fees in advance?

**eviesnanny** · 02-09-2010, 01:23 PM

When I actually get some mindees how shall I ask for the fees?

Should I invoice them a month in advance or invoice them after their child has been with me for a month for hours minded?

What way do you do it?

**maryp0ppins** · 02-09-2010, 01:28 PM

If it was me...start as you mean to go on.....In advance either weekly or monthly whichever suits you.

I got messed around with money (late payments, not the right money etc etc) so I changed all my contracts to advance payment.
Work out hours for the month in advance, then if parents take time off or lo's off sick they cant try & talk you out of not recieveing your full payment.

No payment No available minding!!

When you have it in advance at least you know when your working your actually seeing your money & not feeling let down if certain parents cant be faffed to pay you.

**eviesnanny** · 02-09-2010, 01:39 PM

That makes good sense Marypoppins.

Are parents happy with this arrangement or do they tend to agree to it grudgingly. I dont want to upset them!!!!

What do other people do and what was the reaction from parents?

**susi513** · 02-09-2010, 01:44 PM

Always charge in advance. Parents are paying to have a place reserved for the sole use of their child as well as the childcare they will receive. It is far easier to refund any overpayment if you are off sick than it is to extract payment from a parent who doesn't agree with your bill or who has been given the sack and not been paid. Also there may be situations such accident or serious illness that prevent a parent from paying on time or force them to leave without giving full notice. Being paid in advance minimises the chances of having to approach the parent for payment at times of distress.

**Millenium** · 02-09-2010, 01:51 PM

I fully agree. I will only offer a contract based on monthly payment in advance - no exceptions. Also, depending upon the method of payment, you may need to revise your payment policy (or wherever you cover the issue), so that you have cleared funds on the first contracted day of the month. Its no good if a parent presents you with a cheque for £500 on the first day of the month and you then have to get it paid in quickly to ensure it clears OK and by the time your bank tells you that the cheque was not honoured, you have done 5 days minding!

I do the same with voucher payments as they take 2 or 3 working days to go through depending upon the company - cheques and vouchers need to be with me around the 25th of the month to allow time for clearance.

This may sound harsh but I am running a business and I will not be messed around.

I am sure you will find your parents will fully understand your terms of business - I can't think of much in this world that you can get without paying for it in advance (or at least with a hefty deposit).

**AliceK** · 02-09-2010, 02:15 PM

Always get payment in advance. I give parents the option of weekly or monthly but it is stated on all my paperwork and contracts that this is in advance at the beginning of the month or week. MM contracts state that if payment is late I can withhold care of the child until fees are paid. Not sure that NCMA are the same?

xxxxxxx

**Mookins** · 02-09-2010, 02:28 PM

hi hun...im due to start 20th sept and had all these great plans of month depost and monthly payments in advance etc etc but to be honest where i live people just cannot afforsd it...

so im definatly doing it in advance payments but only 2 weeks deposit and their choice whether they pay weekly or monthly.

Where i am a lot of the businesses are tourist trade led so hours differ reguarly as do wages. seems to be easier to give the parents a choice to a certain extent

different for different people...but have stipulated always payments in advance that way no chasing late payments (hopefully) and invoices can be done in advance too...to a certain degree

xxx

**jadylasa** · 02-09-2010, 04:03 PM

the only thing I stipulate is that it's in advance and no cheques, other than that they can pay how they like, monthly weekly, daily, cash, standing order, vouchers etc. I don't take a deposit, I ask for a retainer x amount per month to hold a place in the future, but not a deposit, if they are paying in advance, this covers the notice period. I just refund if I have any unexpected days off.

**Chimps Childminding** · 02-09-2010, 05:21 PM

Ok so I may be in the minority, but I charge in arrears. The bills are done up to the last friday in the month and given out the next time they are here the following week. They then bring the money/cheque the next time they come. One pays by standing order anyway and so far

(touching wood very quickly) in the 12 years I have been doing this job, I have never not been paid by parents or had to wait long. Maybe I have just been lucky

I know nurseries etc. charge in advance, but most places you work you get paid after you have worked, not before!

**Mrs Pootle** · 02-09-2010, 07:47 PM

I charge in advance, and although I am new to all this, non of my parents have queried paying in advance. They have all been happy with this. I say start as you mean to go on. I would hate to end up in a situation where I have worked and then the parent doesn't pay.

**jadylasa** · 02-09-2010, 07:54 PM

Originally Posted by CAROLYN

I know nurseries etc. charge in advance, but most places you work you get paid after you have worked, not before!

True, but we have meals and snacks and resorses to buy BEFORE we look after LOs, we pay our memberships, registration fees and insurances for what we are going to use, not what we have used. I think these reasons alone justify advance payments, with out taking into consideration the minority of parents who take the

.

**RachelE** · 02-09-2010, 08:18 PM

I too charge in arrears not in advance!

I find it far easier to add the odd hour extra on - may seem picky a month later.

I have never had a problem and am quite happy with the way this works. If I'm going to lose out, then parents could still try this in advance.

Rachel x

**sarah707** · 02-09-2010, 08:54 PM

I have always charged in arrears until a customer of 4 years left owing me money. It really shocked me, I thought I had a good working relationship with all my parents - just goes to show doesn't it?

That changed my whole attitude and in spite of the fact that MM helped me to get a full repayment I decided to completely update my fees policy for new starters.

I now charge in arrears for established children... but state that if they go into debt I will immediately change it to advance and withdraw care until it has been paid in full.

I have 2 new starters and they pay by monthly bank transfer on receipt of an advance invoice.

I also state that if there are extra charges through the month they will be included on the following months' invoice.

Hth

**karen m** · 02-09-2010, 09:18 PM

I charge in arrears simply because i know that if i wanted childcare i could not afford to pay a month in advance

**Daftbat** · 03-09-2010, 06:25 AM

What I do is get the parent to decide when the best time for payment will be. I have never insisted upon payment in advance but i have always mentioned to them that its an option i have if a parent doesn't pay on time.

In 11 years I have never had any real problems - in fact it has helped my cash flow since some people have preferred to pay weekly or fortnightly rather than waiting for the end of the month.

**The Juggler** · 03-09-2010, 06:46 AM

Originally Posted by CAROLYN

Ok so I may be in the minority, but I charge in arrears. The bills are done up to the last friday in the month and given out the next time they are here the following week. They then bring the money/cheque the next time they come. One pays by standing order anyway and so far

(touching wood very quickly) in the 12 years I have been doing this job, I have never not been paid by parents or had to wait long. Maybe I have just been lucky

I know nurseries etc. charge in advance, but most places you work you get paid after you have worked, not before!

I used to do that especially with those returning from mat. leave but when one relationship with a parent turned nasty I did really panic about whether she'd pay. Also I'd always be asking for payment every month

. At least when you are charging in advance and they pay you few days late you are not providing care for free for too long.