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Mental healthcare costs, challenges, and consequences

Analyzing the true cost and accessibility of mental healthcare for Americans

doctor pictured using calculate to calculate mental health services

What happens when the path to mental health is too challenging to travel? In the United States, where healthcare costs are a persistent concern, mental health access can be a complex issue. Tebra surveyed 1,000 Americans currently undergoing mental health treatment to uncover the real-world impacts of seeking and maintaining mental healthcare. We explain our findings in this article, including the financial realities, treatment effectiveness, and accessibility hurdles patients face, for a comprehensive look at the state of mental healthcare in America today.

Key takeaways

  • Nearly 1 in 10 Americans have incurred debt to pay for mental health treatment, with 60% of them accumulating over $1,000 in debt on average.
  • 31% of Americans feel mental health treatment is financially out of reach for them.
  • On average, Americans spend $1,080 per year ($90 per month) on mental health treatment, which represents 5% of their monthly income on average.
  • On average, Americans spent about 2 years searching before finding the right mental health professional.
  • Over 20% of Americans find mental health resources inaccessible in their area.

Mental healthcare's financial realities

Mental health treatment comes with significant financial implications for many Americans. This section of our data analysis explores the costs associated with mental healthcare and how these expenses impact individuals and families across the nation.

graphic of the economics of mental healthcare detailing how much Americans spend annually on mental health and that 31% of Americans feel mental health is financially out of reach for them

The financial burden of mental health treatment has been substantial for many Americans. Almost a third of the Americans we surveyed (31%) shared with us that mental health treatment has felt financially out of reach for them. On average, respondents have spent $1,080 per year — or $90 per month — on mental health services, accounting for approximately 5% of their monthly income. For nearly a third of patients, insurance did not cover their treatment expenses, which can make it hard to afford care

The impact of these costs extended beyond immediate expenses for some. Nearly 1 in 10 Americans said they've accumulated debt to pay for mental health treatment, to the tune of about $2,500 on average. Of them, 60% racked up over $1,000 in debt. Adding to these challenges, 12% of respondents said their healthcare providers were not transparent about treatment costs.

Surprise post-treatment bills can make it difficult for patients to plan and budget for their care, which is one reason new regulations mandate price transparency through public posting and interactive tools for consumers. Despite the push for transparency, only 17% of patients know their healthcare costs before treatment.

Assessing the impact of mental health treatment

Although it can come at a high cost, many Americans have found value in their mental health treatment. Next, we examine the perceived effectiveness of mental healthcare and how it impacts patients' daily lives.

graphic and chart detailing out treatment effectiveness with 35% of Americans finding mental health treatment extremely effective, 53% moderately effective and 12% not at all effective

Most Americans we surveyed who were undergoing mental health treatment reported positive outcomes. Nearly 70% experienced significant improvements in their mental health since beginning treatment. Over a third (35%) even described their mental health treatment as extremely effective — most of them were Gen Zers (42%). Women were also more likely to describe their treatment this way: 21% compared to 14% of men.

Successful treatment outcomes require finding the right mental health professional, which took some time for many respondents. On average, they spent about 2 years searching before connecting with a provider that met their needs. Still, the results were usually worth the wait: 3 in 4 respondents said their treatment allowed them to maintain or improve their daily functioning. 

Treatment plans can also require fine-tuning, as patient needs may shift over time. Nearly a third (32%) of participants said they've only adjusted their mental health treatment plan when their symptoms changed significantly, indicating a responsive approach to care.

Mental healthcare access hurdles

While many Americans seek mental health treatment, it can be hard for them to get the care they need for many reasons. Let's explore the barriers patients face when trying to obtain mental health services and how these challenges affect their treatment journey.

graphic of the barriers to accessing mental healthcare and outlining major obstacles to mental healthcare including anxiety about the appointment, difficulty finding appointments, long wait times, insurance issues and cost of the appointment

Unfortunately, most Americans needing mental healthcare go without it — and barriers to access are often why. Accessing mental health resources was a significant issue for many of our respondents. Over 20% said mental health resources were inaccessible in their area, but the most common obstacle was anxiety about appointments, which affected 37% of the people we surveyed.

Here are the most common obstacles that have stood in the way of mental healthcare for the patients we surveyed here:

  • Anxiety about the appointment (37%)
  • Difficulty finding available appointment slots (26%)
  • Insurance issues (25%)
  • Long wait times (24%)
  • High cost of the appointment (23%)

According to another Tebra study, anxiety was also the reason why 16% of patients missed their overall healthcare appointments. Anxiety is a common mental health condition that can deter individuals from seeking the very care they need to address their symptoms.

Wait times for mental health appointments varied considerably among respondents as well. The majority (34%) reported waiting 1-2 weeks for an appointment. More than a quarter (28%) experienced wait times of less than a week, while 23% waited 2-4 weeks. A smaller yet notable 16% faced waits of more than four weeks.

Reducing wait times is one of the ways providers can better accommodate patients. Adopting digital tools for paperwork, payments, and smarter scheduling can help increase appointment availability, preventing patient dissatisfaction and accessibility issues (the top reasons that 33% of our respondents have switched mental healthcare providers). On average, patients said they visit a provider 3 times before switching, giving them a chance before moving on. 

Mental health treatment in America

While many Americans have found significant benefits from mental health treatment, financial barriers and accessibility issues have impeded care for a substantial portion of them. The stark reality of treatment costs, insurance gaps, and geographic disparities in resource availability suggests a need for systemic changes in how mental healthcare is delivered and financed in the United States.

Addressing mental health is a societal imperative with far-reaching economic implications. We hope this research fosters dialogue and drives action toward more accessible, affordable, and effective mental healthcare for all Americans.

Methodology

For this study, we surveyed 1,000 Americans undergoing mental health treatment about their experience with mental healthcare costs. The average age was 40, with 55% of respondents being women, 44% male, and 1% non-binary. Generationally, 8% of respondents reported as Baby Boomer, 22% as Gen X, 54% as Millennial, and 16% as Gen Z. 

About Tebra

In 2021, with a combined mission to unlock better healthcare, Kareo and PatientPop joined forces to form Tebra — a complete practice automation solution for independent healthcare providers. With an all-in-one, purpose-built platform to drive practice success and modernize every step of the patient journey, Tebra provides digital tools and support to attract new patients, deliver modern care, get paid quickly, and operate efficiently. To learn more about how Tebra is committed to improving patients' and providers' success and well-being, visit www.tebra.com.

Fair use statement

This data is provided for noncommercial use only. If you plan to share it, please link to the source.

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Jean Lee, managing editor at The Intake

Jean Lee is a content expert with a background in journalism and marketing, driven by a passion for storytelling that inspires and informs. As the managing editor of The Intake, she is committed to supporting independent practices with content, insights, and resources tailored to help them navigate challenges and succeed in today’s evolving healthcare landscape.

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Andrea Curry, head of editorial at The Intake

Andrea Curry is an award-winning journalist with over 15 years of storytelling under her belt. She has won multiple awards for her work and is now the head of editorial at The Intake, where she puts her passion for helping independent healthcare practices into action.

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