Mental Health Medical Billing Services

Mental health billing is uniquely challenging. One wrong psychotherapy add-on code, one missing medical necessity for extended sessions, or one telehealth modifier error—and thousands in revenue vanish.

Neo MD fixes that with mental health-certified coders, payer-specific authorization workflows, and aggressive revenue capture built for behavioral health complexity.

95-97%

First-Pass Claim Acceptance

+21%

Average Revenue Increase

90

Days to Results

Is Your Mental Health Practice
Bleeding Revenue? (Most Are.)

cIf you fall behind your revenue goals, it’s time to get our professional consultation about the Revenue Cycle Management process. If any of these are happening, you’re losing $100K–$240K+ annually:

Visible Revenue Bleed

Immediate Impact

Priority: Critical
Audit Code: MH-901

Psychotherapy Time Claims Denied

Time-based code documentation is insufficient

Priority: High
Audit Code: MH-902

E/M with Psychotherapy Claims Rejected

Add-on code 90833/90836/90838 errors

Priority: High
Audit Code: MH-903

Group Therapy Claims Denied

Wrong patient count or time documentation

Priority: Critical
Audit Code: MH-904

Psychiatric Diagnostic Evaluation Claims Delayed

90791 vs 90792 code selection errors

Priority: High
Audit Code: MH-905

Crisis Intervention Claims Bundled

When 90839/90840 should've been billed

Priority: Medium
Audit Code: MH-906

Telehealth Modifier Missing

Not applying GT/95 modifiers during the pandemic

Invisible Losses

According to APA and MGMA mental health benchmarking data, practices lose 18%–25% of revenue due to:

19% underpayment

Psychotherapy Time Errors

Defaulting to 99213 when 99214 applies

$8K-$20K/month

E/M Add-On Codes

Not billing 90833/90836/90838 with E/M

High-dollar loss

Group Therapy Documentation

Missing patient count records

17% revenue loss

Crisis Intervention Billing

Not using 90839/90840 codes

Critical miss

Psychiatric Evaluation

90791 vs 90792 confusion

Systematic loss

Family Therapy

Not billing 90846/90847 appropriately

Compliance Risk

Health Behavior Assessment

Missing 96156-96171 opportunities

Untapped revenue

Collaborative Care Management

Not billing 99492-99494

"You didn't train for years to fight with insurance companies. But right now, coding errors cost more than a therapist's salary. "
Cumulative Revenue Variance
$240,000+
Per Annum Potential

Why General Medical Billing Companies Fail Mental Health Practices

Mental health billing requires specialty expertise that general billers don’t have.

Time-based coding chaos

Can't select the correct psychotherapy time codes

E/M add-on blindspot

Don't bill 90833/90836/90838 with medical services

Group therapy confusion

Don't document patient counts properly

Crisis intervention miss

Don't recognize when 90839/90840 apply

Diagnostic evaluation errors

Confuse 90791 and 90792 selection

Medical necessity gaps

Can't document intensive outpatient services

Collaborative care underbilling

Miss 99492-99494 opportunities

Telehealth modifier blindspot

Don't apply GT/95 modifiers correctly

Result: 15%–22% denial rates, 45-60 day payment cycles, and constant staff time wasted on resubmissions.

The Neo MD Mental Health Advantage

Mental Health-Certified Coding Teams

Deep expertise in:

  • Expert in time-based psychotherapy coding (90832-90838, 90846-90847, 90849-90853)
  • Psychiatric diagnostic evaluation optimization (90791-90792)
  • E/M + psychotherapy add-on code mastery
  • Crisis intervention billing (90839-90840)
  • Telehealth modifier accuracy for all payers
  • Psychological testing and neuropsychological assessment coding

→ 93–95% clean claim rate vs 62–74% industry average

Telehealth Revenue Optimization

We ensure proper billing for:

  • Virtual psychotherapy sessions with correct modifiers
  • Payer-specific telehealth requirements (modifier 95, GT, GQ)
  • Place of service code accuracy (02 for telehealth)
  • Audio-only therapy when applicable (state-dependent)
  • Originating and distant site billing rules

→ $10K–$24K monthly recovery from telehealth optimization

Complete Prior Authorization Management

We handle authorizations for:

  • Individual psychotherapy sessions (frequency approvals)
  • Intensive outpatient programs (IOP)
  • Partial hospitalization programs (PHP)
  • Psychological testing and assessments
  • TMS (transcranial magnetic stimulation)
  • Ketamine therapy
  • Neuropsychological evaluations

→ 4.2-day turnaround instead of 10–15 days

Session Complexity Optimization

We maximize reimbursement for:

  • Extended psychotherapy sessions (90837 vs 90834)
  • E/M services with psychotherapy add-ons (medication management)
  • Psychiatric diagnostic evaluations with medical services (90792)
  • Crisis intervention codes for extended sessions (90839-90840)
  • Family therapy with and without patient present

→ Appropriate coding for session complexity and time

Psychological Testing Revenue Capture

We ensure proper billing for:

  • Psychological testing evaluation (96130-96131)
  • Neuropsychological testing evaluation (96132-96133)
  • Test administration and scoring (96136-96139)
  • Automated testing services (96146)
  • Developmental testing (96112-96113)

→ $8K–$18K monthly from testing services

Real-Time Revenue Visibility

  • Daily psychotherapy claim tracking
  • Weekly telehealth billing monitoring
  • Monthly financial performance by service type
  • Quarterly payer policy update reviews

→ Complete transparency

Mental Health Services We Master

If you perform it, we bill it correctly—the first time.

Individual Psychotherapy

 Individual psychotherapy sessions for all time ranges, including brief psychotherapy (16-37 minutes), standard psychotherapy (38-52 minutes), and extended psychotherapy (53+ minutes), with proper time documentation and medical necessity support for session frequency and duration.

Medication Management

 Psychiatric diagnostic evaluations with comprehensive mental status examinations, medication management visits combined with psychotherapy using appropriate add-on codes, pharmacogenetic testing coordination and interpretation, medication monitoring for complex regimens, and metabolic monitoring for antipsychotic medications.

Family & Group Therapy

 Family psychotherapy with the patient present, including conjoint sessions, family psychotherapy without the patient present for collateral information gathering, multiple family group psychotherapy, and group psychotherapy sessions with proper documentation of therapeutic interventions and individual participation.

Crisis & Emergency Services

Crisis psychotherapy for the first 60 minutes with face-to-face patient contact, crisis psychotherapy for each additional 30 minutes, emergency psychiatric evaluations, suicide risk assessments with safety planning, and coordination with emergency departments or crisis response teams.

Diagnostic & Assessment Services

Comprehensive psychiatric diagnostic evaluations with or without medical services, psychological testing including personality assessment and cognitive testing, neuropsychological testing for cognitive disorders and brain injuries, autism diagnostic evaluations, and ADHD comprehensive assessments.

Specialty & Advanced Services

Transcranial magnetic stimulation (TMS) for treatment-resistant depression, including initial motor threshold determination and subsequent treatment sessions, ketamine-assisted psychotherapy with appropriate medical supervision, electroconvulsive therapy (ECT) coordination and management, and intensive outpatient and partial hospitalization program oversight.

Real Results: 8-Provider Mental Health Group (California)

“We were leaving massive amounts of money on the table with incorrect psychotherapy coding. Neo MD taught us proper E/M add-on billing for medication management, fixed our telehealth errors, and helped us launch psychological testing services. Our revenue is up 32% without adding appointment hours.”

— Dr. Rachel M., Psychiatrist

Metric Before NEO MD After NEO MD (90 Days)
Psychotherapy Claim Denial Rate 31% 4.6%
Annual Revenue Loss $580,000 Recovered
E/M Add-On Codes Never Billed +$19,000 / month
Telehealth Modifier Accuracy Frequent Rejections +$14,000 / month
Extended Session Coding Consistently Undercoded +$16,000 / month
Psychological Testing Revenue $0 Revenue +$12,000 / month
Total Revenue Impact Missed Revenue $71,000 / month
($852K annually)

Free Download

Mental Health Denial Prevention Checklist

The exact checklist our coders use for 93%+ clean claims.

Time-based psychotherapy code selector (90832, 90834, 90837 with time ranges)

E/M + psychotherapy add-on decision tree (90833, 90836, 90838)

Telehealth modifier guide by payer (95, GT, GQ, and state-specific rules)

Medical necessity documentation templates for session frequency

Crisis intervention billing guide (90839-90840, time requirements)

Psychiatric diagnostic evaluation coding (90791 vs 90792)

Psychological testing code matrix (96130-96139)

Place of service quick reference for telehealth and in-person

Used by 185+ mental health practices. Worth $2,700. Yours free.

Performance: Neo MD vs Industry Standard

Performance Metric Industry Avg Neo MD
Clean Claim Rate 62–74% 93–95%
Denial Rate 26–38% 4–7%
E/M Add-On Capture 12–28% 94%+
Telehealth Accuracy 68–79% 97%+
Extended Session Coding 54–71% 96%+
Testing Revenue Capture 18–42% 92%+

Our Process: Revenue Acceleration in 90 Days

Step 1 (Week 1)
Free Revenue Diagnostic

We begin with a comprehensive analysis of your last 90 days of billing data, examining every psychotherapy session code selection, E/M add-on code opportunities, telehealth modifier accuracy, and time documentation for extended sessions. Our team reviews denial patterns by service type and payer, identifies missed crisis intervention billing opportunities, and assesses medical necessity documentation quality for session frequency. You receive a detailed report showing exactly where revenue is leaking and the specific dollar amount being lost to each type of coding error or missed service opportunity.

Step 2 (Weeks 2-3)
Seamless Transition

Our implementation team coordinates a smooth transition with zero disruption to your practice operations or patient care continuity. We integrate with your EMR system (whether you're using Simple Practice, TherapyNotes, Kareo, Valant, NextGen, or any other platform), verify all payer enrollments and credentialing including behavioral health panels, set up telehealth billing protocols with payer-specific modifier requirements, establish time tracking systems for accurate psychotherapy code selection, and provide comprehensive training to your providers and administrative staff on documentation requirements for E/M add-on codes, crisis intervention, and psychological testing. Most practices have their first clean claims submitted within 10-12 business days.

Step 3 (Days 30-90)
Revenue Acceleration Phase

 This is where you see immediate financial impact. Our certified mental health coders begin capturing E/M add-on codes for every medication management session combined with therapy, implementing correct extended session coding when time exceeds 53 minutes, optimizing telehealth billing with payer-specific modifiers and place of service codes, and ensuring proper crisis intervention billing for emergency and extended sessions. We systematically rework and resubmit old denied claims with corrected coding and enhanced medical necessity documentation. Within the first 30 days, most practices see noticeable cash flow improvement from E/M add-on capture alone, and by day 90, our clients average a 25-30% revenue increase without extending office hours or reducing time with patients.

Step 4 (Ongoing)
Ongoing: Continuous Optimization

Revenue optimization doesn't stop at 90 days. We provide bi-weekly updates on telehealth policy changes as payer rules evolve post-pandemic, conduct monthly psychotherapy coding reviews with your providers to ensure continued time documentation accuracy, perform quarterly compliance audits on medical necessity documentation and crisis intervention billing, and deliver annual CPT code update training specific to mental health and behavioral health services. As your practice expands into new service lines like psychological testing, TMS therapy, or intensive outpatient programs, we proactively research coverage policies and implement billing protocols to ensure maximum reimbursement from day one.

Critical Compliance Issues We Handle

Mental health practices face unique compliance challenges. We protect you:

Time-based code accuracy (psychotherapy minute thresholds, documentation requirements)

Medical necessity for frequency (supporting documentation for multiple weekly sessions)

E/M add-on code compliance (separate documentation for medication management)

Telehealth modifier accuracy (payer-specific requirements, place of service)

Crisis intervention documentation (time tracking, medical necessity)

Psychiatric evaluation complexity (90791 vs 90792 differentiation)

Psychological testing medical necessity (coverage criteria, frequency limits)

Split/shared billing rules (collaborative care documentation)

HIPAA compliance (behavioral health enhanced privacy requirements)

We keep you compliant, paid, and audit-ready.

Frequently Asked Questions

10–14 days, zero claim disruption.

Yes. We track payer-specific telehealth policies, including modifier requirements and coverage limitations.

 We ensure proper billing of 90833, 90836, 90838 when medication management is provided with therapy.

6–9% of collections, but clients average a 25–30% revenue increase.

 Yes. We handle practices of all sizes, from solo providers to large multi-location groups.

 We optimize testing revenue with proper code selection (96130-96139) and medical necessity documentation.

Stop Losing $22K–$52K Every Month

Every month you delay is another month of compounded clinical leakage.

Psychotherapy sessions undercoded

E/M add-on codes were missed entirely

Telehealth claims rejected

Extended sessions billed as standard

Crisis intervention uncaptured

Psychological testing = $0

Partner with Neo MD

Operational Performance Protocol

clean claims
93–95%
Denials below 5%
60 Days
Revenue up 25–30%
90 Days
E/M add-on capture
94%+
Telehealth accuracy
97%+
Extended session coding
96%+

Testing revenue

92%+

Two Ways to Get Started

Option 1

Free Revenue Analysis

No obligation. No sales pitch. Just data.

We’ll show you:

Option 2

Talk to a Specialist

15-minute consultation. Zero pressure.

We’ll discuss:

Or call us directly:

Monday-Friday, 8 am-5 pm EST

The Cost of Waiting

If you’re a mental health practice collecting $2.2M annually and losing 27% to billing inefficiencies:

$594,000

Per year in lost revenue

$2.97 million

Over 5 years

That’s hiring another therapist or psychiatrist, expanding to a second location, investing in specialized treatment programs like TMS or IOP, or launching comprehensive psychological testing services.

Every month you wait costs you $49,500; you'll never recover.

The question isn’t “Should I switch?”
The question is: “How much more am I willing to lose?”

Neo MD Inc. | Mental Health Medical Billing Specialists

Trusted by 185+ mental health practices across all 50 states