Medicare Rebates for Psychology — What You're Entitled To

How Medicare rebates for psychology work

Medicare subsidises psychology sessions in Australia through the Better Access initiative, which operates under the Medicare Benefits Schedule (MBS). To access a rebate, you need a valid Mental Health Treatment Plan (MHTP) prepared by your GP, and a referral to a registered or clinical psychologist.

The rebate is a fixed dollar amount that Medicare pays toward each session fee. It does not cover the full cost — the difference between the rebate and the psychologist's fee is your out-of-pocket cost, sometimes called the 'gap'. The size of the gap depends on the psychologist's fee schedule and whether they bulk-bill.

Current Medicare rebate amounts (2024–25)

The Medicare rebate for an individual psychology session (50 minutes) is currently $96.65 per session with a registered psychologist, and $137.05 per session with a clinical psychologist. These amounts are set by the Australian Government and are indexed annually.

Clinical psychologists complete additional postgraduate training beyond the standard psychology degree and are recognised under a separate MBS item number (80010 vs 80000 for registered psychologists). The higher rebate for clinical psychologists reflects this additional training, though their session fees are also typically higher.

Telehealth psychology sessions attract the same Medicare rebate as in-person sessions. There is no reduction in the rebate amount for attending by video or phone, provided the session meets the standard eligibility requirements.

How many rebated sessions can you access?

Under the Better Access initiative, you are entitled to up to 10 individual psychology sessions per calendar year with a Medicare rebate. The sessions are structured in two blocks: the first referral from your GP covers 6 sessions; after your 6th session, your GP reviews your progress and can refer you for a further 4 sessions in the same calendar year.

The 10-session entitlement resets on 1 January each year. Sessions do not carry over — unused sessions from one calendar year cannot be used in the next. If you are mid-treatment at the end of the year, you will need a new MHTP from your GP to continue with rebated sessions in the new year.

In addition to individual sessions, you can access up to 10 group therapy sessions per calendar year under a separate MBS item. Group and individual session counts are independent — using group sessions does not reduce your individual session entitlement.

The relevant MBS item numbers

The main MBS item numbers for psychology under Better Access are: 80000 (individual session with a registered psychologist, in-person), 80005 (individual session with a registered psychologist, telehealth video), 80010 (individual session with a clinical psychologist, in-person), and 80015 (individual session with a clinical psychologist, telehealth video). Your psychologist will use the correct item number when processing your Medicare claim.

Your GP uses a separate set of MBS items to prepare and review your MHTP — items 2700, 2701, 2715, and 2717 cover the initial plan and subsequent reviews. These are billed by your GP, not your psychologist, and are separate from your 10-session psychology entitlement.

Bulk-billing vs gap payments

Bulk-billing means the psychologist accepts the Medicare rebate as full payment — you pay nothing out of pocket. Bulk-billing for psychology is uncommon in private practice settings, particularly in metropolitan areas, because the Medicare rebate is generally below the cost of delivering a 50-minute session.

Most private psychology practices charge a fee above the Medicare rebate, resulting in a gap payment. At Primed Health, our fee schedule is available on request. We process Medicare claims on your behalf after each session, so your rebate is returned to you promptly — typically within 1–2 business days via your registered bank account.

If cost is a significant barrier, discuss this with your GP. They may be able to refer you to a community mental health service, a headspace centre (for people aged 12–25), or a practice that bulk-bills. The Australian Government's Head to Health service can also help you find lower-cost options in your area.

Private health insurance and psychology

Some private health insurance extras policies include psychology cover. This can be used in addition to your Medicare rebate — you claim the Medicare rebate first, then claim any remaining gap through your private health insurer, up to your annual limit. Check your policy for the specific benefit amount and any waiting periods that apply.

Private health insurance psychology benefits typically apply to sessions beyond your 10 Medicare-subsidised sessions per year, or to sessions where you have exhausted your Medicare entitlement. Contact your insurer to confirm what is covered before booking.

The Medicare Safety Net

The Medicare Safety Net provides additional financial protection for families and individuals with high out-of-pocket medical costs. Once your out-of-pocket costs for Medicare-eligible services reach a threshold in a calendar year, Medicare increases its rebate for subsequent services — reducing your gap payments for the rest of that year.

There are two Safety Net thresholds: the Original Medicare Safety Net (OMSN) and the Extended Medicare Safety Net (EMSN). The EMSN provides a higher level of additional rebate and applies to out-of-pocket costs for out-of-hospital services, including psychology. Registering your family for the Safety Net through Medicare ensures all eligible family members' costs count toward the threshold.

Accessing psychology rebates at Primed Health

To access Medicare rebates for psychology at Primed Health, you need a current Mental Health Treatment Plan and referral from your GP. Contact our admin team on 1300 40 40 10 or at [email protected] to discuss fees, rebates, and availability before booking. We are happy to answer questions about out-of-pocket costs so you can plan your care with confidence.

We offer in-person psychology at our Frenchs Forest clinic and telehealth psychology for patients across NSW. Both formats attract the same Medicare rebate. New patients are welcome — please have your GP referral and MHTP ready when you contact us.