WW 177: The Catch-22 of Charging for Money Coaching - Solo Show

We’re talking all about money, but specifically a subtopic of money that’s uncomfortable to discuss for a lot of money coaches: their pricing. In this episode, we’re diving deep into the juicy details of both sides of the huge catch-22 that comes with charging for your money coaching. How do you help clients with their financial problems while also charging for your coaching and recognizing that it’s an investment? We’re getting into that and more today! Loving this episode? Take a screenshot and share it on Instagram! Tag me so I can send you some love (@Tess_Wicks)

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Resources FROM THIS EPISODE

Apply for the waitlist to get first dibs and more information on the 20-person round of the Wealthy Coach Blueprint program when it rolls out in August.
Tag me on Instagram @tess_wicks to show yourself working through the pricing workbook. DM me your questions, thoughts, and feedback and I’ll send you a voice message with answers and so much love!

OTHER GREAT Resources

Feel frustrated with pricing your services? Grab the Online Coach’s Pricing Workbook to help you start charging the right price!
Want to work with me in my most exclusive coaching package, yet? Email me!

A Quick Recap from this episode

Today we're talking about money!

My favorite topic, and probably yours as a new, aspiring, or current money coach.

But, oddly, this subtopic of money is probably the most uncomfortable one for money coaches to talk about...

Their prices!

One of the, arguably, most difficult things in building a money coaching business is to wrap your mind around the fact that you will be likely helping your clients with their financial problems, but in order to do so, they need to make an investment with you.

A total catch-22, am I right?

80% of the time, you will be your own toughest critic when it comes to your price point and getting an investment from a client.

Rarely, but still apparent, you might have a client ask you "how can I rationalize paying this when my biggest issue is money?" which is valid! And I want you to be prepared to handle that.

So today, we're going to talk about the catch-22 of pricing your services and taking your money coaches client's money.

First, it’s super important to recognize that as money coaches, we are put in the most unique position. We are the only type of coach who will actually be looking at our clients’ budgets. So it’s pretty normal for us to anticipate what our fee is going to do to them.

Two of the hardest situations where charging for money coaching becomes especially difficult is when the client’s number one problem is overspending, and you need to help them get that under control while still having them spend money to work with you OR when a client’s number one problem is mounting debt, and you need to help them get that under control but first, they might have to put your fee on their credit card in order to make it work.

When it comes to a client who’s number one problem is overspending… here’s how I want you to think about it (because this is how it is):

We have to recognize (and we can equally communicate to a client when they inquire) that hiring a money coach isn’t a mindless or fleeting expenditure like shopping, take out, even a car payment usually are.

This is an investment in your client’s future, and will often reap great returns far into the future, based on this 3-month or 6-month program and timeframe that they get to work with you.

When you sit down and look through your client’s budget, you can help them re-prioritize their fixed spending to include your fee. You’ll likely and immediately find cash flow leaks where you can recover and then redirect that excess cash to cover your fee.

My favorite part of my job is helping my clients find extra money and see that it’s possible for them to cash flow my fee, instead of continue to add it to their CC balance.

When you help your client reprioritize their expenses, I like to remind clients that making financial decisions and setting spending priorities aren’t permanent, but a seasonal decision. If we’re in the season of paying off debt, we’ll direct most of our excess cash there and lay off the pedicures and take out for that season, but it won’t last forever - and the more disciplined we can be for the short period, the faster we’ll get to advance into the next season!

I can say, personally, and after speaking to many other money coaches, including my clients, we have never had a problem finding room in a money coaching client’s budget for our fee to fit and be cash flowed.

When a potential client’s biggest issue is consumer debt, and in order to hire you, they have to add to it, here’s how I like to think about this (because it is the way it is)...

Most of us, especially money coaches, are fairly debt averse. Even if we have debt, the average money coach will typically want to avoid debt at all costs.

But we can’t dismiss the fact that debt does something for us…

It buys us something that we can’t put a price on… Time.

Now, that’s not an excuse to use debt for most things in life. But we still use debt and have normalized it for many things… like a house, for one.

As money coaches, we also understand the invaluable value of time.

Think about your own financial journey… wouldn’t you have benefited from starting earlier? (We can even equate the benefits of starting earlier, and sometimes it equals literal hundreds of thousands of dollars.)

Taking on debt isn’t the ideal, but for a potential client who has no other choice, and is 100% committed to turning their financial life around, it may be their only option to start now, instead of waiting and continuing to struggle and possibly never getting to the point of “affording your fee”

This doesn’t mean you should reduce your fee, it means you, as a money coach, also have to work on your thoughts around debt. Not everyone has the privilege to not use debt to buy the things they need. And sometimes, that need is YOU. So they can finally work their way out of their current situation and never have to use debt, at least consumer debt, again.

And of course, once they do pay your initial fee, I have no doubt that you’ll be able to help your client cash flow the rest of your fees or come up with an unthinkable debt payoff plan to get them in a position where they will be making positive progress in far less time than it would have taken them to simply save up for your fee to then start making the same level of progress.

Some final thoughts…

Coaching, in general, is about collapsing the timeframe for your clients to get from Point A (the struggle they’re dealing with today) to Point B (hitting or being well on their way toward their goals).

The investment isn’t just in their education, it’s also in their transformation. They aren’t just paying you for your hour-long call every fortnight. They are paying to make a commitment to change their behaviors, be held accountable, and ultimately, get far better results in their lives.

Another final thought: Never assume someone won’t be able to afford your price point. It’s amazing, sometimes unbelievable what people spend money on. The people you believe will be able to afford your prices no problem, might decide it’s not worth it, while the one who you know is really struggling will sign up to work with you on the spot. You just never know until you talk about the money on the call.

If you continue to find yourself struggling with the Catch-22 of charging for money coaching, I encourage you to send me a DM on Instagram @Tess_Wicks and we can discuss.

If you’re ready to take your money coaching business to the next level, what are you waiting for? Jump on the waitlist for The Wealthy Coach Blueprint by going to wanderwealthy.com/apply. Enrollment for the next round of the blueprint opens up in August, and by being on the waitlist, you’ll get first dibs to the 20-person round.