The State of Therapy: Big Business, Burnout, and Reinventing Private Practice
In this special new series of Starting a Counseling Practice Success Stories, Kelly Higdon and Miranda Palmer are switching things up with their very first “State of the Union” episode! Once a month, they’ll hit pause on the usual interviews and have real, unfiltered conversations about what’s going on in the mental health world—and what that means for anyone running (or dreaming about) a private practice.
In this kickoff chat, Kelly and Miranda spill their honest thoughts about the big news shaking up the field—like Rula teaming up with Amazon Health and the latest drama with BetterHelp. They dig into what all this means for therapists: choosing the right platforms, burnout, marketing headaches, and how to carve out your own space in an ever-noisier industry.
So, if you want to hear what’s really going on behind the scenes and pick up some practical tips for building your practice in these wild times, you’re in the right place. Grab your coffee, get comfy, and join Kelly and Miranda as they share what’s on their minds and help you find your footing in the shifting world of mental health care.
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Transcript
Welcome to another episode of the podcast.
Kelly Higdon:This one is super special.
Kelly Higdon:Miranda and I have decided that once a month we're gonna be checking in
Kelly Higdon:with all of you talking about what's happening in the field, our thoughts on
Kelly Higdon:it, what it means for private practice.
Kelly Higdon:I'm super excited.
Kelly Higdon:We have not pre-talk about anything.
Kelly Higdon:This is just us having conversations so you get some insight into our hearts
Kelly Higdon:and our minds all about what's happening in mental healthcare around the world.
Kelly Higdon:Let's do it.
Miranda Palmer:Uh, this is Miranda Palmer's voice, um, over here and,
Miranda Palmer:um, Kelly sent me some articles last night at like, after 11:00 PM Okay.
Miranda Palmer:So when I woke up at five in the morning, I'm getting these
Miranda Palmer:articles and I'm just like, in a little bit of alarm mode of like.
Miranda Palmer:Oh my gosh.
Miranda Palmer:Like what is happening right now?
Miranda Palmer:And then I was so delighted that we, I realized that, oh, we're,
Miranda Palmer:we're gonna be talking about this stuff on the podcast, um, today.
Miranda Palmer:And I was like, I'm so ready to talk.
Miranda Palmer:Um, it was a morning to say the least.
Kelly Higdon:Well, last night I had choir till really late, and sometimes
Kelly Higdon:it takes me a while to decompress.
Kelly Higdon:So I was reading and I found some interesting stuff.
Kelly Higdon:I sent you an article, for example, on how ULA is joining Amazon Health.
Kelly Higdon:I don't know if you got an email about Amazon Health, but I did.
Kelly Higdon:About how we can see a doctor now through Amazon.
Kelly Higdon:You and I are both in an effort not using Amazon,
Miranda Palmer:correct
Kelly Higdon:our lives, taking Amazon out of our lives.
Kelly Higdon:Uh, but I thought that was really interesting.
Kelly Higdon:What did you think about it?
Miranda Palmer:Actually, I got two articles from you and that
Miranda Palmer:was not one of them, but I will tell you what I think about.
Kelly Higdon:Um, I thought I also sent you that one.
Kelly Higdon:Yes.
Kelly Higdon:I sent you some others as well.
Kelly Higdon:We can get to those.
Miranda Palmer:Uh, you know, it's a really interesting space I've been
Miranda Palmer:working on for our business schoolers.
Miranda Palmer:A a, um.
Miranda Palmer:Like an Excel spreadsheet that shows all these different online mental health tech
Miranda Palmer:companies, um, and it helps them to look at if they're considering, well, usually,
Miranda Palmer:well, let, let me go back a second.
Miranda Palmer:Traditionally in our work, we've been working with therapists for 15 plus
Miranda Palmer:years providing, uh, coaching and consulting around private practice.
Miranda Palmer:And in the past, the question was always, do I do private pay?
Miranda Palmer:Do I take an insurance contractor?
Miranda Palmer:10, um, do I do a hybrid of the two?
Miranda Palmer:What does that look like?
Miranda Palmer:And now therapists are having to make this decision of.
Miranda Palmer:Do I do a insurance contract credentialing on my own?
Miranda Palmer:Do I just do private pay or do I navigate through one of these
Miranda Palmer:online mental health tech companies?
Miranda Palmer:Ula being one.
Miranda Palmer:Um, better help being one of them.
Miranda Palmer:Talk help.
Miranda Palmer:I started Go Sonder Mind.
Miranda Palmer:I started like putting the list and it was like.
Miranda Palmer:14, 15, 16, 17. And I know that I don't have all of them yet.
Miranda Palmer:Yeah.
Miranda Palmer:So the noise that's out there for therapists to figure out where
Miranda Palmer:they want to focus and put their heart and their soul and their
Miranda Palmer:labor is getting like so complex.
Miranda Palmer:And I could imagine, especially at this time, I know a lot
Miranda Palmer:of therapists who've decided.
Miranda Palmer:I don't wanna be a part of the Amazon universe.
Miranda Palmer:Amazon, the amount of money they bring in that money does not
Miranda Palmer:go back to, um, communities.
Miranda Palmer:Like the money that I spend in my city, like what is it, like 2 cents or like a
Miranda Palmer:very small amount of that profitability is actually coming back to my city
Miranda Palmer:versus if I was go to go into a store.
Miranda Palmer:And I think that that's really powerful and impactful.
Miranda Palmer:So those same therapists that may have decided that they don't wanna be
Miranda Palmer:associated with Amazon overnight, they've now become connected in with Amazon.
Miranda Palmer:Now they're sort of an a contract employee because they've contracted
Miranda Palmer:with ula, and ULA is paying them.
Miranda Palmer:ULA gets to decide who and how they work for, and so suddenly they might
Miranda Palmer:be supporting the Amazon universe.
Miranda Palmer:And I, for one, would be sort of really disappointed, livid.
Miranda Palmer:But also I think it's a call, I say a call to arms.
Miranda Palmer:That sounds a little alarmist, but it's a reminder that when you are
Miranda Palmer:going in to be a contractor and when you are signing these, uh, signing
Miranda Palmer:these contracts and you're saying, Hey, I'm an informed business owner,
Miranda Palmer:um, you don't necessarily know what they're going to do with your labor.
Miranda Palmer:With your name, with your NPI provider number, with the contracts you are
Miranda Palmer:putting trust in this organization that you're okay with the decisions
Miranda Palmer:they're gonna make for you.
Kelly Higdon:Well, and uh, rule has what about 15,000
Kelly Higdon:therapists that work for them and.
Kelly Higdon:They used to be, have a different name.
Kelly Higdon:Their owner, uh, was convicted of some fraud and then, uh, they ended up
Kelly Higdon:changing the business name and I think there's a new CEO and owner and such.
Kelly Higdon:So there's a lot, lot that happens behind the scenes in these companies.
Kelly Higdon:And what we are seeing is like the name of the game, right, is to
Kelly Higdon:keep raising more money and then having more venture capital, um,
Kelly Higdon:private equity firms involved.
Kelly Higdon:And then things get.
Kelly Higdon:Blended together, right?
Kelly Higdon:So like combining forces till we're probably gonna have like some sort
Kelly Higdon:of monopoly on the whole system.
Kelly Higdon:But one of the articles I sent you on was Better help as well, and it
Kelly Higdon:really speaks to, you know, what happens in some of these corporations.
Kelly Higdon:Um, what is going on with when we give our labor, when we take away our labor,
Kelly Higdon:the impact on these companies as well.
Kelly Higdon:Um.
Kelly Higdon:So looking at just Rua for example, I think there's going to be more
Kelly Higdon:of, this is what I'm predicting more of collaboration with companies
Kelly Higdon:that have no business in mental health care, let alone medical care.
Kelly Higdon:But anyway, um, and then we have something like better help that is struggling now.
Kelly Higdon:Um, personally I love seeing that, but, um.
Kelly Higdon:I think there's gonna be a lot more volatility moving forward.
Miranda Palmer:Yeah, there were, it was really interesting.
Miranda Palmer:Yes.
Miranda Palmer:Better help is struggling and according to their numbers now, their numbers
Miranda Palmer:may not be accurate, but the way that they define the amount of therapists
Miranda Palmer:that are working for better help, they're employing 17% of therapists
Miranda Palmer:in the United States and what the CAO came out and did, um, as within like.
Miranda Palmer:Two months of, of taking the helm at Better Help or Teladoc in particular.
Miranda Palmer:Uh, Teladoc is the overarching organization that owns Better
Miranda Palmer:Help, better help's an arm of that.
Miranda Palmer:Um, they said, Hey, we've got, uh, we gotta figure this out.
Miranda Palmer:This isn't working for us.
Miranda Palmer:And so we need to figure out how to change what we're offering.
Miranda Palmer:Mm-hmm.
Miranda Palmer:Right.
Miranda Palmer:Make more profitability, come up with different products.
Miranda Palmer:So there's some different little places that they are navigating now.
Miranda Palmer:Any therapist that has worked for better help will tell you that they're
Miranda Palmer:not making any money or profitability.
Miranda Palmer:Working with better help, despite the fact that Better Help will.
Miranda Palmer:Um.
Miranda Palmer:Send you, like, they've sent me things saying that I could make $120,000 a year
Miranda Palmer:if I go to work, um, for better help.
Miranda Palmer:Oh, isn't this fantastic?
Miranda Palmer:I do this little slider bit.
Miranda Palmer:It's, uh, looks great.
Miranda Palmer:And what you find is that the base pay for most therapists
Miranda Palmer:starts at about 30 or $35 an hour.
Miranda Palmer:And I, or I'm sorry, 30 or $35 a session sessions are 45 minutes.
Miranda Palmer:It does not account for documentation.
Miranda Palmer:It does not account for.
Miranda Palmer:Asynchronous communication that you're expected to do
Miranda Palmer:with your particular clients.
Miranda Palmer:Um, and then the rates only get up to their max, which is less than I
Miranda Palmer:think, $80 a session in most states.
Miranda Palmer:Once you're doing 35 plus client hours, and they'll switch around the languaging.
Miranda Palmer:So they'll say, this is how much we're paying.
Miranda Palmer:Per session, and then they'll talk about the client hours you're doing,
Miranda Palmer:and you don't realize that they're using these, these words in different ways.
Miranda Palmer:There's actually, I've heard, although I, I need to confirm this,
Miranda Palmer:that there's a class action lawsuit from therapists coming together
Miranda Palmer:saying, Hey, we were misled.
Miranda Palmer:In the contracts, um, we were misled in the way that we were recruited on.
Miranda Palmer:There is also sub companies because Better Help is sort of well known as
Miranda Palmer:somebody that people are trying to avoid.
Miranda Palmer:There are recruiting companies, one of them named Gotham.
Miranda Palmer:Uh, yes, like Batman, g Gotham Industries, and Gotham is simply
Miranda Palmer:recruiter for better help.
Miranda Palmer:But because if they put that they recruiter for better
Miranda Palmer:help, people wouldn't respond.
Miranda Palmer:Because they kind of know the game based on Reddit and social media and a lot of
Miranda Palmer:therapists showing their experiences, um, they're being sneakier and sneakier.
Kelly Higdon:When you look at the model for how a lot of these work, I mean,
Kelly Higdon:when Better Help First came on the scene, I remember us talking about, you know,
Kelly Higdon:it's all run on venture capital funding.
Kelly Higdon:It doesn't have profitability yet, and what they do is they
Kelly Higdon:gather the labor, they gather the clients, and then they change.
Kelly Higdon:How they're going to make the money in order to maybe show profitability for
Kelly Higdon:sale or for merger or whatever it may be.
Miranda Palmer:Yeah, that and Better Help has raised, you know,
Miranda Palmer:from the last time that I looked at it a few weeks ago, $1.8 billion.
Miranda Palmer:Um, and partially that is part of the Teladoc platform, so it's hard
Miranda Palmer:sometimes to figure out what's better help versus what, what is Teladoc,
Miranda Palmer:but $1.8 billion and they have been spending for a long time, a considerable
Miranda Palmer:amount of money on marketing or.
Miranda Palmer:Quote unquote client acquisition, right?
Miranda Palmer:Yeah.
Miranda Palmer:And their big complaint is that client acquisition is the issue.
Miranda Palmer:It just costs so much money to get a client in a mental health
Miranda Palmer:build 'cause they're paying.
Miranda Palmer:I think the last time I looked it was like $10 million in podcast.
Miranda Palmer:Um, uh, uh, podcast advertising like every quarter or every month.
Miranda Palmer:It, like for years it's been really wild.
Miranda Palmer:Um, and.
Miranda Palmer:This is, I think, also really interesting what they attribute.
Miranda Palmer:The reason that people leave better help is because of affordability.
Miranda Palmer:So I wanna talk about this piece, right?
Miranda Palmer:Better help is actually quite affordable, right?
Miranda Palmer:In terms of like one of the cheapest ways to get therapy.
Miranda Palmer:And better help is saying it costs us a lot of money to acquire
Miranda Palmer:a client and the clients are leaving because of affordability.
Miranda Palmer:Can we talk about is that the truth or is that a story they're telling
Miranda Palmer:themselves and like, what is it really looking like for our clients that are
Miranda Palmer:in private practice in terms of how much money do they spend to acquire a client?
Miranda Palmer:And do most clients leave because of affordability?
Miranda Palmer:Or what does that really look like?
Kelly Higdon:I would say, you know, that was.
Kelly Higdon:You could see it better help's model was to be everywhere, to pour into
Kelly Higdon:marketing dollars to support every kind of freaking podcast you ever listen to.
Kelly Higdon:Even if it had nothing to do with mental health.
Kelly Higdon:They are everywhere, affiliates, all of that.
Kelly Higdon:Um, that is an expensive mode of marketing, but they, but.
Kelly Higdon:That's not the idea.
Kelly Higdon:Like for them, it's not about, at in the beginning, it's not about profitability.
Kelly Higdon:It's a numbers game.
Kelly Higdon:It's about how many people, how many, um, you know, email addresses
Kelly Higdon:you have, how many participants, how much labor you have.
Kelly Higdon:And I think, you know, in private practice, a lot of what you and I
Kelly Higdon:teach is how to do marketing with like little to no cost, very low cost.
Kelly Higdon:It is more time investment.
Kelly Higdon:Um, but it is less of this pouring dollars into ads and all of that.
Kelly Higdon:And, and especially now when you have all of these companies, right?
Kelly Higdon:They're all, they've got billions of dollars and
Kelly Higdon:they're advertising everywhere.
Kelly Higdon:Like, I don't, I don't even wanna be in, I don't even wanna, I don't even
Kelly Higdon:wanna be in that space, you know?
Kelly Higdon:So I, I do believe, like in, at least in the private practice sector
Kelly Higdon:as a, as a small business owner.
Kelly Higdon:You can do the marketing with a, a lower cost and not in the ocean
Kelly Higdon:that everyone else is swimming in.
Kelly Higdon:You know, we talk about Blue Ocean strategy if you've never read that book,
Kelly Higdon:but like getting away from where everybody else is and kind of standing out in your
Kelly Higdon:own unique way, usually in your community, you know, and being visible there.
Miranda Palmer:I think that's the piece is that when you are advertising.
Miranda Palmer:For a big organization, they wanna be national, they wanna be international,
Miranda Palmer:and they want to basically reach out to every single person.
Miranda Palmer:You can't really be customized based on who you are trying to target and
Miranda Palmer:how you help, and when you have.
Miranda Palmer:Tens of thousands or hundreds of thousands of, of very unique therapists
Miranda Palmer:with very unique skill levels, they have made no effort that we can see.
Miranda Palmer:Really very few of these companies have made any effort to specialize their
Miranda Palmer:marketing, to ensure their therapists have particular types of training
Miranda Palmer:to actually connect a, a, a client's specific needs with a therapist that can.
Miranda Palmer:Actually help and support that particular issue.
Miranda Palmer:And that has been a particular reframe that we've heard.
Miranda Palmer:You see it all over Reddit, but definitely from from our clients.
Miranda Palmer:That said, you know, I thought maybe I. Um, when I was transitioning from
Miranda Palmer:the nonprofit to private pay or to, to opening my own private practice,
Miranda Palmer:like this would be like a no brainer.
Miranda Palmer:And then I realized that it was such a churn and burn experience
Miranda Palmer:where I was being thrown clients that I had no business working with.
Miranda Palmer:I was deemed if I said that I don't have this specialty or tried to
Miranda Palmer:refer them to someone that did, um, or, uh, unfortunately in some cases.
Miranda Palmer:Or in many places, well, I shouldn't say in many, but in some cases, in a, a
Miranda Palmer:strong percentage, some of these companies did not require people to have valid
Miranda Palmer:particular credit cards, have their real names on there or any of these places.
Miranda Palmer:And so unfortunately, there were even, we say clients in, in parentheses
Miranda Palmer:points, um, or, or in quotes.
Miranda Palmer:That these clients were not clients, they were people who were actually trying
Miranda Palmer:to target therapists or target, yeah.
Miranda Palmer:Women who cause harm.
Kelly Higdon:Mm-hmm.
Miranda Palmer:Yeah.
Miranda Palmer:In, in inappropriate ways.
Miranda Palmer:And there was no way to tag those people to flag them.
Miranda Palmer:Mm-hmm.
Miranda Palmer:Um, there was no consultation.
Miranda Palmer:I think any therapist that's been in private practice for any period of
Miranda Palmer:time, we have all gotten those calls and it can be really distressing,
Miranda Palmer:but at the very least we know.
Miranda Palmer:You, you learn very quickly how to filter those individuals out and block them, but
Miranda Palmer:there's no way to do that, um, in these.
Miranda Palmer:Many of these organizations,
Kelly Higdon:which I think brings up the case of are people leaving
Kelly Higdon:because better help is so expensive.
Kelly Higdon:Like, I can't, I don't wanna pay $30 for my session or whatever the number
Kelly Higdon:is, but in reality, do I wanna pay $30 for therapy with a burnout therapist?
Kelly Higdon:No, it's not.
Kelly Higdon:I don't, I don't, it's not even 10 do, I don't wanna pay $10.
Kelly Higdon:So it's a, it's like, so, you know, think of, you can't just say that it's, it's.
Kelly Higdon:It's because of money.
Kelly Higdon:We, there's a bigger, more insidious thing happening here where we are burning
Kelly Higdon:out and traumatizing the workforce.
Kelly Higdon:There's no support, there's no outcomes tracking or any of that.
Kelly Higdon:And then the clients are just coming from wherever.
Kelly Higdon:There's no and anywhere and they're just wanting to get some quick support.
Kelly Higdon:Some people generally need a lot.
Kelly Higdon:Of in-depth therapy, trauma work, and this is what is accessible to them.
Kelly Higdon:But they're coming into a system that is already has the cracks breaking
Kelly Higdon:and the foundation has cracks in it.
Kelly Higdon:And then you ask, is this worth $30 and or 50, whatever.
Kelly Higdon:No,
Miranda Palmer:no.
Miranda Palmer:That's always my thought is like $5 is too much to pay for bad therapy.
Miranda Palmer:Like $0 free is too much to pay for bad therapy, and I don't think that
Miranda Palmer:therapists are, are purposefully trying to be bad therapists.
Miranda Palmer:But when you're on your 40th or 50th or 60th client of the week, when you started
Miranda Palmer:this as a side gig to transition over to private practice and then quickly
Miranda Palmer:realize that you couldn't do this.
Miranda Palmer:Actually and and do this full-time.
Miranda Palmer:And so you kept your full-time gig and now you're doing this other place.
Miranda Palmer:You were burnout when you began, right?
Miranda Palmer:Or again, you were in the space where there maybe you haven't really been
Miranda Palmer:trained on how to be a therapist.
Miranda Palmer:It's really unfortunate in our field.
Miranda Palmer:What we find, um, in the, in the research from people who've gone
Miranda Palmer:really in depth with, with the therapy work is that years of experience
Miranda Palmer:or particular types of training, all these things do not correlate
Miranda Palmer:with enhanced outcomes for clients.
Miranda Palmer:Right.
Miranda Palmer:And we are not doing a good job as a profession in terms of teaching
Miranda Palmer:therapists not just how to do psychotherapy, but how to do it well.
Miranda Palmer:I think a lot of people, like my play therapy training when I was working
Miranda Palmer:with kids was we'll just play some games with them and do some Uno.
Miranda Palmer:Um, you know, get out the, sorry or what have you, and I'm like, okay.
Miranda Palmer:So then I'm playing sorry with them for weeks.
Miranda Palmer:And I'm like, I don't understand what is supposed to be happening here.
Miranda Palmer:I'm trying to read books, I'm trying to navigate it, but my, my ability to
Miranda Palmer:actually provide child therapy, and this is while I'm in clinical supervision.
Miranda Palmer:Didn't make any sense.
Miranda Palmer:I was trained as a licensed marriage and family therapist in California.
Miranda Palmer:Which unfortunately meant I had very little hours in terms of how
Miranda Palmer:to actually provide couples therapy.
Miranda Palmer:The only people, the only class that I took in school about couples
Miranda Palmer:and family work was done by someone who was not a clinician, who was a
Miranda Palmer:researcher who could tell us nothing about how to actually do the work like.
Miranda Palmer:The whole situation was wild.
Miranda Palmer:So I ha I made the choice to go and do additional training, um, in doing
Miranda Palmer:couples work, but realistically, a lot of therapists don't have that
Miranda Palmer:privilege or that time or that money.
Miranda Palmer:And so they're sitting in a room, in an echo chamber doing the best that they
Miranda Palmer:can doing, doing the work and saying, well, you know, it's just couples
Miranda Palmer:therapy is really hard, you know?
Miranda Palmer:Mm-hmm.
Miranda Palmer:Yeah.
Miranda Palmer:A lot of people just don't make it.
Miranda Palmer:Without like taking responsibility that like Yeah, that's, that's true.
Miranda Palmer:And we need to do better.
Kelly Higdon:And I think you and I both had our practices during
Kelly Higdon:a recession and we have been through a lot, we've watched a lot.
Kelly Higdon:Economic ups and downs, the good times, the not so good times.
Kelly Higdon:And this idea of like, people are leaving because they can't afford it.
Kelly Higdon:I would say in some private practices, yes, you will have some people where
Kelly Higdon:their circumstances change and they, they truly, they love their work
Kelly Higdon:with you and it is not working for them, and you need to refer them out.
Kelly Higdon:This is.
Kelly Higdon:Particularly for private pay kind of practices.
Kelly Higdon:We see it also in insurance where people are like, I can't even afford my copay.
Kelly Higdon:You know?
Kelly Higdon:So it does happen, but we have also seen the other side of where people are like,
Kelly Higdon:this is a priority of my health and wellbeing, and this is something that I
Kelly Higdon:prioritize over other things in my life.
Kelly Higdon:That thing is, is that when you are in private practice, you are not meant
Kelly Higdon:to be the better help of the world.
Kelly Higdon:You are not meant to see 60 people a week.
Kelly Higdon:You're not meant to see the people that can, that need something with
Kelly Higdon:that level of financial assistance.
Kelly Higdon:I don't know what we wanna call it, but financial difference, right?
Kelly Higdon:You're looking for the 12, 15 people in your large community.
Kelly Higdon:That really value the kind of work you do and that they can see the
Kelly Higdon:transformation that you provide.
Kelly Higdon:And so this is where we've been talking about, like in our business school.
Kelly Higdon:One of the things I've been saying of if you want to make it through whatever is
Kelly Higdon:happening in this world and our economy and all of that, we have to get really.
Kelly Higdon:We can't just get by saying like, I hold space for you.
Kelly Higdon:We have to really be creative and in our knowing of like the transformation
Kelly Higdon:and the value that we bring.
Kelly Higdon:And when we don't hold that value, no one else is gonna do it for us.
Kelly Higdon:And so it's very important that we don't lob ourselves.
Kelly Higdon:I'm making up weird words today.
Kelly Higdon:I don't know why, but like into the category of the better helps of the world.
Kelly Higdon:And we understand that like we're a different kind of business.
Kelly Higdon:We do a different kind of service and we serve a different kind of client.
Miranda Palmer:I think here's a, this is, there's so much like, I feel like
Miranda Palmer:we could talk for hours, um, about this.
Miranda Palmer:So first and foremost, I wanna talk to that idea of like, Hey, here's the 12
Miranda Palmer:or 15 clients that we really need to see that value, the work that we can get great
Miranda Palmer:outcomes with and what that looks like.
Miranda Palmer:What I think sometimes it can, it can sound elitist on the surface.
Miranda Palmer:It can sound elitist on the surface.
Miranda Palmer:Like, this is it, this is how I can afford it, you know, whatever the dynamic is.
Miranda Palmer:But what I have seen, um, like through doing this work for so long and talking
Miranda Palmer:with thousands and thousands of therapists is that therapists really love this work.
Miranda Palmer:They wanna give back.
Miranda Palmer:Yeah.
Miranda Palmer:And they have a huge impact on their community.
Miranda Palmer:So when this person is full with these clients and they have a functioning
Miranda Palmer:business, these individuals.
Miranda Palmer:Go and volunteer.
Miranda Palmer:They give back.
Miranda Palmer:They are putting money.
Miranda Palmer:Yes, they're doing donations.
Miranda Palmer:They are doing all of these things.
Miranda Palmer:Yes, they are making sure that they're preparing for their own retirement
Miranda Palmer:so that they don't need outside assistance, so that they don't have
Miranda Palmer:to be a drain on other nonprofits.
Miranda Palmer:All these other things, like when they create this functioning.
Miranda Palmer:Place.
Miranda Palmer:It has a big impact on the world.
Miranda Palmer:So that's like, mm-hmm.
Miranda Palmer:The first part, I think the second part is a lot of times
Miranda Palmer:we look at these scenarios and.
Miranda Palmer:A lot of us came from nonprofit organizations where we're like, oh my
Miranda Palmer:gosh, like this should be free, like the sliding scale model and all these other
Miranda Palmer:pieces, and we really wanna take this nonprofit model into our private practice.
Miranda Palmer:We wanna take the sliding scale, we wanna make things really low fee
Miranda Palmer:for everybody who could possibly.
Miranda Palmer:Come in for this resource and we forget, or maybe we didn't know that
Miranda Palmer:that nonprofit actually functioned on multimillions of dollars and like hours of
Miranda Palmer:grant writing and board meetings and all these other things to create these free.
Miranda Palmer:Sliding scale resources.
Miranda Palmer:So it's not like they were altruistically doing it for free either.
Miranda Palmer:Like people were actually getting paid, maybe they weren't getting paid
Miranda Palmer:well, but they weren't getting paid.
Miranda Palmer:There was maybe some benefits involved.
Miranda Palmer:There was vacation, sick time, all these other things.
Miranda Palmer:So there's like a lot that was there.
Miranda Palmer:Then finally going back to this idea of like, what does this
Miranda Palmer:really look like in the real world?
Miranda Palmer:So I'm talking with my friend the other day.
Miranda Palmer:Um, they just actually moved to another, uh, another space.
Miranda Palmer:We're having a Zoom check-in and we started talking about, uh, we were talking
Miranda Palmer:about chat, GBT, and we were talking about therapy and they said, oh my gosh.
Miranda Palmer:Um.
Miranda Palmer:I think chat, GPT is a better therapist than my therapist.
Miranda Palmer:I think they could do more of what I am looking for sometimes than
Miranda Palmer:my therapist could look, could do.
Miranda Palmer:And as we started digging in a little bit more, without going into too much
Miranda Palmer:detail, they start describing their thera.
Miranda Palmer:They met their therapist on one of these online tech company platforms.
Miranda Palmer:Their therapist is consistently late to every single session.
Miranda Palmer:Every single session, their therapist then starts randomly ending
Miranda Palmer:early without telling them why.
Miranda Palmer:Um, their therapist doesn't know how to set boundaries in terms of navigating, um,
Miranda Palmer:in, in between session, the asynchronous communication email or text communication
Miranda Palmer:that they adopted and brought over from the online, online tech company.
Miranda Palmer:Mm-hmm.
Miranda Palmer:Even when this person became like just paying, paying them directly.
Miranda Palmer:So, and then they start describing more of like the actual intervention.
Miranda Palmer:This person wasn't remembering what they were saying, wasn't able to track
Miranda Palmer:the dynamics, and it literally just became like sitting with a friend.
Miranda Palmer:But no real like diving into what is therapy?
Miranda Palmer:What is therapy?
Miranda Palmer:What is something that is therapy that goes beyond typing in or speaking
Miranda Palmer:in what you're struggling with.
Miranda Palmer:And someone goes, oh, that sounds really hard.
Miranda Palmer:Well, you know, I hear this negative cognition pattern.
Miranda Palmer:Here's what you could do differently.
Miranda Palmer:Like, there's a lot of things that that chat GPT could do just
Miranda Palmer:as well or better than we could.
Miranda Palmer:But what can't chat GPT do?
Miranda Palmer:They can't feel that shift.
Miranda Palmer:They can't notice the way that you twitch.
Miranda Palmer:And you talk about it, they can't notice the things that you continually avoid.
Miranda Palmer:They can't see you like your, your throat shutting down.
Miranda Palmer:Yeah.
Miranda Palmer:They can't feel that.
Miranda Palmer:Like your energy doesn't actually go beyond your shoulders and
Miranda Palmer:you're not actually in your body.
Miranda Palmer:Like there's so many things that we can do that chat GPT can't
Miranda Palmer:do and we're not showing up.
Miranda Palmer:I think sometimes as a profession 'cause we're tired and burnout.
Kelly Higdon:Yeah.
Kelly Higdon:I just wondering people listening that maybe work for these companies, how
Kelly Higdon:they're feeling hearing us talk and we want you to know that we care about you.
Kelly Higdon:Um, and that
Kelly Higdon:I understand like some people feel like this is the only way for them,
Kelly Higdon:um, to generate income, to take care of themselves, to make it through and.
Kelly Higdon:Um, I just wanna challenge it just a little bit to say that there might
Kelly Higdon:be some other better options for you.
Kelly Higdon:Um, but trusting yourself and knowing and you doing what is right for you.
Kelly Higdon:Like if.
Kelly Higdon:If you work for one of these companies and you know that you show up on time
Kelly Higdon:that you're providing great therapy, that this really works for you,
Kelly Higdon:awesome, great if that, if that is you.
Kelly Higdon:But if you're feeling like a little triggered or something by this
Kelly Higdon:conversation, then maybe it's just like an invitation to say like, what do I need?
Kelly Higdon:What do I need to shift?
Kelly Higdon:So that I can feel good about how I'm showing up so I can feel good
Kelly Higdon:about where I put my labor so I can feel good about like the decisions
Kelly Higdon:I'm making as a clinician and just as a human being in the world.
Miranda Palmer:Yeah, and it's not, I think that the thing that I, for me, with
Miranda Palmer:online tech companies is that they're a, they're a bridge to trying to fix a
Miranda Palmer:broken system that actually maybe in some cases breaks the system a little bit more.
Miranda Palmer:I. Um, better help, obviously has traditionally been direct to.
Miranda Palmer:Client consumer care, but now they're talking about pulling in and
Miranda Palmer:starting to integrate in insurance.
Miranda Palmer:But many of these other companies are saying, Hey therapists, we get it.
Miranda Palmer:You've been struggling to get great reimbursement rates and to navigate
Miranda Palmer:the administrative burden of insurance, we're gonna come into this inner,
Miranda Palmer:into this in, in, in-between place, and we're gonna fix that for you.
Miranda Palmer:And they're like, we're gonna negotiate, we're gonna get higher rates and we're
Miranda Palmer:gonna take all the administrative burden.
Miranda Palmer:We got you.
Miranda Palmer:And then in reality, what is happening is that sometimes those
Miranda Palmer:rates are not the highest rates.
Miranda Palmer:In fact, sometimes those rates are much lower.
Miranda Palmer:Sometimes those rates were higher, and then once people were established with
Miranda Palmer:them, then the rates are getting dropped.
Miranda Palmer:Some of these online tech companies are finding that like they're not getting paid
Miranda Palmer:at all for some of the sessions because they're trying not to pass it along to.
Miranda Palmer:Uh, to the providers.
Miranda Palmer:Um, some of these online tech companies don't really understand the mental
Miranda Palmer:health, and honestly, some of the private practice owners, when you are
Miranda Palmer:contracted as a 10 99, you're contracted as a business, not as an employee.
Miranda Palmer:And so when you are a 10 99 contractor, your contract is very clear of what
Miranda Palmer:liability you are keeping in place.
Miranda Palmer:And for a lot of therapists, they don't realize how much liability is coming in.
Miranda Palmer:Maybe that company's gonna take care of clawbacks, but they're not gonna take
Miranda Palmer:care of the fact that, um, their system wasn't HIPAA compliant and you didn't
Miranda Palmer:do the, the right steps to put that in place, or that you started doing things
Miranda Palmer:that weren't HIPAA compliant, thinking that it would work within their system.
Miranda Palmer:But not realizing like, oh, I didn't use an encrypted email to email this
Miranda Palmer:company that I'm contracted with, so now that's on me, and now I am at risk.
Miranda Palmer:Like there's so much that's that's in there for us to let navigate through.
Miranda Palmer:Right?
Miranda Palmer:While in 2023 and in 2022, the top five health insurance companies in the United
Miranda Palmer:States made over $40 billion in profit.
Miranda Palmer:Like after paying everybody.
Miranda Palmer:So when you have this space where most therapists would say, not, not in all
Miranda Palmer:states, and not with all insurance con contracts, but a significant
Miranda Palmer:amount of therapists would say, Hey, this system isn't really, work,
Miranda Palmer:isn't really made for one-to-one provision, uh, across insurance.
Miranda Palmer:Most companies.
Miranda Palmer:That do insurance or medical offices, it's because they can say, you met with
Miranda Palmer:the CNA and you met with this, and you met with this person, and everybody
Miranda Palmer:spends two minutes with you, and all of that is put into place, and then there's
Miranda Palmer:this big number that you're billed for.
Miranda Palmer:We don't get to do that.
Miranda Palmer:We're just one person.
Miranda Palmer:We're just one CPT code.
Miranda Palmer:Like here's, here's the piece.
Miranda Palmer:So when the system is already broken and doesn't work, if you
Miranda Palmer:put a middleman in the middle.
Miranda Palmer:To take a percentage that has to make a profit because
Miranda Palmer:they need to pay back, right?
Miranda Palmer:Sonder might mean needs to pay back and provide profits on
Miranda Palmer:$276 million in investments.
Miranda Palmer:Grow needs to pay back and provide again profits on $178 million of investments.
Miranda Palmer:Like where do we think all this money's going to come from?
Miranda Palmer:It's our labor.
Miranda Palmer:We are the product.
Miranda Palmer:We are the product Spring Health Grow Sonder, mind ruler, better Health
Miranda Palmer:would be nothing without us unless they use our knowledge to create
Miranda Palmer:something that doesn't require us.
Miranda Palmer:Mm-hmm.
Kelly Higdon:Sorry.
Kelly Higdon:I'm curious to see if we will have more unionization and things like
Kelly Higdon:that coming on board, but even I. I'd say it was a year and a half ago when
Kelly Higdon:things started to really pick up.
Kelly Higdon:Maybe it was a couple years ago.
Kelly Higdon:Oh, Siri talking to me.
Kelly Higdon:Um, I.
Kelly Higdon:I, I just, I have that, maybe it's intuition, maybe it's just
Kelly Higdon:my own anxiety, I don't know.
Kelly Higdon:But I have this feeling of like, in five years it's all gonna look different again.
Kelly Higdon:That either there's gonna be some claw back that really obliterates
Kelly Higdon:one of these companies, or they all kind of merge and eat themselves.
Kelly Higdon:Um, be more labor disputes and things like that to come.
Kelly Higdon:So I imagine.
Kelly Higdon:This landscape is going to keep changing and it's why we're
Kelly Higdon:gonna keep talking about it.
Miranda Palmer:I think this is the part that's really hard though, too.
Miranda Palmer:Like you mentioned the idea of unionizing, and I talk with a lot
Miranda Palmer:of therapists that are like, union is the way, well, here's the piece.
Miranda Palmer:There's a reason that they're hiring you as a 10 99 contractor.
Miranda Palmer:Yeah.
Miranda Palmer:And not as an employee because 10 99 contractors are businesses,
Miranda Palmer:and businesses can't un unionize.
Miranda Palmer:That's considered a monopoly.
Kelly Higdon:But I think that what, what I'm, what I'm saying is that I'm
Kelly Higdon:wondering if more and more that's gonna get more and more of an issue and these
Kelly Higdon:companies are gonna get slammed with like better help, you know, has already
Kelly Higdon:been taken to court for labor violations.
Kelly Higdon:They really are like problematic.
Miranda Palmer:It is, it's, well, and it's similar though, to, to,
Miranda Palmer:it sounds like a weird suggestion.
Miranda Palmer:So Uber eats Lyft.
Miranda Palmer:Mm-hmm.
Miranda Palmer:Uber, right.
Miranda Palmer:These have all been 10 99 contractors.
Miranda Palmer:Mm-hmm.
Miranda Palmer:Who have been the major source of labor.
Miranda Palmer:Right.
Miranda Palmer:So we are more like Uber Eats and Lyft.
Miranda Palmer:We are more of the token economy and we watch what they did to try
Miranda Palmer:to convert over to employment.
Miranda Palmer:Yeah.
Miranda Palmer:And we saw how many millions of dollars were paid to keep these
Miranda Palmer:individuals as contractors.
Miranda Palmer:And it's.
Miranda Palmer:It's a lot that the biggest thing that we could do, I think for therapists
Miranda Palmer:if we wanted to come together before you can unionize, we have to either
Miranda Palmer:change the dynamic that says 10 99 contractors or people that are
Miranda Palmer:business owners can't unionize.
Miranda Palmer:Or we need to make a, a strong argument to say actually we are
Miranda Palmer:w we should be W2 employees.
Miranda Palmer:Yeah.
Miranda Palmer:Is an employment contract.
Miranda Palmer:And realistically, every therapist that we've worked with who has tried to do
Miranda Palmer:10 99 contractors in an ethical way, um, they have every time they get audited.
Miranda Palmer:They end up having, like they find that they were actually employees.
Miranda Palmer:Mm-hmm.
Miranda Palmer:And then they get back payroll taxes and have to do back pay to these individuals.
Miranda Palmer:But again, some of these individuals that, there's these managed services
Miranda Palmer:organizations that some of these companies are, are doing these high level, really
Miranda Palmer:complex contractor contracts where they say, no, that's not what we are.
Miranda Palmer:We do not like they've gone through.
Miranda Palmer:Lots of hoops to make sure that they're protected from what
Miranda Palmer:happened with, with Uber and Lyft to say we, you are not employees.
Miranda Palmer:And this is the other thing that I think is, you know, it comes down
Miranda Palmer:to, is that all of the labor laws that we have that are protections,
Miranda Palmer:those protections are for employees.
Miranda Palmer:If you are a 10 99 contractor.
Miranda Palmer:You don't, you're not protected.
Miranda Palmer:You don't fall under those things.
Miranda Palmer:Like they don't have to pay you at least minimum wage.
Miranda Palmer:Yeah.
Miranda Palmer:If you work more hours and they're not paying you at least minimum wage doesn't
Miranda Palmer:matter because you are a business and you went into this contract knowingly.
Miranda Palmer:Yeah.
Miranda Palmer:I don't agree with it, but it's, it's the reality.
Kelly Higdon:There are other articles I sent you, I don't know if
Kelly Higdon:we wanna touch on those today, but
Miranda Palmer:there is.
Kelly Higdon:So
Miranda Palmer:much that's here.
Miranda Palmer:I know, I, I kind of do wanna talk a little, how long have we been chatting?
Miranda Palmer:It's already been 40 minutes.
Miranda Palmer:Maybe we should stop and then we'll chat about the other one, because I
Miranda Palmer:think this is a lot to kind of take in.
Miranda Palmer:So like
Kelly Higdon:Yeah, I think like, can we just pause for a second and acknowledge
Kelly Higdon:that you've listened to us, get all hyped.
Kelly Higdon:This is what we do.
Kelly Higdon:Actually behind the scenes.
Kelly Higdon:We're like, can you believe that, you know, we talk back and forth.
Kelly Higdon:Um.
Kelly Higdon:And I just appreciate you hanging with us on this podcast, but let's just all just
Kelly Higdon:take a breath for a second and just check in with like, what this is feeling like
Kelly Higdon:for you and what, what does it mean for you if like, if, if it's anything, you
Kelly Higdon:know, just coming back to yourself and your own knowing of what is right for you.
Kelly Higdon:This is not about scaring you.
Kelly Higdon:It's about really just kinda understanding how the whole system is
Kelly Higdon:working now and how the landscape is shifting, and then we get to decide
Kelly Higdon:how much we wanna participate in it.
Kelly Higdon:Um, some of that is our privilege.
Kelly Higdon:I will say that, you know, but, um, yeah, just taking a breath and
Kelly Higdon:coming back to your own energy for a moment of listening to all of this.
Miranda Palmer:I guess I would, I would love to leave you with a couple
Miranda Palmer:of of questions for those of you who are listening, some things to like feel into.
Miranda Palmer:Um, one is the contract are the contracts, and this is a across the board.
Miranda Palmer:If you are in private practice in your contracting with one
Miranda Palmer:of these companies, are these contracts really working for you?
Miranda Palmer:And if they are not working for you and if you have the privilege to do
Miranda Palmer:so, the more, the more therapists that say no to contracts that don't work.
Miranda Palmer:This actually does put pressure on these online tech companies and on insurance
Miranda Palmer:companies to raise the bar and do better.
Miranda Palmer:If they want to stay in business, they need our labor.
Miranda Palmer:If they find that our labor costs more, then they have to either pay more for our
Miranda Palmer:labor or they need to leave the market.
Miranda Palmer:And when they leave the market, it actually creates more space and
Miranda Palmer:more ease for us, and it creates less noise for the consumer.
Miranda Palmer:Right?
Miranda Palmer:So first and foremost, can I get clear?
Miranda Palmer:About what contracts do and don't work for me.
Miranda Palmer:And let's say you find that there's some contracts that don't work for you and
Miranda Palmer:you are looking at it and going, oh my gosh, like this really doesn't work, but
Miranda Palmer:I don't have the privilege to do that.
Miranda Palmer:Right?
Miranda Palmer:Right.
Miranda Palmer:Now, can we start to make plans?
Miranda Palmer:Can we start to, um, to slowly divest.
Miranda Palmer:Can we start to put some energy into finding our own place and our communities
Miranda Palmer:to really stepping into that vision?
Miranda Palmer:Because I think, here's something I, we were, uh, I was on a meeting with,
Miranda Palmer:um, with some clients that we work with yesterday, and I keep hearing
Miranda Palmer:this question of, is private pay?
Miranda Palmer:Private practice like gone?
Miranda Palmer:Like, can you really do it here today?
Miranda Palmer:And I'm working with this client and their biggest issue is
Miranda Palmer:that they're growing so fast.
Miranda Palmer:Even now with all the noise in the market, there are private pay, um, practice.
Miranda Palmer:They have a specialized kind of work that they do.
Miranda Palmer:They had in the last three years, they had more people sign up in March.
Miranda Palmer:Um, in March and April than ever before.
Miranda Palmer:Like even like to date, like the amount of people that have come on and their,
Miranda Palmer:their full fee private pay practice, um, that's made to do really well.
Miranda Palmer:So they can pay their employees well and the employer well, um,
Miranda Palmer:like they're, they're in the, in the expansion phase, right?
Miranda Palmer:So.
Miranda Palmer:Can we take a step back and maybe even just open up the space to go?
Miranda Palmer:Maybe there's just a really great group practice owner I could work for.
Miranda Palmer:Maybe there's somebody who's another therapist who really can protect
Miranda Palmer:me, who can hire me as a W2, who can provide me benefits that will still
Miranda Palmer:be flexible with this work that will help me develop myself as a therapist.
Miranda Palmer:Maybe that person is out there.
Miranda Palmer:If you are looking for that kind of position, like let us know.
Miranda Palmer:Like we always have group practice owners who are fantastic, who are looking for
Miranda Palmer:really great employees, but those people trying to find the clinicians because
Miranda Palmer:there's millions of dollars being paid.
Miranda Palmer:I just got something in my in in my text this morning, somebody trying
Miranda Palmer:to hire me as a therapist or what have you from one of these companies.
Miranda Palmer:Like it is exhausting and there's so much noise and.
Miranda Palmer:A regular group private pay practice, they can't pay to get an
Miranda Palmer:A list of therapists phone numbers to text all of them, you know?
Miranda Palmer:Yeah.
Kelly Higdon:All right.
Kelly Higdon:Well, this is our first go at, like you and I doing this, just talking
Kelly Higdon:about what's going on in the world.
Kelly Higdon:I love chatting with you, of course.
Kelly Higdon:And I love letting people see.
Kelly Higdon:See this.
Kelly Higdon:So we'll wrap this one up and we'll make another one and
Kelly Higdon:we'll just see how this goes.
Miranda Palmer:If you hate it, review us.
Miranda Palmer:If you love it, review us from those reviews that you give us on podcasts
Miranda Palmer:that will help us direct, um, whether these are things that we will continue
Miranda Palmer:to do, um, but we would love to hear your reviews so we can decide if this
Miranda Palmer:is how we want to continue to use this.
Miranda Palmer:Again, we'll be still primarily starting a counseling practice, success stories.
Miranda Palmer:We have so many great success stories.
Miranda Palmer:Uh, that are booted up and ready to go.
Miranda Palmer:So please know those will not go away.
Miranda Palmer:Um, and of course, you'll always be able to skip these ones if you don't love them,
Kelly Higdon:of course.
Kelly Higdon:Um,
Miranda Palmer:but there you go.
Miranda Palmer:Until next time y'all, bye.