Counseling vs. Coaching: How to know what’s right for you.
If you’re on a personal growth journey or want to build your own private practice, you’ve probably noticed the lines between therapy and coaching can feel pretty blurry. Maybe you’re trying to decide whether to hire a life coach or a licensed therapist, or maybe you’re considering becoming one yourself. Either way, this is a conversation that matters—and one I’ve sat in from both sides.
As someone trained in clinical counseling and also experienced in the coaching industry, I’ve seen the beauty and the challenges of both paths. I’ve done the deep work of healing past wounds in therapy and the empowering work of goal-setting and expansion in coaching. And I’ve worked with clients who truly needed one but had found themselves in the other—and didn’t realize why they weren’t getting what they needed.
So let’s talk about it: what’s the difference between coaching and therapy? What are the pros and cons of each? And how do you know which one is right for you—whether you’re seeking support or building a practice?
Therapy Looks to the Past and Present.
Coaching Looks to the Future.
The simplest way I’ve come to describe the difference is this:
Therapy in general is about healing. It’s often focused on the past and how it’s affecting your present. You’re working through unresolved issues, unprocessed trauma, or patterns that stem from earlier life experiences. Or you’re looking for support in navigating experiences/transitions/relationships etc that are happening now.
Coaching in general is about growth. It looks to the future. It says, “You’ve done some healing—now what do you want to create?” It’s action-oriented, focused on strategy, mindset, and achieving clear results. You might envision who you want to be or a life you want to live, and work together to begin expanding your life and reality in that direction.
That doesn’t mean therapy never looks ahead or that coaching never touches on the past—but the intention behind the work is different. Both have incredible value, and sometimes people need both at different times or even at the same time.
There are pros and cons to each industry - both as clients and as coaches/counselors. So let’s get into ways each industry is great, and some pitfalls they each have.
Pros of Coaching:
Let’s start with what I love about the coaching world.
1. It’s results-driven and transformative.
Coaching can spark major breakthroughs and momentum. A good coach offers a clear structure or proven method to guide clients from where they are to where they want to be. Whether it's building a business, navigating a life transition, or creating new habits, coaching helps people move forward.
2. The field is accessible.
Unlike therapy, coaching isn’t regulated—so if you have deep experience, insight, or a framework that helps others, you can begin coaching without spending six to eight years in school and over $100K on a degree and license. Many coaches build powerful practices based on lived experience and self-developed systems. That accessibility is one reason the industry has grown so fast.
3. Higher income potential.
In many cases, coaching is actually more lucrative than therapy. Because it's not tied to insurance, and because it’s often marketed in high-value packages with clear outcomes, people are willing to pay more upfront. There’s also greater flexibility to scale—offering online courses, group programs, and digital products that grow your reach and revenue.
4. It’s creative, flexible, and location-independent.
Coaching lends itself to building a business that’s deeply aligned with your values. You can work from anywhere, choose your niche, build your brand, and show up as your whole self. In fact…
5. You can lead with your values.
As a coach, it’s not just okay to speak openly about your spirituality, politics, or personal beliefs—it can be what sets you apart. You can create a coaching program that’s deeply rooted in your worldview. In contrast, therapists are trained to be client-centered and neutral. There’s less space in therapy to lead with your own way of being (although there’s definitely ways to do it!), which is often seen as a potential ethical issue. In coaching, authenticity is part of the magic.
Cons of Coaching:
And now for the messy truth: the coaching industry is amazing—and also kind of a mess.
1. There’s no regulation.
That freedom I just mentioned? It comes with a cost. Because anyone can call themselves a coach, there are a lot of under-qualified or unethical people causing real harm. Clients sometimes turn to coaches when they’re actually in need of deep therapeutic work—and some coaches don’t know how to recognize that, let alone refer out.
2. It’s the Wild West out there.
There are no standard practices, no ethical boards, and no license to lose. It’s empowering and risky. That means coaching attracts everyone—from the deeply gifted to the dangerously unskilled.
3. The industry rewards performance over depth.
Here’s where I get fired up. The coaching world often elevates the loudest voices, not the wisest ones. The people who rise quickly are usually those who excel at personal branding, social media presence, and marketing tactics. And while I believe in visibility, I’ve seen how self-promotion can quickly turn into ego inflation and even emotional manipulation.
I’ve experienced this myself. I once had a coach publicly criticize me for being “too niche,” telling me I’d fail if I didn’t diversify. Not only was that unsolicited advice, it was delivered in a shaming, dismissive way that would never fly in the therapy world. In clinical training, we’re taught to respect our clients’ autonomy, not impose our own business models onto their dreams. That moment made me realize just how toxic the “my way or the highway” mentality in coaching can become.
4. It can feel cult-like.
I know that sounds extreme, but I’ve witnessed it. Coaches who encourage dependency, blur boundaries, and shame clients who question their authority. The pressure to “trust the process” can turn into spiritual gaslighting. Without ethics training or regulation, there’s often no accountability when harm is caused.
5. There’s a lot of noise.
Because the barrier to entry is so low, there are thousands of coaches online. That means you have to work harder to stand out. It can feel overwhelming to navigate a saturated market filled with highlight reels, big promises, and competing voices.
Pros of Therapy:
Now let’s talk about what makes therapy a sacred and irreplaceable path.
1. Therapists are trained and regulated.
To become a licensed counselor or therapist, you need at least a master’s degree, hundreds of hours of supervised clinical work, and ongoing continuing education. You’re held to a code of ethics and a high standard of care. That structure brings both safety and trust to the client-therapist relationship.
2. It’s built for deep healing.
Therapy is the container for trauma work, grief processing, attachment healing, and identity exploration. It allows clients to explore their inner world at their own pace, without pressure to produce a result. It’s one of the few spaces in life where it’s okay not to be okay.
3. It’s often more accessible financially.
While private-pay therapy can be expensive, many therapists accept insurance or offer sliding scales, making mental health care more widely available. That’s a huge plus, especially compared to coaching, which is rarely covered by insurance.
4. It’s client-centered.
A good therapist doesn’t tell you what to do. They don’t project their beliefs or assume they know what’s best. They walk beside you, holding space for your own wisdom to emerge. The power dynamic is more balanced than in coaching, which often has more of a leader-guide feel.
Cons of Therapy:
That said, therapy isn’t perfect either.
1. It’s expensive (to become one).
If you’re pursuing this as a profession, prepare to spend 6–8 years and potentially six figures on graduate school, licensing, supervision, and continuing education. Starting your private practice can take years.
2. The income ceiling is lower.
Especially in the early years, most therapists aren’t earning six figures. The average salary hovers around $53K–68K/year. Many are turning to coaching, consulting, or creating courses just to earn a sustainable living.
3. Insurance is a hassle.
Working with insurance means dealing with billing codes, documentation, diagnosis, and red tape. It can take away from the presence and energy therapists want to bring to their clients.
4. There’s less room to be “yourself.”
Because therapists are expected to maintain neutrality, there’s less freedom to show up with your full personality, spirituality, or unique frameworks. Some therapists find this limiting, especially if they’re drawn to holistic, spiritual, or nontraditional approaches. Although, I’m a good example of blending spirituality with my clinical approach: I offer past life regressions, have a mindfulness-based orientation that’s rooted in my Buddhist practice, and I welcome conversations about spirituality of all times (and even healing from religious trauma or spiritual abuse). So you can still bring your own personality into your clinical practice. You can learn more about what I offer and how I incorporate it into therapy at sarahbyrd.com/therapy.
5. Therapy isn’t always enough.
Sometimes people reach a point where they’re no longer in crisis—they’re just feeling stuck. They might do the healing work, and then ask, “What now?” They’re ready to dream, plan, and expand. That’s when therapy alone might not meet the moment. They need coaching to activate their next level.
How to Know What You Need:
Whether you're a client or a future practitioner, here's a quick guide:
If you’re seeking support:
You want to heal trauma, navigate anxiety or depression, or work through relationship dynamics → Start with therapy.
You want to set goals, build a business, or create your future intentionally → Coaching could be your next step.
You’ve done a lot of therapy but feel stuck in processing mode → It might be time to shift into coaching.
You’re in active crisis or struggling with mental health → Please, find a licensed therapist. Coaching is not a replacement for mental healthcare.
If you want to help people:
You love strategy, frameworks, and empowerment, and you want creative freedom → Coaching might be for you.
You’re drawn to emotional depth, client-centered work, and long-term transformation → Consider clinical counseling.
You want the best of both? Do what I did. Train in both and let them inform each other. There’s no one right way.
Coaching and therapy aren’t in competition—they’re complementary. They exist on a continuum of healing and growth. You might start in therapy, move to coaching, return to therapy, then step into coaching again when you’re ready to launch something big.
Both spaces have their magic and their mess. And both deserve discernment, ethics, and love.
If you're on the fence about what kind of support you need—or what kind of support you want to offer—I’d love to hear your story and support you in your process. I offer spiritual business coaching and therapy for business owners. We have our own unique set of challenges in the experience of running a business with integrity, and I can walk alongside you in that journey.
For Spiritual Business Coaching or Therapy for Entrepreneurs & High Achievers, reach out today.
Let’s keep doing this work with integrity, humility, and purpose.