Deposits v retainers????

[bellacat]

Hi you guys.
I've had an enquiry about taking on a baby. Baby is not actually due until January and they want childcare from September 2017. That's a long way off and I don't know whether to do a deposit or a retainer. To be honest I've always been a bit confused by them. Also how much should I ask for???????

Any guidance on this would be much appreciated.

Thank you xxxx

[loocyloo]

I may (if I have space and I want to! ie I like the parent! ) pencil babe in, but tell parents we can not confirm anything until babe has arrived safe and well.

Then, I ask parents to contact me when babe is about 6 weeks old to confirm. Then IF I definitely have space they want for future, we discuss deposits and retainers. I keep in touch and usually aim to sign contracts a couple of months before due to start. This is because things often change with new babes!

I had a mum contact me in dec 15, with babe due April 16, and start date Jan 17! We've kept in touch, had many conversations about days etc and next month, we are signing contracts.

[moggy]

No, you can't do anything until baby is born, I think Pacey say that too. Once baby is born you can meet up and make plans. A 50% retainer saves the space but you have to keep the space empty until the family take it up! So you lose 50% income on one of your spaces. A deposit saves the space and is refundable once place taken up but you'd need to know you'll have a space available when they want it!

[Kiddleywinks]

A retainer is for when you have a space available, but a parent that wants that space doesn't want to start for a significant period of time, meaning you can't take on another enquiry and therefore be receiving payment for it.
Retainers are usually 50% of the expected hours fees.
Parent is able to use that space but would have to top up the fees to your usual hourly rate.
Should a parent decide later they don't want to start, then any monies paid are non refundable. If you decide later you don't want to start, then you have to refund.

A deposit is paid to reserve a space you currently have/may have coming up in a few weeks and the parent is signed up to start within a few weeks. Deposits are usually refundable against the first or last weeks fees, or if you chose not to go ahead with the contract. If the parent decides not to start, they lose the deposit.

You can charge a deposit and a retainer - the deposit being refunded against future fees, with the retainer covering 'your loss' during the time you are holding the space for parents.

However.... In the case of a baby that's not even here yet, I too would suggest parents contact you once the baby is here.

Personally, I don't do a retainer for more than 3 months as too much can change for them and me.

[sarah707]

Some advice here - Fees advice :: Eyfs for Childminders.

This website is useful for all sorts of bits and bobs

[bellacat]

A retainer is for when you have a space available, but a parent that wants that space doesn't want to start for a significant period of time, meaning you can't take on another enquiry and therefore be receiving payment for it.
Retainers are usually 50% of the expected hours fees.
Parent is able to use that space but would have to top up the fees to your usual hourly rate.
Should a parent decide later they don't want to start, then any monies paid are non refundable. If you decide later you don't want to start, then you have to refund.

A deposit is paid to reserve a space you currently have/may have coming up in a few weeks and the parent is signed up to start within a few weeks. Deposits are usually refundable against the first or last weeks fees, or if you chose not to go ahead with the contract. If the parent decides not to start, they lose the deposit.

You can charge a deposit and a retainer - the deposit being refunded against future fees, with the retainer covering 'your loss' during the time you are holding the space for parents.

However.... In the case of a baby that's not even here yet, I too would suggest parents contact you once the baby is here.

Personally, I don't do a retainer for more than 3 months as too much can change for them and me.

Thankyou so much, this is the best explanation I've seen, and yes I agree it's too far ahead at the moment. I'll tell her to keep in touch and we'll sort things out a bit later on. Xxx