2025 Counseling Compact: Exciting changes coming for Mental Health Professionals

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Rich Reitz

Rich has over 25 years of experience in diagnostics as a consultant to medical and healthcare industries. His expertise includes payor markets, market dynamics, hospital outreach, and talent advisory.

Big changes are coming in 2025 for LMHCs and LPCs. Thanks to the Counseling Compact, clinicians looking to practice in another state can now do so more easily. Currently, 37 states have passed legislation allowing providers to use their licensure in other states, and more states are in the works.

The Counseling Compact allows clinicians’ licensure to be recognized in the participating states. So, what does this mean?  If and when you are credentialed in your own participating state, the other states will automatically recognize your licensure in their state. The Compact creates an interstate data system that allows for near-instantaneous verification of license status. This reduces the wait time and allows the applicant to obtain privileges in a matter of minutes. Compared to previously waiting for reciprocity, this is a significant change.

According to Jenna V. Graziano, LMHC, Senior Recruiter of Behavioral Health at Healthcare Recruiters International, “From a clinical perspective, this is huge!  For those looking to relocate or wanting to have a telehealth private practice, this makes that process more streamlined and cost-effective.”

Benefits of 2025 Counseling Compact

Here are some significant benefits from these changes according to Jenna:

  • Reduced cost of getting cross-state licensed- Initial application to be filled out in home state hopefully by 2025
  • The compact eliminates the waiting time for reciprocity, saving you valuable time.
  • If one of your clients moves to another participating state, you can continue to see them via telehealth once the application has been approved
  • This only applies to LMHCs and LPCs
  • Someone looking to work later hours but having trouble finding clients can open up to other time zones

FAQs of 2025 Counseling Compact

The Counseling Compact site did a great job rounding up answers to the questions we’re hearing therapists asking. Read the FAQs here.

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