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Billing Considerations


Cash flow can easily be the bane of private practice. Your accounts receivables can be thousands of dollars while you are struggling to pay rent because the cash has not came in yet. This is especially true with private insurance companies that can take several months to pay. Be sure that you understand billing criteria, forms and timelines clearly if you are doing your own billing. Various software programs can integrate your notes, treatment plans and billing. You can also employ a business platform service or private mental health billing company. Whichever you choose, cash will need to be flowing as freely as possible into the coffers. Here are some tips as you set out to collect money for services


  • Carefully read the contracts offered by the insurance companies and EAPs before signing up. 
  • Counter with an offer addressing any concerns. You may be able to negotiate higher reimbursement rate. 
  • Understand the specific pros and cons about signing up as in network vs out of network. Some companies pay high rates or in a faster manner for one vs the other. 
  • Collect co-pays for clients immediately. 
  • Accept you will have to talk to your clients about money. Your services are not free. 
  • If you balance bill clients each month, call to follow up on the bill or hire someone to do so. 
  • If a client wants to pay on their bill, let them do so immediately.
  • Research to see if one provider is a staple of your area. In Wyoming, Medicaid will electronically pay eligible providers every week for valid services. This helps cash flow. 
  • Build a positive relationship with the representatives from the insurance companies, your billing company or your software's customer support line. Questions arise often. 
  • Put away money into business savings for low cash flow times. 
  • You may be able to charge your client at the time of session and allow them to collect reimbursement from their insurance. I find that this payment arrangement leads to clients stopping therapy early due to out of pocket expense. 

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