5 Quick and Easy Ways to Get Paid by Private Clients

When you’ve got private pay clients you want to:

1. Keep them happy.
2. Get paid quickly and easily (which will keep YOU happy).

Traditionally, people have paid cash or check for fee for service. While there are many clinicians still doing that, there are a whole host of new ways to collect payment from your private clients.

Let’s discuss various methods of payment, as well as the pros and cons of each.

Cold, Hard Cash

How to Get Started:

1. Let your clients know that you accept cash only.
2. Be firm about receiving payment on the date of service.

Pros

• People are used to paying cash for services.
   
• It’s cut and dry (I provide therapy services; you pay me for those services).
   
• You’re paid instantly. No need to cash a check or send a bill. “A bird in the hand is worth two in the bush.”

Cons

• Cash can be hard to keep track of.
   
• Many people aren’t using cash as much these days. Credit cards are becoming the most common way to pay for goods and services.

Checks

How to Get Started:

1. Tell people you accept checks.
    
2. Get a business checking account to deposit your checks.
    
3. If you’re interested, sign up for Freshbooks to send very nice looking invoices and Outright to track your income/expenses/taxes.

Pros

• People are used to paying for services via check.
• It’s easier for you (and them) to keep track of the payments.

Cons

• Sometimes checks bounce.
• You have to go to the bank.
• “Oh, I’ll bring you the check next time”.

Fees:

No fee; unless you have a monthly checking account fee from your bank.

PayPal

How to Get Started

1. Sign up for a Business Account.
2. Set up and send an invoice.
3. Add a PayPal button to your website (optional).
4. You’re ready to collect payments!

Pros

• Many people have PayPal accounts (BUT you don’t need a PayPal account to use it).
   
• PayPal encrypts financial data and is very safe to use.
   
• People can pay for services directly on your therapy website.
   
• Free, built in invoicing.

Cons

• Some people are still weary of PayPal due to early customer service headaches.
   
• PayPal is fairly simple to use – but can be confusing for less-computer savvy people.
   
• Money shows up in your PayPal account immediately but it takes about 2 business days to transfer to your bank.
   
• You’ll need to connect your account to your bank. Some people are wary of this – it is very safe though.

Fees: 2.9% + $0.30 per transaction

*PayPal fees are tax deductible

Square

How to Get Started

1. Sign up for a Square account online.
    
2. They’ll mail you a free card reader OR Buy one at The Apple Store, Target, Best Buy or Walmart for $10 (but get a $10 redemption code so it’s still FREE).
    
3. Download the App.
    
4. Enter your business and financial information.
    
5. You’re ready to collect payments!

Pros

• It’s free to join. No monthly or membership fees.
   
• On the spot payments – great for clients AND you (i.e. no invoicing!).
   
• Next day direct deposit into your bank account.
   
• You and your client get a receipt for easy tracking.

Cons

• You need to have a smart phone or tablet (ex. iPhone, iPad, Droid).
   
• It’s a new technology, some people may be wary.

Fees: 2.75% for all credit cards

QuickBooks (Quickbooks Merchant Services)

How to Get Started

1. Purchase and set up QuickBooks (there is an option for non-Quickbooks users too).
    
2. Sign up for a Merchant Account.

Pros:

• Integrated with QuickBooks software; seamless for QuickBooks users.
   
• Easy invoicing.
   
• There is a free external card swipe reader (similar to Square).
   
• Easily store credit card info (pre-authorized by your client) for easy re-billing.
   
• Can set up recurring charges.

Cons:

• Best for those already using QuickBooks.
• $20 monthly fee (waived for 1st two months).

Fees:

$19.99/month (after two month free trial)

1.6% for cards swiped

2.47% for key entered

The morals of the story:

Moral #1: Offer Options

Your goal is to get paid. Being flexible about the forms of payment you accept only help that. Think about it: when you go to the grocery store, the beauty salon, a restaurant, etc. you pay via different formats according to your circumstances that day.

Moral #2: Experiment to Find What Works for You (and them!)

I’ve presented you with some options that you may or may not have heard of. Research them. Contact the companies. Try it out! See what works for you and your patients.

Don’t feel pressured to use or try all of the methods. Ask your patients what they are interested in and if they would like to pay via another method. You may be surprised at their answer!

Moral #3: Do Whatever It Takes to Get Paid

Enough said.

About the Author: Jena H. Casbon, MS CCC-SLP spends her days treating adults with cognitive-communication disorders and her nights helping fellow speech, occupational and physical therapy providers start and grow their own private practices. Her company, The Independent Clinician, seeks to provide information, community and a confidence boost to those who want to get started treating privately but don’t know how.

Click here to read more about Jena Casbon, MS-CCC-SLP