Mental Health Care Plans vs Private Billing: The Explainer Every Psychology Practice Website Needs

16 September 2026·4 min read

Quick answer: A Mental Health Care Plan (MHCP) is a GP referral that gives clients a Medicare rebate for a set number of psychology sessions each calendar year, while private billing means the client pays your full fee with no rebate at all (or claims through private health insurance extras, separately). Most confusion happens because clients don't understand that a rebate isn't the same as a "free" session, and that the number of rebated sessions resets in January, not on the anniversary of their plan. Explaining this clearly on your website cuts down painfully awkward front-desk conversations. 🤍

If your reception team spends half of every intake call explaining Medicare rebates from scratch, the problem usually isn't your front desk — it's that your website never explained it first. 💖 Clients arrive already anxious about starting therapy; adding financial confusion on top of that is the fastest way to lose a booking before it happens.

What most practices get wrong

The most common mistake is assuming clients already understand the difference, so the website says almost nothing about it beyond "rebates available with a Mental Health Care Plan" — true, but useless without context. The second mistake is the opposite: a wall of Medicare item number jargon that's technically accurate but reads like a government pamphlet, which most people bounce off within seconds. The goal isn't legal precision on your homepage — it's a plain-English explanation that gets the client to the point of booking without a phone call first.

The plain-English explainer template (for your FAQ or fees page):

"Mental Health Care Plan: your GP can refer you for a Mental Health Care Plan, which gives you a Medicare rebate towards a set number of sessions each calendar year. You'll still pay a gap fee (the difference between our fee and the rebate) unless we bulk-bill. The rebate resets on 1 January, not on the date you started — so a plan from October won't carry extra sessions into next year."

"Private billing: if you don't have a referral, or you've used your rebated sessions for the year, you can still book — you'll simply pay our full session fee with no Medicare rebate. Private health insurance extras cover may apply separately; check with your fund directly, as this varies by policy."

A booking-based practice with high call volume: After adding this exact explainer to the FAQ page, one practice found front-desk calls asking "how much will it actually cost me" dropped noticeably in the following intake cycle — the answer was already visible before anyone picked up the phone.

A client midway through their rebated sessions in December: A short note on the booking page — "Rebates reset each January, so sessions booked in the new year use your new allocation" — heads off the common surprise of a client assuming unused sessions roll over.

How to put this on your website without overcomplicating it

Keep the explainer to two short paragraphs — one for each billing type — on your fees or FAQ page, not buried in a PDF. Link to it directly from your booking confirmation email, so it's the last thing a new client reads before their first session, not something they have to go hunting for. And always include a line pointing people to Services Australia or their GP for anything specific to their own circumstances — you're providing general orientation, not personal Medicare advice.

💡 Don't use client stories to illustrate this. It's tempting to add "here's what one client paid" as an example, but AHPRA's advertising rules treat even anonymised patient examples cautiously in this context — stick to hypothetical, generic scenarios instead of anything that could be read as a real client's experience.

Mistakes to avoid

Burying the billing explanation in a downloadable PDF instead of on the page itself
Never mentioning that rebates reset in January, which causes the most end-of-year confusion
Quoting exact rebate dollar amounts, which change and date your page instantly
Using a real or implied client example to explain costs
Assuming a returning client remembers how many sessions they've used — restate it at rebooking

Please note: general information, not legal or medical advice — check current official guidance before relying on it.

Frequently asked questions

Do all psychology clients need a Mental Health Care Plan to book?

No — anyone can book privately without a referral. A plan simply adds a Medicare rebate to sessions that would otherwise be full private fee.

Should I list the exact rebate amount on my website?

Generally no — rebate amounts are set federally and can change. Linking to the current Services Australia page keeps your website accurate without needing constant updates.

Can I explain gap fees without listing my exact prices?

Yes — describe gap fees as "the difference between our session fee and the Medicare rebate" and point to your fees page for current pricing, so the two stay in sync.

Is this information the same everywhere in Australia?

Broadly yes, as Medicare is federal, but rebate session limits and item numbers have changed before and can change again. This is general information, not medical or legal advice — check current official guidance before relying on it.

Keep reading 🤍

Written by

Kate, founder of Chronically Online

I help Gold Coast and Brisbane businesses grow with branding, websites and marketing that actually works.

Work with me ✦