Exploring Secondary Income versus Passive Income in Private Practice

Photo by Christina @ wocintechchat.com on Unsplash

Many mental health professionals are exploring additional income streams. Whether it comes from a place of wanting more freedom, supporting burnout prevention, or a desire to have greater flexibility than seeing 20-25 client per week, diversifying income is an important consideration in a successful, balanced private practice.

So let’s talk about passive income versus secondary income. Passive income is something that once launched, makes you money without much effort. Things like:

Book sales

Digital downloads

Online courses

Digital workbooks

An App

Secondary income is a bigger bucket of possibilities, but they also take time to build, effort to maintain, and require time allotted to produce regularly, meaning a more significant shift in your client schedule to avoid feeling overextended. Things like:

Professional training and workshops

Professional speaking

Podcasting

Radio show

Online merchandise or swag*

Retreats

Hosting conferences

Group practice

Video series

Group therapy

Intensives

Supervision

Consultation

Online memberships*

Teaching/Being a Professor

*Depending on how they are built, these could become more passive

Why should we talk about both passive and secondary income streams? As someone with 16 current income streams, the differences and options within private practice matter! For colleagues who connect with me in consultation on this piece, they want to work less so they are seeking passive income streams. Which is great, I’m all about it! And perhaps they are surprised to hear that it can take 4-5 years to see the passive income really flowing well, where additional effort or time isn’t required to maintain them. So then we start to look at secondary income streams together to make a faster, satisfying shift in their money story, with momentum towards a passive income stream in the near future. The ability to bring in additional income is an important skill in business, and thus a skill to master in private practice as well.

Want to know one question (of many) that I ask colleagues in these types of consults?

What’s one pain point for your clients that you already address?

Pain point being defined as an area of hardship, difficulty, or discomfort. Seeking a solution. Is the thing you do (exercise, skill, tool, technique) replicable and scalable to a larger platform for increased reach and income? Let’s talk about it in a consultation!

Both passive and secondary income have a place in the equation of private practice success. Honestly, my favorite type of consultation these days is helping colleagues identify their interests and passions and turn them into possibilities that generate new income. What’s holding you back from dreaming about these possibilities? Maybe you have ideas but aren’t sure how to implement them. With so many colleagues creating amazing things, you are closer than ever to finding your additional income stream(s). Reach out to one of us that speaks to what you are dreaming about. Before you know it, you’ll be one of the professionals showing others that diversified income is possible and maybe even necessary to avoid burnout in our field.

Essentials for Course Creation

As you explore a possible secondary income stream of offering courses and course creation, perhaps you are feeling overwhelmed by what you might need to create professional content people would want to purchase. Thankfully, you don’t need a whole elaborate set-up to create quality content, instead consider a few items that make a big difference in delivering a course you can feel proud to launch within your community!

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1.     Light Ring

There is a reason this lands as the number one thing I suggest to colleagues who want to create courses. Having full lighting on your face supports trust in your audience and conveys professionalism. Additionally, people respond best to video content in courses so ensuring they see your face clearly can support participation and full engagement in your content and what you have to share!

2.     Laptop Stand

Looking down isn’t exactly flattering. Wanting to avoid a double-chin in one thing, but cutting off your airway or straining your neck by holding your head in this position for hours a day isn’t recommended either.

3.     Ear Buds or Microphone

Although a stand-alone microphone is the tool of choice for folks who do a lot of interviews or podcasts, the built-in mic of ear buds is sufficient to cutting down outside noise while allowing your voice to come through clearly. Be careful with corded headphones if you talk with your hands or wear collared shirts, the cord can rub against your clothing which would create a sound that is picked up and recorded on the microphone. We know now that people can be forgiving of a grainy picture, but they are much less forgiving of terrible audio.

4.     Video Recording Software

How would you like to record your content? Do you prefer using your phone on a tripod? Or your laptop with Zoom or another meeting software? Either way, you have plenty of inexpensive options for capturing your content before you gear up to do some editing!

Still have questions about creating your online course? Check out our course on creating courses or book a consultation for momentum on your project!