out potential issues, talk through concerns, and follow up to confirm that clients have seen and understood your note.
Finally, there’s a fine line to walk between over- and under-sharing. Of course, you want your clients to understand your rationale so they do not feel resentful or confused. But providing too much backstory may come across as unprofessional. Try to be succinct yet kind.
There’s always a chance that clients will get priced out as you raise your rates. That’s uncomfortable and unfortunate for everyone involved, but there are a few ways you can work through the situation.
First, consider taking insurance if you aren’t already. Mental healthcare becomes drastically more accessible when clients can pay for it using their insurance benefits — and Headway makes it easy and profitable for providers to make that a possibility.
Beyond or instead of insurance, some therapists choose to implement a sliding fee scale to accommodate clients who can’t pay their full rates. If it’s economically feasible, you could maintain your old prices for clients with genuine financial necessity.
You could also discuss changes in the frequency of a client’s sessions, depending on their mental health status and treatment needs. For clients with lower-intensity needs, switching from weekly to bi-weekly sessions may be a creative way to reduce financial burdens.
Sometimes, however, parting ways may be necessary if a client simply can’t afford your rates. If that’s the case, take time to genuinely thank them for their trust, wrap up your work together, and provide referrals to qualified therapists who may be able to better accommodate their budget.
Raising your rates isn’t the only way to make more money as a therapist. Joining Headway, one of the nation’s largest networks of insurance-accepting providers, sets you up to easily market your practice, book more sessions, and earn consistent and competitive bi-weekly pay. Get started today.
This content is for general informational and educational purposes only and does not constitute clinical, legal, financial, or professional advice. All decisions should be made at the discretion of the individual or organization, in consultation with qualified clinical, legal, or other appropriate professionals.
© 2026 Therapymatch, Inc. dba Headway. All rights reserved. No part of this publication may be reproduced without permission.
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