Counseling and Coaching Career - Definitive Guide

If you're interested in a career in counseling, therapy, or coaching, check out this ultimate guide.

TOC

Who are Counselors, Therapists, and Coaches?

LMHC, Clinical Psychologist, LPC, Psychiatrist, MD, Industrial Psychologist, etc - there are a lot of professional titles and job descriptions, and that is one of the biggest obstacles when considering a career in therapy, counseling, coaching, etc.

Scrolling list of careers

It might feel like there are too many options to choose from, too many things to consider, and a lack of consistent information and comparison. This post aims to fix that.

We were surprised by some of our findings - especially when it comes to cost vs returns - and hope to shine more light on them.

In this guide, we’ll go over the various career tracks, the costs and education/training involved for each, their flexibility, job outlook and earning potential - so that you can make an informed decision.

Therapist vs Counselor vs Psychiatrist

Therapists and counselors are broad umbrella terms that refer to various mental health practitioners. Theoretically, it’s not that hard to distinguish between therapy and counseling. Taking a look at their definitions, therapy refers to treatment or healing, whereas counseling refers to advice and helping find solutions - but in practice, the terms are used interchangeably by most since there’s a lot of overlap.

So let’s walk through the formal professions and look at their main distinctions.

Psychology track distinctions

There’s a huge variance in expected wages ($50k to $200k) and it’s primarily because of the education and training involved. We’ll take a more detailed look into each of these professions later. But what if you’re not interested in helping people work on mental health issues. Or maybe you’re just not interested in spending a decade and tons of money on education.

Relationship and Life Coach

They help people 1-on-1 or in a group to work towards defined goals. Majority of coaches operate private practices - coaching clients in person, online, or via phone. A few also sell courses and programs. One of the most famous life coaches is Tony Robbins.

Coaches have a lot of specializations, like health, fitness, business, etc but we’re primarily looking at Dating, Relationship, and Life coaches.

Earnings

Hard to benchmark what a relationship/life coach earns because there hasn't traditionally been a job market for them. Many people treat coaching as a part-time labor of love, not a primary source of income.
Comparing the employment opportunities out there right now, you can expect to earn $30,000 to $50,000 working full-time for a company/agency. However, the job market is limited to a relatively small number of openings and locations.
For self-employed coaches, self-reported earnings from top 10% coaches are as high as $100k. The average is closer to $45k.

Education

No formal education required.
There are training programs as well as international and national certifying bodies, but legally you’re not required to have any education or training to operate as a life or relationship coach.

To summarize, these professions can be divided into 4 main categories:

Psychiatrist
Psychologists
Licensed Counselors
Coaches

Now let’s take a deeper look into what it actually takes to pursue any of these careers - education, costs, license, etc.

How To Become

Psychiatrist

Yearly Income ~$200,000

A psychiatrist is a medical doctor and has to go to medical school as well as complete a residency before they can obtain their license to practice psychiatry. Thus, the career track to be a psychiatrist is longer, costlier, and more complicated than those who wish to be licensed counselors or psychologists.

Process

Graduate college with a degree that allows admission into medical schools
Most medical schools expect students to have taken and passed one year each of biology, general chemistry, organic chemistry, calculus, and physics
Graduate medical school
Medical school usually takes four years. High medical school grades can increase a student’s odds of getting a good residency.
To get into a medical school, applicants must pass the MCAT (Medical College Admission Test)
Apply to be a licensed doctor so one can actually practice
Applicants should apply in the state where they intend to practice or complete their residency.
They'll generally need to take a state board examination and meet additional requirements, such as completing a background check.
Complete a psychiatric residency
Psychiatry residencies typically take 4 years.
During residency, they learn about and treat a wide range of mental health conditions, usually in a hospital setting.
Become board-certified with the American Board of Psychiatry and Neurology
Board certification is optional, but most psychiatrists want to be certified.
They'll need to take a board certification exam and renew their certification every 10 years.
Complete any additional state licensing requirements
Most states require doctors to complete a certain number of continuing education credits to keep their license.

Timeline

The amount of time it takes to become a psychiatrist varies from person to person.

Some people take longer to graduate college than others. Others take time off after graduation to study for the MCAT. Occasionally, a person is able to complete college more quickly than is typical.
Assuming a person does not take any breaks and graduates on a typical timeline, the time from high school graduation to psychiatric board certification is as follows:

        4 years of college
        4 years of medical school
        4 years of residency (during which they'll earn ~$60,000 a year)
That demands a total of 12 years after high school, so the youngest age at which a psychiatrist can expect to begin practicing is about 30.

Costs

The average cost to become a psychiatrist varies depending on where a person goes to school, whether they receive student loans, and whether they live in an area with a high cost of living.

According to data from The College Board and Association of American Medical Colleges -

Psychiatrist Education Costs

The above calculations don’t include room and board, books and supplies, transportation costs, etc.

On average, it can cost ~$11k for room and board per year, adding ~$45k to the total cost
The other expenses can go up to $5k per year, adding another ~$20k

So, 4-year college can cost you

In-state ~$50,000 to $100,000
Out-of-state ~$100,000 to $150,000
Private non-profit ~$150,000 to $200,000

And 4 years of medical school

In-state ~$150,000 to $200,000
Out-of-state ~$250,000 to $300,000
Private non-profit ~$250,000 to $300,000

Taking the costs together, for an out-of-state public school student, the tuition costs of medical school and college is about $330,000.

And total costs will probably include another $50,000 to $100,000 for room and board, books and supplies, transportation, other expenses, etc.

Takeaway - After spending 12+ years studying and training, many psychiatrists spend the first several years of their career playing financial catch-up and struggling with student loan debt.

They spend $200,000+ for their 8 years of education (college and medical school), then get paid only ~$60,000 per year during their 4 years of residency before finally earning their expected wages of around ~$190,000.
Some aspirants will end up paying 2x to 3x the amount for tuition because tuition may run over $400,000 in some situations, plus other living expenses.

Industrial-Organizational Psychologist

Yearly Income ~$80,000

Industrial psychologists, also known as industrial-organizational (I-O) psychologists, study the psychological aspects of the workplace. Several career paths are open to I-O professionals. Many work in human resources or management consulting, while others do research and teach in academic settings.

The majority of psychologists work full-time, and those individuals who are self-employed or operate from a private practice may have more control over their schedule than those employed by an outside organization.

Process

Get a Bachelor’s Degree
Although no specific undergraduate degree is required, students who do not major in psychology will want to be sure to take some foundational classes in psychological principles, statistics, social psychology and research methodology.
Get a Master’s Degree
While a master’s degree isn’t required to become a psychologist, practicing I-O psychology in the private sector usually requires a master's degree.
Get a Doctorate
At the doctoral level, students can pursue psychologist study through a Doctor of Philosophy (Ph.D.) or Doctor of Psychology (Psy.D) program.
In addition to coursework and a dissertation, students are also required to complete one to two years as an intern to hone their clinical skills under the watchful eye of a licensed clinical psychologist.
Complete clinical training/internship
States normally require you to do a two-year supervised internship. This is a good idea for many reasons: you get on-the-job training, you learn whether a certain specialty is right for you, and you get the satisfaction of helping others.
Get Licensed (and stay licensed)
Licensure requirements vary state-by-state but are generally quite similar and include graduating from an accredited doctoral program, completing a set number of hours in supervised experience, and successfully passing examinations.
At the doctoral level, most programs require approximately two years – or 3,000 hours – worth of supervised experience, but some states may not require any postdoctoral experience.

Timeline

The amount of time it takes varies from person to person

Some people take longer to graduate college than others. Others take time off after graduation.
Assuming a person does not take any breaks and graduates on a typical timeline, the time from high school graduation to getting certified as a psychologist includes -

        4 years of college
        2 years of master’s degree
        3 to 5 years of doctorate
        1 to 2 years of internship (during which, they'll earn ~$30,000 a year)
That demands 9-13 years after high school, so the youngest age at which a IO psychologist can expect to begin practicing is about 27-30.

Costs

The average cost varies depending on where a person goes to school, whether they receive student loans, and whether they live in an area with a high cost of living.

According to data from The College Board, American Psychology Association and National Center for Education Statistics -

IO Psychologist Education Costs

The above calculations don’t include room and board, books and supplies, transportation costs, etc.

On average, it can cost ~$11k for room and board per year
The other expenses can go up to $5k per year

So, 4-year college can cost you

In-state ~$50,000 to $100,000
Out-of-state ~$100,000 to $150,000
Private non-profit ~$150,000 to $200,000

2 years of master’s program

In-state ~$30,000 to $50,000
Out-of-state ~$70,000 to $100,000
Private non-profit ~$90,000 to $150,000

And doctorate program

In-state ~$70,000 to $110,000
Out-of-state ~$100,000 to $150,000
Private non-profit ~$150,000 to $200,000

Taking the costs together, for an out-of-state public school student, the total tuition costs are about $240,000.

And total costs will probably include another $50,000 to $150,000 for room and board, books and supplies, transportation, other expenses, etc.

Takeaway - After spending 9+ years studying, training, and internship, they can finally start earning around $80k starting salary.

They study for 8 to 12 years, spend $150,000+ on it, then get paid only ~$30,000 during their 1-2 years of internship before starting to earn their expected wages of around ~$80,000 (if they don’t get a master’s, they’ll probably start around ~$65,000).
Some people will end up paying 2x to 3x the amount for tuition and other expenses.

Clinical and Counseling Psychologists

Yearly Income ~$70,000

Clinical and Counseling psychologists both work in hospitals, clinics, private practice, etc. The primary distinction between the two is that clinical psychologists focus more on the treatment of mental illnesses. However, there is extensive overlap.

Process

Get a Bachelor’s Degree

Degrees in clinical psychology don’t exist at the bachelor’s level, but there are numerous academic paths a student can elect to follow. Psychology is the most popular option since it provides many of the prerequisite courses that advanced degrees will require, but students may also study pre-med, anthropology, or sociology.
Get a Doctorate

There are two paths available for psychologists: the PhD in Psychology and the PsyD. The former is well-suited to individuals planning to focus their talents in research, while the PsyD prepares students to see clients in a clinical setting.

Being accepted to either type of program is a colossal accomplishment as most departments receive hundreds of applications and matriculate less than a dozen students.
In addition to coursework and dissertation, students also have to finish one to two years as an intern under the supervision of a licensed psychologist.
Complete clinical training/internship

Because licensure is mandated at the state level, graduates may or may not be required to complete post-doctoral training in their jurisdiction. States normally require 1-2 years supervised internship.

Those looking to focus their skills and knowledge in a specialized area of clinical psychology, such as child or gerontology, may want to complete additional clinical training even if their state doesn’t require it.
Get Licensed (and stay licensed)

Licensure requirements vary state-by-state but are generally quite similar and include graduating from an accredited doctoral program, completing a set number of hours in supervised experience, and successfully passing examinations.

At the doctoral level, most programs require approximately two years – or 3,000 hours – worth of supervised experience, but some states may not require any postdoctoral experience.

Timeline

The amount of time it takes varies from person to person.

Assuming a person does not take any breaks and graduates on a typical timeline, the time from high school graduation to getting certified as a psychologist includes -

        4 years of college
        4 to 7 years of doctorate
                Ph.D programs will take 5 to 7 years
                Psy.D programs will take 4 to 6 years
        1 to 2 years of internship
                During internship, one can expect to make ~$30,000 a year
Demands 9-13 years after high school, so the youngest age at which a clinical or counseling psychiatrist can expect to begin practicing is about 27-30.

Costs

The average cost varies depending on where a person goes to school, whether they receive student loans, and whether they live in an area with a high cost of living.

According to data from The College Board, American Psychology Association and National Center for Education Statistics -

Clinical Psychologist Education Costs

The above calculations don’t include room and board, books and supplies, transportation costs, etc.

On average, it can cost ~$11k for room and board per year
The other expenses can go up to $5k per year

So, 4-year college can cost you

In-state ~$50,000 to $100,000
Out-of-state ~$100,000 to $150,000
Private non-profit ~$150,000 to $200,000

And doctorate program

In-state ~$70,000 to $110,000
Out-of-state ~$100,000 to $150,000
Private non-profit ~$150,000 to $200,000

Taking the costs together, for an out-of-state public school student, the total tuition costs are about $200,000.

And total costs will probably include another $50,000 to $100,000 for room and board, books and supplies, transportation, other expenses, etc.

Takeaway - After spending 9+ years studying, training, and internship, they can finally start earning around $70k starting salary.

They study for 8 to 11 years, spend $120,000+ on it, then get paid only ~$30,000 during their 1-2 years of internship before starting to earn their expected wages of around ~$70,000.
Some people will end up paying 2x to 3x the amount for tuition and other expenses.

Licensed Counselor

Yearly Income ~$50,000

Licensed Counselors operate under various job titles depending on their state of practice and specialization. The most common ones are:

LMHC (Licensed Mental Health Counselors) or LPC (Licensed Professional Counselors)
Different states have different titles
LMFT (Licensed Marriage and Family Therapists)
Specialize in marriage counseling and family issues
LCSW (Licensed Clinical Social Workers)
Besides counseling, they also help their clients obtain required services, etc

Process

Obtain a bachelor’s degree in a related field, eg. behavioral, social science, or psychology field, as most schools do not offer undergraduate degrees in counseling

Most aspiring counselors choose to earn a bachelor of arts or bachelor of science in psychology, but some may also consider pursuing a bachelor of social work (BSW).
Earn a master's degree in mental health counseling - which include master of arts, master of science, master of education in counseling, and master of counseling psychology

Obtaining a graduate degree in mental health counseling is a requirement for getting licensed.

To maximize opportunities, get in a program accredited by the Council for Accreditation of Counseling and Related Educational Programs (CACREP) as some states require this.
Complete graduate and postgraduate internship experience for certification/licensure requirements

State licensing boards determine the required amount of supervised training hours for an applicant to be eligible for licensure/certification.

Every state has specific requirements of hours, settings and how the hours are documented and submitted. Generally between 2000 to 3000 hours, can be as high as 5000 hours
Pass counseling exams for licensure

Most states (and/or counseling programs) require the passing of a recognized counseling examination before applying for licensure.

Most states require either one or both of the National Counselor Examination for Licensure and Certification (NCE) or National Clinical Mental Health Counselor Examination (NCMHCE), both available from the National Board for Certified Counselors (NBCC). There is also Counselor Preparation Comprehensive Examination (CPCE) administered by the Center for Credentialing & Education (CCE).

Some concentrations do not require completion of a NBCC exam but rather defer to a certification upon application to the state in which the counselor wishes to practice, i.e. school and college counseling.

Additionally, some states accept or require the Certified Rehabilitation Counselor Examination (CRC) for counselors seeking to work with individuals who have physical, mental, development, and/or emotional disabilities.
Earn any additional mental health certifications

Licensed professional counselors can pursue a national certification through the National Board of Certified Counselors (NBCC)

Requirements include
        Master's degree and national counseling certification
        Official college transcript
        Documentation of supervised clinical practice
        Letters of recommendation
Maintaining licensure by continuing education

To maintain state licensure, counselors need to complete a certain number of continuing education hours each year. Specific requirements vary by state but include training in counseling theory and practice, professional identity and practice issues, and assessment and research in psychology and counseling.

        Counselors can earn continuing education credits by taking college and university courses; attending webinars, seminars, and conferences; publishing or taking part in projects; and holding leadership positions in the field.

To apply continuing education hours to licenses and certifications, counselors need to make sure that they take continuing education courses from state- and association-approved providers.

        Organizations like the NBCC offer lists and databases with approved providers, while the American School Counselor Association (ASCA) clearly defines what each state requires for continuing education.

Students must provide documentation to receive continuing education credits.

        States, organizations, and associations may require counselors to submit certificates of completion for online courses or webinars, program information from conferences and seminars, or letters of support from colleagues and superiors.

Timeline

Assuming a person does not take any breaks and graduates on a typical timeline, the time from high school graduation to getting certified as a psychologist includes -

        4 years of college
        2 years of masters
        1-2 years of internship
That demands 7-8 years after high school, so the youngest age at which a clinical or counseling psychiatrist can expect to begin practicing is about 25-26.

Costs

The average cost varies depending on where a person goes to school, whether they receive student loans, and whether they live in an area with a high cost of living.

According to data from The College Board, American Psychology Association and National Center for Education Statistics -

Licensed Counselor Education Costs

The above calculations don’t include room and board, books and supplies, transportation costs, etc.

On average, it can cost ~$11k for room and board per year
The other expenses can go up to $5k per year

So, 4-year college can cost you

In-state ~$50,000 to $100,000
Out-of-state ~$100,000 to $150,000
Private non-profit ~$150,000 to $200,000

2 years of master’s program

In-state ~$30,000 to $50,000
Out-of-state ~$70,000 to $100,000
Private non-profit ~$90,000 to $150,000

Taking the costs together, for an out-of-state public school student, the total tuition costs are about $140,000.

And total costs will probably include another $30,000 to $80,000 for room and board, books and supplies, transportation, other expenses, etc.

Takeaway - After spending 7+ years studying, training, and internship, they can finally start earning around $45k starting salary.

They study for 6 years, spend $100,000+ on it, then get paid only ~$30,000 during their 1-2 years of internship before starting to earn their expected wages of around ~$45,000.
Some people will end up paying 2x to 3x the amount for tuition and other expenses.

Relationship or Life Coach

Earlier, we mentioned that one can expect to earn $30,000 to $50,000 working for a company. And that some top self-employed coaches even report earnings of over $100,000 a year.

Going by earnings, the decision to work for yourself seems pretty simple. However, it isn’t necessarily as easy as it sounds for the average person trying their hands on being a coach. So let’s take a closer look at how to become a self-employed relationship or life coach.

Self-Employed Coach

Unlike professions like psychologists, LPCs, psychiatrists, etc, coaching doesn’t require any formal education or licensure. Legally, anyone can call themselves any type of coach and start a business where they can charge clients for coaching.

However, for someone with no prior training, knowledge, or experience with coaching, that’s almost certainly not going to bear any fruit. To learn how to coach as well as to earn some credibility, most coaches get certified as coaches by private institutions.

What's the point of certification?

There is no individual regulatory body surrounding coaching and anyone can legally call themselves a coach and start a practice.
Whether starting a private practice or joining an established agency, certifications from prominent bodies help build credibility.
Certain types of coaching have a bigger need for credentials. Primarily depends on whether it’s a business clientele and the market competition.
Prominent Certifications for Life Coaches (and subsets like Dating Coaches, Relationship Coaches, etc) -

ICF (International Coaching Federation) is the most widely recognized accrediting body. It has three levels of certifications
        ACC (Associate Certified Coach)
        PCC (Professional Certified Coach)
        MCC (Master Certified Coach)

CCE (Center for Credentialing & Education), IAC (International Association of Coaching), EMCC (European Mentoring & Coaching Council) are other prominent accrediting bodies, but there are a lot of smaller ones.
        CCE certifies coaches as BCC (Board Certified Coach)
        IAC certifies coaches as Certified or Master Masteries Coach
        EMCC certifies coaches as EIA (EMCC Individual Accreditation)
According to a 2016 study by ICF -

99% of respondents received some form of coach-specific training, 89% received training that was accredited. The numbers are probably a bit inflated when compared to the real-world situation but the key takeaway is that the vast majority of coaches go through some training.

51% of the respondents were ICF certified, and another 28% from other bodies.

Process

Different certifications have different requirements. Most of the certifications just require payment for their training program and then certify everyone who goes through it. Let’s focus on the most prominent accrediting bodies and how you can earn their certifications.

International Coaching Federation

ICF Logo

Associate Certified Coach
60 hours of coach-specific training through an approved program
10 hours of mentor coaching from an ICF coach that qualifies
At least 100 hours (70 paid) of coaching experience with at least 8 clients
Evaluation of audio recording and written transcript of a coaching session
Passing an exam (Coach Knowledge Assessment)
Professional Certified Coach
125 hours of coach-specific training through an approved program
10 hours of mentor coaching from an ICF coach that qualifies (PCC)
At least 500 hours (440 paid) of coaching experience with at least 25 clients
Evaluation of audio recordings and written transcripts of two coaching sessions
Passing an exam (Coach Knowledge Assessment)
Master Certified Coach
200 hours of coach-specific training
10 hours of mentor coaching from an ICF coach that qualifies (MCC)
At least 2,500 hours (2,200 paid) of coaching experience with at least 35 clients
Evaluation of audio recordings and written transcripts of two coaching sessions
Currently holds (or previously held) PCC credential

International Association of Coaching

IAC Logo

Certified Masteries Coach
Evaluation of audio recording and written transcript of one coaching session
They expect it to satisfy their quality requirements, particularly as it pertains to their 9 coaching masteries
Master Masteries Coach
Evaluation of audio recordings and written transcripts of two coaching sessions

Center for Credentialing & Education

CCE Logo

CCE only offers one level of certification - Board Certified Coach - and the training requirements depend on background education/experience.

Bachelors in any field have to complete minimum of 120 hours of professional coach training from a CCE-approved coach training provider.
If the student has a recognized coaching credential as well, then they only have to do 60 hours of training.
Masters in social or behavioral sciences have to complete minimum of 60 hours of professional coach training from a CCE-approved coach training provider
Doctors in social or behavioral sciences have to complete minimum of 30 hours of professional coach training from a CCE-approved coach training provider
Masters or Ph.D in Counseling have to complete minimum of 30 hours of professional coach training from a CCE-approved coach training provider
National Certified Counselors (NCC) or Fully State-Licensed Counselors (LPC, LMHC, LMFT, etc) have to complete minimum of 30 hours of professional coach training from a CCE-approved coach training provider

Timeline and Costs

Depending on the credentials pursued, costs will vary a lot.

Getting certified by ICF requires a fee of $300 to $800 depending on the level of certification, but that isn’t all. Similarly, certification by bodies like IAC, CCE, etc also require a few hundred dollars in fees.
Since these certifications require coach training from programs approved or accredited by them, that’s a bigger investment. The cost of these programs can be several thousands of dollars. Eg:

        Erickson International - Courses range from $5,000 to $14,000
        CoachU - Courses range from $4,395 to $9,290
        IPEC - $11,950 USD
        International Coach Academy - $7315 to $9870
        Co-Active Training Institute - $12,970
        Institute for Life Coach Training - $4180 to $7700
        Coach Training World - $3795 to $8495
        Coach Training Edu - $3229 to $10789
        University of Wisconsin-Madison - $10990
        Newfield Network - $10000
        Rutgers University Leadership Coaching - $10,950

The duration of these courses can range from a few weeks to a couple of years.

Most of the times, the courses involve only a few hours of classes every week, and so it takes a long time.
Some courses offer fast-track options where they cover all the training required in a few weeks.
Since different certifying bodies have different requirements, there isn’t any consistent duration for these programs.

Takeaway

As a private practitioner, the implication is that you can have your own independent career, not report to anyone else, set your own hours, etc.
However, you have to rely on business and marketing skills more than actual coaching skills to succeed.
If you have a source of clients willing to pay you, e.g. selling to people from your local community group, then it can work, but if so you could probably start some other business that may be more profitable.
Most aspiring self-employed coaches find themselves with not enough consistent business or spend a lot of money trying to advertise and it's difficult to earn it back enough to be profitable.
Coaches often invest thousands of dollars in certifications and training programs to distinguish themselves from the competition and earn credibility, but regardless of which credentials you have, it’s still a marketing challenge to attract a consistent source of clients who seek your coaching

It’s a lot more viable to start your career as a coach if you’re employed by an agency/company. Here are some examples:

Relationship Hero - #1 Relationship Coaching website in the world and has served over 25k clients

RH Logo

~$30k/year pay and can go up to ~45k with benefits and promotions, etc.
Full-time remote work-from-home with flexible schedule
No background education required.
RH has its own training and certification program. People who pass get certified and hired as Relationship Coach.
Constantly hiring!

Life Coach School - Teaching coaching to aspiring coaches as well as 1-1 coaching for clients

Life Coach School Logo

$30k/year and up to $60k
Part-time and full-time remote work with flexible schedules
Requires prior certification from a coaching institution. They have their own program too
Limited hiring, as per our research

Lyra Health - 1-on-1 emotional wellness coaching to employees of businesses

Lyra Helath Logo

$30k-$40k/year
Requires graduation from an ICF Accredited Coach Training Program (more on this above)
Requires prior experience with coaching

RH Relationship Coach

Employment opportunities of life or relationship coaches are pretty limited. Besides the companies we listed above, we couldn’t find any that hired over 10 coaches per year consistently.

Relationship Hero is the #1 Relationship Coaching company in the world and employs over 100+ full-time coaches (40 hours per week). Around 20-30 applicants go through the certification training every month, but only a select few actually pass and get hired.

Within 6 months of being hired, coaches can be on track to earn $30,000 a year. And it can grow as high as $45,000 to $50,000 with bonuses and promotions.

Process

There are no background requirements

No formal education or experience is required to begin Relationship Hero’s training and certification process. Your prior education and experience may overlap with the concepts being trained, which will accelerate your progress.
Earn the Relationship Hero Associate Coach Certification

While the RH-ACC training program costs $2,999, applicants who wish to become a full-time Relationship Hero coach can receive an invite to participate in the program for free by completing an initial 60-minute online application.

The RH-ACC requires you to complete 60 hours of online coursework and pass a final exam.
Apply for Relationship Hero Professional Coach Certification

The RH-PCC is a free education provided by Relationship Hero, but it’s offered by invite only. All applicants must be RH-ACC holders and interview for a limited number of invitations.

In the RH-PCC training program, you’ll gain experience with real clients under the guidance of RH’s coaching team.
Pass the RH-PCC

Anyone who obtains the Relationship Hero Professional Coach Certification is immediately given a job offer from Relationship Hero.

New coaches will be closely monitored and reviewed their first 6 weeks.
Road to Senior Coach

There are regular training and review sessions for all coaches (regardless of experience).

Most coaches become Senior Coaches around 6 months in and start earning $30,000 a year.

Senior coaches also have the opportunity to earn yearly raises.

Timeline and Costs

Since the RH certification acts as a hiring funnel for the business, we offer a free invite to our $2,999 training program if applicants pass our initial online screening (usually a couple dozen get through each month).

The combined time to get RHACC and RHPCC takes around 3-4 weeks.
6 weeks of probation period for new coaches.
Becoming a Senior Coach takes around 6 months from the time you start working.

Takeaway - It takes about 6 months to start earning ~$30k/year, plus yearly raises, and there are no education or training costs involved.

Comparing the Different Career Tracks

There’s a lot to process and the cost vs reward of any of the above tracks isn’t immediately obvious. So let’s take a look at various factors to determine how worth it each of this career track is.

Time taken and costs involved

How much it costs

How much education and training costs is crucial when deciding if it will be worth it. Especially since most people will have to rely on education loans and incur a debt which they won’t start paying off until they start earning.

Psychiatrist ~$200,000

You can expect to pay ~$200k for college and medical school combined, and that’s on the conservative end. Going the private route could cost ~$400k just for tuition.
And total costs will probably include another $50,000 to $100,000 for room and board, books and supplies, transportation, other expenses, etc.

Psychologist ~$150,000

On the upper end, tuitions can cost ~$300k
With another $50,000 to $100,000 for other expenses.

Licensed Counselors ~$100k

Tuition costs can go up to ~$200k
Probably another $30,000 to $80,000 for other expenses

Self-employed Certified Coach ~$5k to ~$40k

Training programs towards pursuing certification from a major body like ICF can cost anywhere from $3,000 to $20,000.
ICF also requires you to get mentor coaching from other ICF coaches, which can cost another $1,000 to $4,000.
Getting specialization and higher levels of certification requires further training as well as required mentor coaching.

RH track $0

While the training program costs $2,999, anyone who passes the initial online screening can qualify for free training.
The job and training are both remote, so you can be anywhere in the world as long as you have good internet access.

How much time it takes to start earning at all

Besides the time investment itself, this is also crucial if one is relying on education loans since they won’t be able to start paying off the debt until they start earning.

Psychiatrist

College and medical school require a total of 8 years. And then there are 4 years of residency.
Students will earn during their residency, but only ~$60k compared to their expected starting wages of ~$180k.

Psychologist

College and obtaining a doctorate degree will take 7 to 10 years. And then there are another 1-2 years of internship.
Students will earn during their internship, but only ~$30k compared to their expected starting wages of ~$70k

Licensed Counselor

College and obtaining a master’s degree will take 6 years. And then another 1-2 years of internship.
Students will earn during their internship, but only ~$30k compared to their expected starting wages of ~$45k

Self-Employed Certified Coach

Pursuing certification takes anywhere from a few months to 2+ years.
Training programs can take weeks to more than a year, and then there’s the process of getting certified by a body like ICF.
Further specialization and higher levels of certification require further training which can be just as extensive.

Relationship Hero Senior Coach

Applicants who get through the review and training process will start earning within a month.
Becoming a Senior Coach and earning $30k/year usually takes around 6 months.

Difficulty and chance of success

Of course, just investing a bunch of time and money doesn’t guarantee you’ll be successful. There are other factors to consider, like getting accepted into a program or passing a licensing exam.

Psychiatrists

Psychiatrists have to score well on medical school entrance tests, then pass licensing exams.
In the U.S., the average Medical School acceptance rate for the 2017-2018 school year was 7%. This is based on the data submitted by 120 ranked medical schools to the U.S. News & World Report in an annual survey.

Psychologists and Licensed Counselors

Psychologists and Licensed Counselors have to pass various state licensing exams as well as get board certifications.
It’s hard to get accepted into good programs, especially for a Ph.D.
Acceptance rates for Ph.D in Psychology and Psy.D programs ranges from 8% to 14% depending on the subfield (data from APA), and as low as 1-2% for the top programs.
Acceptance rates for Masters programs range between 35% and 65% (data from APA).

Relationship Hero Coach

RH certification and hiring pass% is pretty low.
From several hundred applicants each month, 20-30 are selected to undergo training and certification, but only a handful make it to finally join the RH team.

Self-Employed Certified Coach

Getting non-RH coach certifications can be time-consuming but the main limitation is just the cost of the training programs. Most programs will pass everyone who pays to enter.
Additionally, the job market for coaches is inconsistent, as are the opportunities for a self-employed coach to acquire clients.

Job security, Employment and growth potential, Return on Investment (ROI)

How easy is it to find employment

Psychiatrist jobs are expected to grow by 11% over 2016 to 2026 by the US Bureau of Labor Statistics (BLS).

Although the BLS expects job prospects to be good overall, rural areas might have more job opportunities.
The expansion of the healthcare industry and improved access to health insurance due to healthcare reform are two factors that will drive growth.
More professionals will be needed to treat the aging population and newly insured patients who are gaining access to healthcare.

Psychologist jobs are expected to grow 14% from 2018 to 2028 by the BLS.

Industrial–organizational psychologists are expected to face competition for positions because of the large number of qualified applicants. Those with extensive training in quantitative research methods may have a competitive edge.
Employment of clinical, counseling, and school psychologists is projected to grow because of greater demand for psychological services in schools, hospitals, mental health centers, and social service agencies.
Demand for clinical and counseling psychologists will increase as people continue to turn to psychologists for help with their problems.
Psychologists also will be needed to provide services to an aging population, helping people deal with the mental and physical changes that happen as they grow older.
Psychological services will also be needed for veterans suffering from war trauma, for survivors of other trauma, and for people with developmental disorders, such as autism.

Licensed Counselor jobs are expected to grow 22% from 2018 to 2028, much faster than the average for all occupations.

Demand for substance abuse, behavioral disorder, and mental health counselors is expected to increase as states seek treatment and counseling services for drug offenders rather than jail time.
In recent years, the criminal justice system has recognized that drug and other substance abuse addicts are less likely to offend again if they get treatment for their addiction.
As a result, sentences often require drug offenders to attend treatment and counseling programs.
In addition, some research suggests that these programs are more cost-effective than incarceration and states may use them as a method to reduce recidivism rates.
There will be a continued need for counselors to work with military veterans to provide them the appropriate mental health or substance abuse counseling care.
Job prospects are also expected to be very good in rural areas or other communities that are underserved by mental health practitioners.

Relationship Hero is constantly hiring month after month and will continue for years to come.

While getting hired isn’t easy (only 2-5% of applicants actually get hired), applicants are welcome to reapply after a few months.
Since the application and review process happens every month, there’s always a chance for someone to join the RH team.
Since the work is conducted remotely for clients and coaches, flexibility and job security is really high, especially in times like now - pandemic and quarantine.

When it comes to Self-Employed coaches, there’s not a lot of data to go on. Ultimately, the success of a private practice depends far more on one’s business acumen than how good of a coach they are.

Demand for coaching is always increasing, but it’s hard to distinguish yourself from the thousands of other coaches out there.
Especially when brands and companies have entered the market, eg; Relationship Hero, BetterHelp (counseling, not coaching), etc.

Wages

Probably the most important thing to compare the professions on is how much you can actually earn.

All figures are estimate

Wage comparison

Return on Investment

We already established it takes a while to actually start seeing a return on your investment towards education, training. For a psychologist, it can take almost a decade. So let’s take a closer look at how much someone can totally earn during their career and how long it takes them to recover their costs for education/training.

Net Income Earned over the career

Take a look at this line graph that charts net income for each profession over the years. We have assumed the education loans to have a 7% interest rate and that everyone is putting aside 20% of their yearly income towards paying off their education loan.

Net Income Graph

We didn’t include self-employed coaches as it’s extremely hard to find accurate reports of yearly earnings.

Net Income at Year 30

Psychiatrist ~$3.3 million
IO Psychologist ~$910,000

Clinical Psychologist ~$1.01 million

Counseling Psychologist ~$950,000
LCSW ~$1.17 million

LMFT ~$1.14 million

LPC/LMHC ~$940,000
RH Senior Coach ~$900,000

Time until positive net income

Psychiatrists take ~12 years to have positive net earnings.
IO Psychologists take ~17 years

Clinical Psychologists ~15 years

Counseling Psychologists ~15 years
LCSW ~10 years

LMFT ~10 years

LPC/LMHC ~10 years
RH Senior Coach has no costs involved, so they have positive net earnings immediately, at Year 0.

Time to pay back education loan

Assuming everyone is putting aside 20% of their yearly income towards paying back their loan,

Psychiatrists take ~27 years to pay back their education loan
IO Psychologists take ~45 years

Clinical Psychologists take ~38 years

Counseling Psychologists take ~40 years
LCSW take ~25 years

LMFT take ~25 years

LPC/LMHC take ~30 years

Takeaway

Relationship Hero coaches have higher net income for the first couple of decades compared to all the other professions.

Psychiatrists only overtake RH earnings at Year 16.
Licensed Counselors take 20+ years.
Psychologists can take almost 30 years.

Psychiatrists have significantly higher earnings than everyone else.

Almost 3x compared to the other professions.
Not surprising, since they’re medical doctors.

Psychologists have surprisingly low return on investment compared to the rest.

They spend more and study for longer than Licensed Counselors, ultimately earning higher wages.
However, their net income is lower even at Year 30.

Paying back education loans can take around 30 years.

Psychologists have it worst, taking 40-45 years
Licensed counselors can clear it up in around 25 years.

Work-from-home options

Let’s take a quick look at employment opportunities that allow you to work from home and have flexible schedules. The wages will be comparatively lower than the non-remote options, but you have to keep in mind that remote work has other benefits - primarily no time and money wasted on commuting.

BetterHelp

BH Logo

State Licensure required, which means all the requirements that you need to be a licensed counselor or psychologist.
The earnings aren’t disclosed by the company.
However, comparing reports on sites like glassdoor, payscale, salary, and reaching out to people working at the company, we found it to be ~$30/hour.
This comes up to $60,000 a year, assuming guaranteed 40 hours of clients per week.

TalkSpace

TS Logo

State Licensure required, which means all the requirements that you need to be a licensed counselor or psychologist.
Comparing reports on sites like glassdoor, payscale, salary, and reaching out to people working at the company, we found wages to be ~$20/hour. $40,000 a year, assuming guaranteed 40 hours of clients per week

Ginger.io

Ginger logo

State Licensure required, which means all the requirements that you need to be a licensed counselor, psychologist, or psychiatrist.
According to their job posts, earnings are:

        Psychiatrist full-time - $210-230k
        Psychologist full-time - $85-100k
        Therapist (LCSW) Contract based ~$45-60k

Relationship Hero

RH Logo

No formal background required
RH Senior Coach - $30k/year
Can earn up to $45k with bonuses and promotions

Conclusion

Career Outlook

You can spend 12+ years studying and training to be a psychiatrist, accrue over $250k in student loan debt to start earning ~$180k.
You can spend 9+ years studying and training to be a psychologist, accrue over $150k in student loan debt to start earning ~$70k.
You can spend 7+ years studying and training to be a licensed counselor, accrue over $100k in student loan debt to start earning ~$45k. You could further pursue a doctorate to bump up wages to ~$70k.
You can spend 1-2 years and thousands of dollars to get certified as a life coach but still rely on your own skills to acquire clients.
You can spend $0 and then start earning $30k/year as a Relationship Hero coach in 6 months.

Considerations And Our Recommendations

Psychiatrist

The highest wages, net income, and return on investment make this the best choice when it comes to earning potential.
However, this also requires the longest time investment and the highest education cost.
The high education cost is not as big a deal because of the high return on investment, but spending 12+ years on education and training before you can finally start earning is a tough decision.
Psychiatrists are a completely separate track from the other professions we’ve discussed since it requires going to medical school, which is quite hard - requiring a centralized exam.
Our Recommendation: Choose this track if you want the highest earnings possible or really want to be a medical doctor in the field of mental health.

Psychologist

The low net income and return on investment compared to the high education costs make this a pretty bad choice when it comes to earning potential.
Though wages are higher than those of Licensed Counselors, the comparatively higher education costs and longer training mean that your net income will actually be lower than Licensed Counselors, at least until 35-40 years into your career.
Psychologists have a lot more employment opportunities compared to Licensed Counselors, specifically in research, industrial sector, education, etc.
Our Recommendation: Choose this track if you have interests beyond just counseling and therapy, like being involved in research, education, or business.

Licensed Counselors

Decent net income and return on investment compared to the education costs make this a nice choice, especially since the time and money investment is much lower than psychiatry or psychology tracks.
Wages are much lower than Psychologists, but because of the faster education and lower costs, they actually have higher net income than psychologists for the first few decades of their careers. It can take almost 40 years before psychologists have higher net earnings.
Employment opportunities are limited to counseling and therapy, and there’s not much scope into research, business, etc, without pursuing a doctorate degree and becoming a psychologist.
Our recommendation: Choose this track if you are primarily interested in counseling and therapy, as you’d not be spending nearly as much money or time compared to psychology or psychiatry.

Self-Employed Certified Coach

No guaranteed income makes this a pretty risky choice.
Education costs are way lower than the above tracks, but to have a successful private practice, you can end up spending a lot after initial training and certification.
Like training on the business and marketing side of things, advertisements to acquire new clients, yearly membership fees (like for ICF), etc.
Our recommendation: Choose this track if you’re looking for a secondary source of income, have extra time, and are really interested in helping others. Even so, this track wouldn’t be our first recommendation.

Relationship Hero Senior Coach

Nice net income and return on investment, especially since it involves 0 money investment and minimal time investment (for training).
Wages are lower than all the formal tracks but when comparing net incomes, RH coaches are earning the highest for the majority of the first 3 decades.
It takes Psychiatrists 15+ years to overtake RH coach earnings, Licensed Counselors take 20+ years, and Psychologists can take almost 30 years.
Our recommendation: Choose this track if you’re not specifically interested in mental health issues and don’t want to spend a huge amount of money and time on education and training.

By Marco