Licensed Therapist Salary in the United States

How much does a Licensed Therapist make in the United States?

As of September 01, 2026, the average salary for a Licensed Therapist in the United States is $56,324 per year, which breaks down to an hourly rate of $27.

However, a Licensed Therapist's salary can vary significantly. Here’s a look at the typical salary range:

  • Top Earners (90th percentile): $65,930
  • Majority Range (25th-75th percentile): $50,180 to $61,352
  • Entry-Level (10th percentile): $44,586

Key Factors That Influence Licensed Therapist Salaries

A Licensed Therapist's salary isn't a fixed number. It's shaped by several important factors. Below, we'll explore how your years of experience, geographic location, education and company size can directly affect your earning potential.

How Experience Level Affects Licensed Therapist Salaries?

Experience is a primary driver of a Licensed Therapist's salary. As you build your skills and take on more complex tasks, your compensation generally increases. Here's how the average salary grows at different career stages:

  • Entry-Level (less than 1 year): $55,727
  • Early Career (1-2 years): $56,153
  • Mid-Level (2-4 years): $57,986
  • Senior-Level (5-8 years): $60,128
  • Expert (over 8 years): $60,281
Levels Salary
Entry Level Licensed Therapist$55,727
Intermediate Level Licensed Therapist$56,153
Senior Level Licensed Therapist$57,986
Specialist Level Licensed Therapist$60,128
Expert Level Licensed Therapist$60,281

Top Paying Cities for Licensed Therapists

Salaries can also vary between different cities. Major metropolitan areas or cities with a high demand for technicians often offer more competitive pay. Here are a few examples of average annual salaries in different U.S. cities:

  • San Jose: $71,041
  • San Francisco: $70,264
  • Oakland: $68,783

What Skills Can Increase a Licensed Therapist's Salary?

Demanded Skills for the Role:

  • Problem Solving (Mentioned in 5.6% Job Postings): Analyzing and identifying the root cause of problems and applying critical thinking skills to solve problems.
  • Underwriting (Mentioned in 2.29% Job Postings): Underwriting services are provided by some large financial institutions, such as banks, or insurance or investment houses, whereby they guarantee payment in case of damage or financial loss and accept the financial risk for liability arising from such guarantee. An underwriting arrangement may be created in a number of situations including insurance, issue of securities in a public offering, and bank lending, among others. The person or institution that agrees to sell a minimum number of securities of the company for commission is called the underwriter. The name derives from the Lloyd's of London insurance market. Financial bankers, who would accept some of the risk on a given venture (historically a sea voyage with associated risks of shipwreck) in exchange for a premium, would literally write their names under the risk information that was written on a Lloyd's slip created for this purpose.
  • Patient Care (Mentioned in 1.78% Job Postings): Patient care refers to the prevention, treatment, and management of illness and the preservation of physical and mental well-being through services offered by health professionals.
Skills Demand Percentage
Problem Solving 5.6%
Underwriting 2.29%
Patient Care 1.78%

What skills can make your compensation higher?

Mastering certain specialized skills can lead to a significant increase in pay. Here are examples of skills and the potential impact they can have on a Licensed Therapist's salary.

  • Credit Management: Can increase your salary by up to 26%.
  • Quality Management: Can increase your salary by up to 25%.
  • Utilization Management: Can increase your salary by up to 21%.
Skill Salary Salary % Increase
Credit Management $70,968
26%
Quality Management $70,405
25%
Utilization Management $68,152
21%

Licensed Therapist Salary by Industry: Top Paying Sectors

For Licensed Therapist roles, the industry you choose can impact your earning potential by as much as 40% (the gap between the highest and lowest paying industries). Data shows that the highest-paying industry, Financial Services, offers compensation 20% above the average. Conversely, Licensed Therapist positions in Business Services typically offer lower base pay, as this sector often view Licensed Therapist as a support function rather than a direct revenue driver.

The top paying industry for a Licensed Therapist

Industry Sector Average Annual Salary Average Hourly Rate Pay vs.Avg
Financial Services$67,589$32.020%

How Education impacts a Licensed Therapist's Salary?

Your level of education can impact your salary potential. While many Licensed Therapists enter the field with a High School Diploma or Technical Certificate degree, higher education can lead to more specialized and higher-paying roles.

According to our 100% employer-reported salary data, the median salary for a Licensed Therapist with a High School Diploma or Technical Certificate is between $58,446 and $63,965).

Licensed Therapist Salaries by Degree Level

Typical Education for Licensed Therapist
Degree Level % of user with this level of education
No Diploma 6.3%
High School 25.0%
Associates 25.0%
Bachelors 25.0%
Masters 18.8%
Doctorate 0.0%

Licensed Therapist Salary: Hourly Rate, Weekly Pay, and Monthly Pay

Understanding how a Licensed Therapist's annual salary breaks down can help with budgeting. Below, you can see the average hourly rate, weekly pay, and monthly pay for this role. Use the buttons to switch between different pay periods.

Last Updated on September 01, 2026
$50,180
Average $56,324/year
$61,352
$4,182
Average $4,694/month
$5,113
$965
Average $1,083/week
$1,180
$24
Average $27/hour
$29
Annual Salary Monthly Pay Weekly Pay Hourly Wage
75th Percentile $61,352 $5,113 $1,180 $29
Average $56,324 $4,694 $1,083 $27
25th Percentile $50,180 $4,182 $965 $24

Most common benefits for Licensed Therapist

  • Social Security
  • 401 (k)
  • Disability
  • Healthcare
  • Pension
  • Time Off (days)

Common company salaries for Licensed Therapist

Here are companies hiring for Licensed Therapist and their salaries, click below for more details.

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FAQ about Licensed Therapist

1. What industry pays the highest salary for Licensed Therapist?

The Financial Services industry offers the highest average compensation for Licensed Therapist roles, with salaries approximately 20% above the market median.

Where Does Our Salary Data Come From?

Salary.com provides salary estimates, histograms, trends, and comparisons using data from employer job postings and third-party sources.

We offer detailed salary information across multiple percentiles for your reference. (Click here to learn Why the Salary Midpoint Formula Is Crucial for Achieving Pay Equity.)

With the most extensive online, real-time compensation data available, Salary.com helps you pinpoint your exact pay target.

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