Are you one of the thousands of counselors who dream of a private practice but do not believe it can be done? The next couple of posts will take a look at the reality behind some common misconceptions about being your own boss and being responsible for making your own money.

Myth 1: You have to have a two income household to start a private practice.

This is inaccurate because with one income you can support your family. With one private practice income you can break even with your current income within the first few months. The myth is a fear based idea that comes from living paycheck to paycheck. To stop living in this short term almost crisis state, I recommend following Dave Ramsey’s baby step three of saving three to six months of income. This way, regardless of the profit or loss your practice initially brings, your income can remain stable for several months. The self-discipline it takes to stop eating out, stop buying useless items, and realizing what are luxuries that can be sacrificed is essential to challenging this myth.

Myth 2: Only counselors without kids can take the risk of being on their own.

Taking the time to plan and truly organize your time is a skill that many forget to utilize after college. Counselors are all capable of time management or they would not have received a masters degree. Many successful practitioners began growing their business in conjunction with growing their families. You do not have to take my word for it, just look at the podcast and video bloggers that share how they were able to balance their work and home lives.

Myth 3: I need the benefits that I can only get working for an agency.

Many myths begin with a grain of truth, and the truth in this myth is that health benefits are less expensive when working for an agency. However, that decrease cost in benefits comes at such a significant salary cut it does not make financial sense in the long run. The IRS offers tax deductions for employers providing health insurance for their employees. The irs.gov website details qualifications for deductions, but in short, as an employee of even a sole proprietorship you can provide health insurance and other benefits for your one employee. This takes research, several phone calls for confusing information the internet may provide from inaccurate sources, and determination that your practice is a full time career. If you are transitioning mid-calendar year and have already met your deductible, I recommend using COBRA. If you have never heard of COBRA, google it!!!

If you are a clinician or an aspiring counselor looking for a consultation, contact me today. (918) 732-9730