If you spend any time in counsellor Facebook groups (or other notice boards), you may have noticed a recurring theme lately: Where have the referrals gone?
Recently, I spotted that counsellors have been posting about significant drops in bookings, particularly through EAP providers and private-practice referral sources. One counsellor described feeling increasingly insecure because their counselling income supplements another part-time job. Another asked whether others had noticed a substantial decline in referrals through one of the EAP providers, despite being told there had been no obvious change in the number of referrals or affiliated counsellors.
These concerns obviously deserve to be taken seriously. When your income depends heavily on one referral source, even a relatively small change can have a substantial impact. I remember that, in my early years, client cancellations or empty spots in my calendar would make my heart sink.
And there is an important distinction here: a drop in referrals does not necessarily mean there is less need for counselling. Australia’s mental health workforce and service system continue to grow. More and more people reach out for mental health support. At the same time, though, the supply of specialist mental health professionals has increased substantially over the past decade, as well. In other words, the market can simultaneously have strong underlying demand and increased competition, while particular referral channels experience fluctuations.
That is where income diversification becomes important.
Think income diversification portfolio, not pipeline
The broader labour market is already moving in this direction. In December 2025, almost one million Australians were working more than one job, representing 6.5% of employed people. When I checked the stats on the industry we’re in, the community and personal service workers, it showed to have one of the highest rates of multiple job-holding, at 10.7%. (Australian Bureau of Statistics). For counsellors, this doesn’t necessarily mean having a second job. It can mean developing several complementary professional income streams.
For example, counselling might include private clients, EAP work, workplace or onsite counselling, NDIS-related work, group programs, training, teaching (Vocational or Higher Education), clinical or professional supervision, workshops, consulting, or other education-based services. The advantage isn’t simply earning more. It is reducing your dependence on any single source of work.
If one stream slows down, another may well remain steady (or even pick up!). If EAP referrals fall during one period, private referrals or workplace training may compensate. If client work becomes exhausting, education or supervision can provide a different kind of professional engagement. Think of it as a portfolio. You don’t want your entire professional income sitting on one investment.
Five ways to work on income diversification in your counselling practice
1. Map your existing skills.
List everything you can legitimately offer beyond one-to-one counselling: training, facilitation, supervision, teaching, presentations, workplace services, specialist knowledge and group work.
2. Develop two or three referral channels.
Don’t rely entirely on one EAP, platform, clinic or referral network. Build relationships with GPs, allied health professionals, community organisations, businesses, training organisations or universities, schools and other potential referral partners.
3. Look beyond the counselling room.
Your counselling skills are transferable. Organisations need workshops, wellbeing programs, conflict support, critical-incident responses, staff training and consultation.
4. Create scalable offerings.
Groups, workshops, courses, resources and educational products can allow you to work with more people without simply adding more individual appointments to your calendar.
5. Build before you need it.
Diversification works best when it is proactive. I know it sounds a bit “well, yes, obviously”, but don’t wait until your diary is empty to start developing another income stream. Plant the seeds while your existing practice is busy. One business coach taught me that you want to do most of your marketing, relationship building and sales when you’re REALLY busy. It sounded odd when I heard it first; it makes complete sense, now.
There is no shame in being concerned when bookings fall. Counselling is meaningful work, but it is also a business. And businesses need resilience. The goal isn’t to become a counsellor who does everything. It is to become a counsellor whose livelihood doesn’t depend on one thing going right.
Let me know what you think about this, and what you have done to ensure (or at least work on) stability in your practice.
Marc de Bruin is an ACA Level 4 counsellor, clinical supervisor (for both PACFA and ACA), university tutor, and former barrister-solicitor with over 20 years’ experience in counselling, supervision, and professional development. He is the founder of Counselling Supervision and Simplifying Life.