Worried about increasing fees.

[RachelE]

I hate the money side of this job - apart from on pay day!! :D

I have had S since last June and am increasing fees from Sept 1st.

She comes from 9-4:30 and I charge £3 per hour - and stupidly only charge for the half hour! So, a day at the moment is £22.50.

I dont charge her for my holidays (4 wees) and allow her to take another 2 weeks unpaid.

Her Dad has a new job which involves an hour later on odd days. I charge her monthly and somtimes forget to add on these hours.

To simplify it I was thinikng of doing a flat daily rate to include any extra odd hours.

I also have started providing lunch and snacks as she is over 1 and havent charged extra for these.

My 1st idea was to charge £26 per day. That would work out at £3.40 an hour, including an extra hours and food.

But, I wonder if thats too much of an increase.
£25 per day would be £3.33 inclusive of extra hours and food.

How much would you increase by taing into consideration the food and extra hours?

The more I thin about it, the more I am inclined to go with £25 per day.

Oh, I hate this! :panic:

Thanks x

[flora]

i hate this side of things too rachel, i should have been paid for 2 days this week and i still haven't had the nerve to ask for the money as mum only told me last friday that i wasn't needed.

i keep all the thing separate and charge individually for the hourly rate meals etc are extra.
parents seem to find this easier to swallo as the hourly rate is only £3, then because they know they are asking me to provicde something extra they never mind paying for it.

does that make sense?????

not alot of help though sorry babe :blush:

[Rubybubbles]

I charge £3.40 per hour flat:blush: easier for me to work out:laughing:

[Goatgirl]

Hi Rachel,
i also charge one hourly fee which covers food, but charge separately for extra hours, adding them to the invoice due after the arrangements are agreed.
I think you're already being very generous to have provided free food for some time and allowing them some unpaid holiday. My parents pay for all their hol but not mine.
In your situation, I would put the fees up to £3.33 an hour to cover food and also charge extra for the odd hours - find a way to help you remember to charge, lol. I write everything unusual on a desk calendar and refer back to it when I do the invoices, so I can make any adjustments.
Hope this helps,
bws,
wendy :-)

[miffy]

Do you know what other childminders in your area charge? That might make it easier for you to decide how much to increase your fees by.

Also tell the parent that you've put your fees up to include the extra meals/snacks you're providing now.

Miffy xx

[Mickey Mouse Clubhouse]

I charge by the hour and then any extra hours is added on at the end of the month.

xx

[Chatterbox Childcare]

Personally I would charge a flat £30.00 going on the times you have stated because you won't take anyone on between 4.30 and 6.00 but as this is an existing client I would put my fee up to £27.90 which is £3.10 x 9 hours allowing 9-5pm and anything after that invoice as extra. I would offer meals at £2.00 each and if parents don't want to pay then they would need to supply and stick to it.

I find that a lot of childminders have problems with the admin and pay because they are not confident in what they are charging for the service that they are offering and once the child is with them they become friends with the parents and things go wrong.

Going forward decide on your fees and have them written down if need be to hand over to the parent when you meet them for the first time.

[oldtimer]

You are running a business and should not confuse childminding with providing a social service...

if your setting is open from (for instance) 8 a.m. to 6 p.m., then you should set your day rate to cover these hours (IMHO)

why charge for 7 1/2 hours when you have a space available for 10 hours ???

the missing 2 1/2 hours cannot be used by anybody else..

with the onset of EYFS and all the paperwork that needs to be undertaken, then I would suggest that an extra hour be added on for your day rate to cover administration.

if you book a hotel room for one night.....and leave the room early , you do not get a discount....the hotel has fixed overheads to be paid, the same as childminders have fixed overheads....

[cuffleygirl]

What a fantastic analogy Old Timer beautifully put!

If you layout your charges separately its less confusing for the parent and they are less likely to quibble the only thing here is you and the parent (if they are getting credits or vouchers) may have tax issues if food is listed seperately discuss it with the parent.

I don't think that it is we aren't confident talking about money its just disappointing that we have to and it makes the children feel like they are commodities.

The daily rate is good if you don't mind working until 6pm as the parent is likely to use the time available if you want to finish earlier then go down the hourly rate. If you don't charge your holidays that's your choice and charge 1/2 for all of theirs or 1/2 for some of yours at least you are selling yourself short!

[rickysmiths]

You have had some good advise.

With the holidays though I inform all my parents by the end of Jan when I want to take my main holidays. I keep 2 or 3 days for unexpected things or for Xmas shopping. I then have a two week period for discussion the aim is that we all take our main holidays together which means the parents don't have to find or pay for childcare while I'm away. I always discuss this at interview stage as well so when they start with me there is an expectation that they will be on holiday when I am.
In the 10yrs I've been doing it this way I have only once been asked if I could move my holiday by a week, which I did.

I find the parents are happier because they don't tend to like using someone else for odd two weeks and weeks here and there. I actually am paid for 5 weeks but you may not charge a fee. However all my parents have more than 5 weeks paid holiday (the min for employed is 31 days p.a.) so if they take holiday when I am working then they pay full fee.

I have always charged an hourly rate and for example I have 2 with me from 7.15am to 5pm so they are charged exactly for those hours the fee includes food ++ the parents only provide nappies. Then I invoice the next month if there have been any extras, I refer to my register when I make up the monthly/weekly bills.

[LittleMissSparkles]

I charge by the hour which includes snacks and meals if applicable,£3.75 so £37.50 a day which covers everything.

You have had some good advice you just need to work it to fit you and your business, good luck with the parents xxx