As the cost of living increases, it is important to examine your costs and rates to ensure your business remains current and viable.  For some educational therapists, raising rates can be intimidating; however, as a professional, it is important to reflect on the practice to best determine if or when a rate increase is needed. 

Here are a few things to consider.

Timing

As a professional, most ETs have a fiscal year that may or may not coincide with the calendar or academic year.  The start of the fiscal year may be the most opportune time to implement an increase in rates.  Another option is to set a new rate when a new client begins.  Older clients may be “grandfathered” in at older rates.  Perhaps, different clients are charged different amounts for various reasons.  Take time to think through this process.  It can be more challenging from a bookkeeping perspective if clients are charged different rates, but there are tools available to help with this, such as accounting software or working with an accountant.

Communication

Be clear about your fee structure and any changes that may come about.  People do not like to be surprised by changes that affect their budget, and unexpected increases can be detrimental to your business.  Do not let this intimidate you from making an increase, but rather be mindful of how news of the increase is shared with the clients.  Perhaps a note to all clients in advance of any change is needed.  People need to know of the adjustment and have the opportunity to decline services if necessary.  For some clients, an increase may be too much for them financially and this needs to be respected.  It would then be up to the individual educational therapist to decide if this particular client should be handled differently.

Consistency

Keep in mind that word of mouth can be very effective in growing your practice.  Rates may be shared as a part of the referral, so be prepared to answer questions surrounding different rates if necessary.  Be ready to say that you have not raised rates on current clients yet, but must initiate the increase with all new clients.  If you want the business to grow, rate increases are essential.  Be clear, communicate, and be consistent!  Put yourself in the client’s shoes and treat them as you would want to be treated. 

Profitability Is Good for Our Clients

Our clients hire us for our ability to help them develop their learning.  They count on us to run a viable business.  If the costs of an ET practice go up and the rates do not, the business loses viability.  Also, most of our clients build their budgets with an expectation that costs may change by a small amount from year to year.  It is better for the client to have small rate changes every year than to go for a few years with no rate change and then suddenly incur a huge rate change.

Resource Links:

How to set rates

Rate analysis sheet

Reduced Rate Services