NEW YORK STATE PSYCHOLOGICAL ASSOCIATION (NYSPA)

1. NEW YORK STATE PSYCHOLOGICAL ASSOCIATION (NYSPA) Early Career Psychologist CommitteePresents Private Practice Series: Part ISTARTING A PRIVATE PRACTICE Saturday, November 17, 2007Fordham University, Lincoln Center Campus 11:00 am – 1:00 pm (Networking Reception to follow)

2. PANEL PRESENTERS Josephine S. Minardo, Psy.D. Lori B. Wagner, Psy.D. Richard DioGuardi, Ph.D. Invited Guest: Paul Moglia, Ph.D. (with special thanks to Kirsten Cullen, Ph.D for her assistance in preparing materials)

3. NYSPA EARLY CAREER PSYCHOLOGIST COMMITTEE (ECP) • NYSPA • ECP History in Brief • Mission • Importance of belonging • How to get involved • APA Apportionment:VOTE 10 for NY!!!! • Giving to Psychologists for Legislative Action (PLANY)

4. PRIVATE PRACTICE SERIES Parts I….II & III • Three part series on private practice. • Part I : nuts-and-bolts of starting a practice. • Most helpful when thinking about, and seriously considering, opening a private practice but don't know where to start. • Or have started but need some help getting organized. • A guide through each step of process to help make your private practice a success right from the start! • Part II: Building a Practice: Referrals and Marketing • Part III: Expanding a Practice: Advanced Marketing, diversifying your practice.

5. OVERVIEW • So you wanna start a private practice? • Essentials and Office basics • Costs and fees • Practical business items • Basic Low-cost marketing • Risk management and liability • Professional Development • Self Care

6. QUESTION & ANSWER • Invited guest, Dr. Paul Moglia has acquired years of experience in private practice and has many lessons to share • Ask questions • Learn “secrets” to success • How to avoid pitfalls • What it’s really like to do it and succeed!

7. RESOURCE PACKET:Start-up Kit • Overview of packet • Concrete information and handouts • Tools to access other resources • Resources lead to other resources • Information may be expanded upon for future workbook. • Will be available on www.nyspa.org

8. SO YOU WANNA START A PRIVATE PRACTICE? • Start with you • Think before you act • Know what to consider and consider what you know (and don’t) • Access resources

9. DON’T DO IT ALONE! • Books • Bibliography • WebPages • List in packet • Consulting • Network (peers, senior colleagues, organizations) • Listservs – Make sure to digest! • newpsychlist@yahoogroups.com • EARLYCAREER@LISTS.APA.ORG • NYSPA General; NYSPA Early Career (sign up!)

10. TYPES OF PRACTICE • What type of work conditions fit best? • What it takes to work independently: handout • Autonomy, Colleagues • Solo vs. Group practice • How does a practice fit into your lifestyle? • Hours, schedule • What is your personal risk quotient? • What is your relationship with money?

11. TYPES OF SERVICES • Direct and nondirect services • Individual, couples, family, and group therapy • Consultation, Supervision • Areas of expertise • Provide trainings and/or educational workshops • Assessment, testing

12. DEVELOP A BUSINESS PLAN • What are the concrete goals of your practice? • Mission Statement • Purpose/Vision • What direction would you like your practice to take? • Are your ideas feasible and profitable?

13. BUSINESS PLAN Continued… • Financial Considerations • How much money do you need to start? • What are your necessary expenses? • What financial goals do you have for the short-term and long-term? • Ask for feedback: Consult • Review your plan and adjust as necessary

14. SO NOW YOU’RE READY?GETTING STARTED • Location: where do you want to be? • Saturated areas vs. underserved areas • Transportation/parking/handicap accessibility • Rent/Lease/Sub-lease • SHOP AROUND! Prices vary widely by area • Do you really want to share your space? Do you want your own? • You can rent and sub-lease to someone else (cost offset) • Other considerations • Are you sharing? Room for families or groups? • Waiting room? Bathroom? Security? • Furnished vs. unfurnished • Inexpensive Short-term furniture VS. higher quality long-term investment furniture

15. ESSENTIALS AND OFFICE BASICS • What are the minimum essentials? • Office • Therapist Chair • Patient chair(s) • Locked File Cabinet/Secure Storage • Business cards • Phone number • Personal Cell Phone number • Separate Business Line • Family Share Plan

16. ON A BUDGET?? • SHOP AROUND! SHOP FOR BARGAINS! • Consider “ASSEMBLY REQUIRED” & take on a DO-IT-YOURSELF project • Accept donations! • Consider items you already have at home • Large chain stores and online shopping offer better prices (Bob’s/Staples/Kmart/Vistaprint) • You CAN furnish an entire office for $1,000!

17. COSTS & FEES • What are start-up costs? • What can/can’t you cut back on? • What is your operating budget? • Consider one time vs. continuing costs • Include: electric, phones, fax machine, printer, answering service, billing service, furniture, file cabinets, utilities bills, supplies, malpractice insurance, licensing cost, office management support. • Profit (projected revenue) vs. Expenses (projected expenditures)

18. HOW TO SET FEES:DO THE MATH • (X clinical service hours) x (Y number of weeks worked annually) = total annual hours worked • (30) X (48) = 1440 billable hours • Subtract 20% for bad debt, uncollectable fees, missed sessions • 1440 – 20% (of 1440) = 1152 revenue-generating annual hours • Now, take your annual COSTS (let’s say $92,000) and divide by 1152 = $79.86. Thus, you need to generate at least $79.86 per hour. If you add a 10% profit margin, it brings it up to $87.97.

19. HOW MANY PATIENTS?MORE MATH… (Target weekly gross revenues) X 1.25 (to accommodate missed sessions, cancellations, and bad debt) = number of session per week ($2400 / $75) x 1.25 = 40 hours per week

20. PRACTICAL FORMS • Office policy (s) and procedures • Scheduling appointments, length of sessions • Informed consent • Billing • Cancellation, no-show, email policies • See sample handouts; more samples on websites • HIPAA • Privacy and Security Rules • Limits of confidentiality • Record Keeping Guidelines

21. PRACTICAL BUSINESS ITEMS • Is your practice HIPAA compliant? • Tax preparation • Itemize business expenses for deduction purposes • Consult an accountant • Commercial Liability Insurance

22. ETHICAL AND LEGAL ISSUES • APA Ethics & Guidelines: website • State and Federal laws: HIPAA • “Vacation” coverage/back up • Professional Liability Insurance

23. UNDERSTANDING LIABILITY INSURANCE TERMS • What is an “Occurrence” policy?An occurrence policy protects you from any incident occurring while the policy is in force. The policy then covers those incidents forever. With an occurrence policy, it does not matter if you are covered when the suit is brought. • What is a “Claims-Made” policy?A claims-made policy covers you for any covered claim provided it meets two criteria: • You are insured when the claim is made. If you no longer need coverage, you can purchase a “tail” to protect you for the past • You have continually renewed the policy from the time the incident occurred (the psychological service you provided that is the source of the suit) until the time the claim is made.

24. BASIC & LOW COST MARKETING PLAN • Checkout handouts. • Always carry business cards! • Letters to other professionals • Create basic website (godaddy.com; apa.org) • Free lectures/presentations (APA PEC Materials) • Network – become active in organizations • Get low-cost/free advertising • www.psychologytoday.com • NYSPA Media Ambassadors • Public Education Podcasts

25. PROFESSIONAL PROFILE • Develop a “mini speech” • Areas of Expertise: What is your niche? • Describe positions held/special skills • Any transferable skills • Theoretical Orientation • Leadership positions • Future Directions: Professional development • Sample in packet • Include it in letters to other professionals

26. ONGOING PROFESSIONAL & PERSONAL DEVELOPMENT • Get involved in professional organizations and advocacy (public policy, education, legislative, etc.) • Keep your CV updated • Remember to Network! • Retirement/financial planning

27. SELF CARE AND STRESS MANAGEMENT • Tips on Stress Management: Handout • Professional/Personal life balance • Stay connected with colleagues • Continue to check yourself • Are you working too hard? • Are you enjoying yourself? • Self care activities • Spend time with family/friends

28. HOW TO DO IT RIGHT! Dr. Paul Moglia • Lessons from the field • “Secrets” of Success • Common Mistakes • Avoiding Pitfalls • QUESTION & ANSWER PERIOD

29. ECP COMMITTEE MEMBERS& PANELIST CONTACTS • Josephine S. Minardo, Psy.D., Chair josie1doc@optonline.net • Lori B. Wagner, Psy.D. lori.brooke@juno.com • Richard DioGaurdi, Ph.D. RDioguardi@iona.edu

30. ECP COMMITTEE MEMBERS • Kirsten Cullen, Ph.D. • Dianne Annunziata, Ph.D. • Adriana DiMatteo, Ph.D. • Jonathan Ugowitz, Ph.D.

31. INFORMAL NETWORKING RECEPTION • Purpose • Discuss what you learned • Chat and gather • Network! Network! Network! • Let’s Eat!