Does Medicare cover psychological therapy?
Yes. With a Mental Health Treatment Plan (MHTP) from your GP, Medicare provides rebates for up to 10 individual psychology sessions per calendar year. You pay the session fee and Medicare rebates a substantial portion back — with a higher rebate tier for sessions with a clinical psychologist.
By Dr Simon Vincenzi, Clinical & Forensic Psychologist · AHPRA registered · Director, Clarity Psychology
The Mental Health Treatment Plan, step by step.
1. See your GP. Book a longer appointment and tell them you'd like to discuss your mental health. If therapy is appropriate, they prepare a Mental Health Treatment Plan and a referral — this is routine for GPs; you don't need to arrive with a diagnosis or a rehearsed case.
2. Book your psychologist. The referral can name a psychologist or practice, and you're free to choose your own. Initially the plan covers 6 sessions; after a brief GP review, a further 4 are available — 10 rebated sessions per calendar year in total.
3. Claim the rebate. At Clarity, rebates are processed electronically at the time of payment through our practice software — the rebate typically lands back in your account within a day or two. Our Medicare page has current rebate details.
Worth knowing: you don't need a referral to see a psychologist — only to claim the rebate. Some people start straight away and organise the MHTP alongside their first sessions. Rebates apply equally to telehealth sessions. And under a plan, your GP receives brief progress reports — standard to the Medicare pathway, explained on our confidentiality page.
Quick answers.
Does Medicare cover specific therapies like CBT, schema therapy or EMDR?
The rebate attaches to the session with an eligible psychologist, not to the therapy type — so CBT, schema therapy, EMDR and other approaches are all rebated the same way under an MHTP.
Is the rebate different for clinical psychologists?
Yes — sessions with a clinical psychologist attract Medicare's higher rebate tier. Our guide to what a clinical psychologist is explains the distinction.
What does therapy cost after the rebate?
The gap depends on the practitioner and rebate tier. Our fees sit below the APS recommended rate — call us on (03) 9349 2745 (Carlton & Ringwood North) or (03) 9131 8737 (St Kilda) and we'll walk you through exactly what you'd pay.
Do you get 10 free psychology sessions?
Not quite — the "10 sessions" are rebated, not free. Medicare pays back a substantial portion of each session's fee; whether there's a gap depends on the practice's fees and the rebate tier. Some practices bulk-bill (no gap); most, including ours, charge a gap — call us and we'll tell you exactly what yours would be.
How many sessions does a Mental Health Treatment Plan cover?
Up to 10 individual sessions per calendar year: 6 initially, then a further 4 after a brief GP review. The counter resets every January regardless of when your plan was written.
How much does it cost to see a psychologist in Australia?
Fees vary widely by practitioner and city. The APS publishes a recommended rate that many practices — ours included — price below, and the Medicare rebate substantially reduces the out-of-pocket cost. The honest answer for your situation takes one phone call: any good practice will walk you through fee, rebate and gap before you book.
What if I use up my 10 sessions?
The counter resets each calendar year. Beyond the rebated sessions, you can continue privately, and private health insurance with psychology cover may rebate a portion — we provide invoices you can submit to your fund.
Rebates sorted, from session one.
Book online, or call and our admin team will explain the Medicare pathway for your situation.
Reviewed by Dr Simon Vincenzi, Clinical Psychologist and Director of Clarity Psychology. Updated July 2026.