Change to contract before it starts?

**snufflepuff** · 17-07-2011, 09:07 PM

I had a parent come and sign contracts last month for childcare to start in September. We couldn't fill out the hours part (and therefore the fees part) because she's not been given her timetable from uni yet, but she said she needed three days a week, various shifts- 8.30am-5.30, 7am-4pm and 2pm-8.30pm (middle shift when she is in uni, early and late shifts for work placement)
She has emailed me today to say that her partners work hare being flexible and they now only need me 2 days a week.

I took a deposit equal to 4 weeks fees- do I need to return part of the deposit and just keep enough for a 2 day week? Or perhaps use the difference towards the first months fees?

I am a bit annoyed because I have turned down work that I may actually have been able to do had I known this earlier.

**Tealady** · 17-07-2011, 10:06 PM

Originally Posted by snufflepuff

I took a deposit equal to 4 weeks fees- do I need to return part of the deposit and just keep enough for a 2 day week? Or perhaps use the difference towards the first months fees?

Either really, what would suit you best. Personally I would do the latter incase they are late payers.

**rickysmiths** · 17-07-2011, 11:04 PM

I would keep the Deposit the same because it is just that, the Deposit. If and when the contract starts properly I would decide then. I normally keep it the same for however long the Contract lasts and then use that amount to cover the 4 weeks notice.

**snufflepuff** · 18-07-2011, 06:48 AM

I would keep the Deposit the same because it is just that, the Deposit. If and when the contract starts properly I would decide then. I normally keep it the same for however long the Contract lasts and then use that amount to cover the 4 weeks notice.

I also keep deposits to the end of a contract- so if when the contract comes to an end LO is still doing the same sort of hours with me, the deposit will cover her final months fees and there will still be some money left over (around £100)- what happens with that extra money?

I've been awake half the night feeling a bit miffed about holding this space for her and now she only needs part of it. Deposits don't really secure the work for us childminders at all do they- a parent could agree 5 days then later on reduce to just one day, and a childminder would have much less income than they expected and probably would have turned away work while holding all 5 days!

**miffy** · 18-07-2011, 06:54 AM

I wouldn't refund any part of that deposit now or in the future - when I take a deposit I make it clear to parents that if they fail to take up the place the deposit is forfeited so, if it were me, she would lose that portion of the deposit.

I have had people change their minds too and it's annoying, especially if you've turned down other work.

Miffy xx

**snufflepuff** · 18-07-2011, 07:03 AM

My policies do state that deposits are non-refundable so that would cover me at least. I'm just a bit worried about getting their backs up already, don't want to lose them altogether!

**rickysmiths** · 18-07-2011, 07:15 AM

Originally Posted by snufflepuff

I also keep deposits to the end of a contract- so if when the contract comes to an end LO is still doing the same sort of hours with me, the deposit will cover her final months fees and there will still be some money left over (around £100)- what happens with that extra money?

I've been awake half the night feeling a bit miffed about holding this space for her and now she only needs part of it. Deposits don't really secure the work for us childminders at all do they- a parent could agree 5 days then later on reduce to just one day, and a childminder would have much less income than they expected and probably would have turned away work while holding all 5 days!

This is why I take the four weeks fees and whatever they set as hours at the beginning sets the Deposit. If they then reduce the hours and I had a family do exactly the same thing in March, booked for 5 days and within a week reduced it to 4 days, they are leaving next week lo is going to Day Nursery, they couldn't get a place in March and used me as a stop gap.

I make it clear the Deposit stays the same because experience tells me that it is normally a family who I'm not sure about is the one who will fiddle with hours and reduce when they have initially asked for full time and taken a full time place. I guess it means I get a bit of a bonus for all the mucking around.

If a family have been with me a long time, well over a year and for genuine reasons times had been reduced, all fees had always been paid on time etc I might consider refunding the difference at the end. However I had a feeling they were going to mess me around so I made sure the Contract was watertight and had made the Deposit the Deposit which was what would cover the Notice Period. The mum did try to beat it out of me but I have stuck to my guns and not refunded the difference.

Sorry I have rambled a bit but hope I have put your mind at rest.

**Goatgirl** · 18-07-2011, 07:24 AM

Hi

,
Sooo annoying when this happens, especially with having turned down other work.
I would do as Miffy says with the 'extra' portion of the deposit: and whatever you agreed with parents regarding the rest. That's assuming that you still want to go ahead with the contract. You can always refund the deposit and take on another family...
I find that quite often parents just don't understand that changing their minds affects us so much. Their main concerns will usually be saving money and maximising their own/families time with their child...

Maybe just contact them and have a word about the excess deposit?, mentioning that you have turned away other work based on their original requirements and explaining what you will be doing.

Feel free to ignore all the above, just my early morning meanderings.......

Hope you manage to fill the rest of the space soon

best wishes,
Wendy

**snufflepuff** · 18-07-2011, 07:26 AM

Thanks rickysmiths.
I'm just unsure how to word it- do you think I should just say that the deposit amount stays the same as it is non refundable, and leave it at that?

**rickysmiths** · 18-07-2011, 08:02 AM

It depends how it is on your Contract. I actually mark it as a Reservation Deposit when the Contract is first signed and then I tick the box 'held as payment Deposit?' and then write underneath 'Cover the 4 weeks notice period when the contract ends if all fees are up to date'

In the notes on the back of the contract it explains that this kind of Deposit may be kept but any outstanindg amounts of money may be kept from it as well. So I guess I use it as an insurance policy. I am paid in advance so on the First Monday of the month I am have 2 months pay in hand if that makes sense. It also means I have 4 paid weeks to do something if someone doesn't pay.

**snufflepuff** · 18-07-2011, 08:07 AM

I use MM contracts. I've written on it myself, something along the lines of 'deposit of £x paid, to be held until contract is terminated'. Then in my policy it explains that it's non refundable etc.

**rickysmiths** · 18-07-2011, 08:14 AM

Then you keep it as it is.

**snufflepuff** · 18-07-2011, 08:19 AM

Great, thanks so much for your advice.

**leeloo1** · 18-07-2011, 09:57 AM

Perhaps you should have charged a retainer - I do half-fee ones for places needed more than a month in advance. Then they're less likely to say 'oh yes I know we paid a half-fee retained for 4 months for 5 days pw, but now we only need 1!' Or if they did then at least you have some compensation for the annoyance!