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Licensed Therapist & Licensed Counselor Salary Guide

Amanda Lundberg, RN, BSN
May 6, 2024
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In the evolving landscape of healthcare, the roles of licensed therapists and counselors have become more pivotal than ever. Both professionals play critical roles in enhancing mental health and well-being, yet they differ in approach, specialization, and scope. For a deeper dive into these careers, explore our Licensed Therapist/Counselor Career Guide. Let’s explore the rewarding career paths and financial potential of licensed therapists and counselors with our comprehensive salary guide.

What is the Difference Between a Therapist and a Counselor?

At the heart of the mental health profession lie two key figures: the licensed mental health counselors and the licensed mental health therapists. Both are dedicated to guiding individuals through personal, professional, and psychological challenges using specialized techniques. Despite their similarities, significant differences exist in their training, education, licensure, and approach to treatment.

  • Licensed Counselors: Focus on short-term, goal-oriented strategies, addressing specific problems or challenges. Among them, some specialize in mental health and are recognized as licensed mental health counselors.
  • Licensed Therapists: Engage in more long-term treatments, addressing broader mental health and life issues over an extended period.

Their methodologies and areas of expertise may overlap, but the foundation and focus of their training diverge significantly. Each plays a vital role in supporting mental health and improving the quality of life for their patients.

How Much Does a Licensed Therapist Make?

The salary for licensed therapists varies widely based on location, specialization, and experience. On average, a licensed mental health therapist’s salary can range from $44,967 to over $114,482 annually. This variation reflects the diverse settings and populations therapists work with.

How Much Does a Licensed Counselor Make?

Similarly, the earnings for licensed counselors fluctuate. The licensed counselor's salary often falls between $34,580 and $82,710 per year, influenced by factors such as geographic location, sector of employment, and area of expertise.

What Type of Mental Health Counselor/Therapist Makes the Most Money?

Specialization within mental health counseling or therapy can significantly affect earnings. Professionals focusing on high-demand specialties, such as addiction, family, and marriage counseling, or those with advanced certifications, tend to earn higher salaries. For example, a licensed counselor can make about $10,000 more a year working in a hospital rather than a substance abuse facility. 

What are the Top-Paying States?

Top-paying States for Licensed Mental Health Counselors

States such as Alaska ($77,430), Utah ($70,310), and the District of Columbia ($67,750) offer the highest average yearly salaries, ranging significantly above the national average.

Salary Range Considerations:

It's important to consider the cost of living in these states, as it can impact the overall financial benefit of higher salaries. In a state like Alaska, the cost of living is considerably higher than it’s mainland counterparts. 

Top-paying States for Licensed Mental Health Therapists

Similar to counselors, therapists in Alaska ($63,900), Wyoming ($55,900), and Utah ($55,150)

enjoy higher average yearly salaries compared to their counterparts in other states.

Salary Range Considerations:

Again, the cost of living in these top-paying states is a crucial factor to weigh against potential earnings.

Does seasonality impact pay for a Mental Health Therapist/Counselor?

Seasonality can influence demand for mental health services, thus affecting pay rates, especially for those in private practice or those working on a contractual basis. However, this impact varies widely across different regions and specialties.

What is the job outlook like for Licensed Counselors & Therapists?

The job outlook for both licensed counselors and therapists is positive, with projected growth rates higher than the average for all occupations at around 15%-18% projected growth in the next 10 years. This growth is driven by an increasing recognition of the importance of mental health services.

Travel Salary for a Licensed Counselor

Traveling licensed counselors often receive competitive salaries compared to their stationary counterparts, along with additional benefits such as housing stipends, travel reimbursement, and bonuses, making it an attractive option for many. The average salary for a licensed counselor is $63,932 annually. 

Travel Salary for a Licensed Therapist

Similarly, traveling licensed therapists can expect higher salaries and comprehensive benefits, providing a compelling alternative to traditional, stationary roles.

Find a Licensed Counselor/Therapist Job with Trusted Health

Explore new horizons in your career as a travel licensed counselor or therapist with Trusted Health. Whether you're drawn to the flexibility of travel, the diversity of clinical settings, or the unparalleled experience, Trusted Health is your partner in finding the perfect role. Discover the opportunities that await in travel positions across the country. Start your journey today by visiting Trusted Health Jobs.

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