Retainer fee or just deposit for Sept 2014?

**NinaBowen** · 26-10-2013, 09:10 AM

I have already had an enquiry for an after school child for Sept 2014.

The parent wants a Wednesday, which I currently have available. A Monday which will be available come February as I have a child moving in to the next age bracket. And a Thursday which is not available at the moment but she hopes will be come Sept.

Anyway she wants to pay a deposit to secure the Monday and Wednesday but I am not sure what to charge. Normally if it was closer, I would just charge a deposit of £20 but September is 11 months away and my space for a Wednesday is available now. So I was thinking of a retainer of 50% for the Wednesday but then what should I do for the Monday a retainer too?? Or start charging a retainer from February onwards?

What would you charge please??

**Kiddleywinks** · 26-10-2013, 09:24 AM

With regard to charging a retainer -
What would you do if next month you lose all your mindees (parents are laid off), you advertise, and get new parents that all want full time hours 5 days a week starting in January?
You would have to keep one of those spaces for the parent that has been paying you a retainer, for 1, 2 or 3 days, which means you have lost out on the other days earnings with a new parent.
If you decided to go with a new parent instead (more money) then you would have to refund all retainer payments made by the Sept parent

This job is so unpredictable and it is for this reason I personally don't take anyone on more than 3 months ahead, but would put this parent on a waiting list and contact her again nearer the time.

If you were to charge a retainer, then you can only charge for the days you have available - so Wed's until Feb, then Wed and Mon from Feb, and then Mon, Wed and Thu once Thu becomes available (what will happen if it doesn't?)

**dawn100** · 26-10-2013, 11:17 AM

I also would not take a retainer/deposit for so far in advance, what if the thurs doesn't become available will she still want the other two days? You could be turning away other work in the mean time and be losing out. I personally would say I will contact her again jun/July and then discuss if I have a space and sort out the deposit then. There are so many things that could happen between now and then.

**The Juggler** · 26-10-2013, 11:24 AM

i think if you can't offer the days she wants now or even be sure you can in September it would be unfair to take either deposit or retainer. What if your Thurs is not available.

I would either tell her you'll put her on a waiting list and notify her as the spaces come up OR if you need to fill the Wed now and the Monday in Feb then I'd fill them - personally, I'd want to fill those now not wait as it's a long time to only take half fees until september.

**moggy** · 26-10-2013, 12:14 PM

I would not try to reserve a space so far in advance at all. Who knows what could happen between now and then. If this is a child starting school they won't even know if the child has place there until the Spring!

I would keep them on your 'waiting list', keep them updated of any changes over the months, and meet in May 2014 to see what the situation is then.

**gef918** · 26-10-2013, 04:41 PM

I wouldn't sign contracts or accept any money until at most 3 months before the start date. Anything can happen before then.

**sing-low** · 26-10-2013, 04:53 PM

That is one organised parent! I wouldn't take them on this far in advance either. Just too much money to lose (either with a deposit or retainer).

**The Juggler** · 26-10-2013, 04:57 PM

i've signed a contract in Jan for September but this was because I knew I had a space coming free then. I would not have held a place (even for 1 day) that long

**smurfette** · 26-10-2013, 05:04 PM

Originally Posted by Kiddleywinks

With regard to charging a retainer -
What would you do if next month you lose all your mindees (parents are laid off), you advertise, and get new parents that all want full time hours 5 days a week starting in January?
You would have to keep one of those spaces for the parent that has been paying you a retainer, for 1, 2 or 3 days, which means you have lost out on the other days earnings with a new parent.
If you decided to go with a new parent instead (more money) then you would have to refund all retainer payments made by the Sept parent

This job is so unpredictable and it is for this reason I personally don't take anyone on more than 3 months ahead, but would put this parent on a waiting list and contact her again nearer the time.

If you were to charge a retainer, then you can only charge for the days you have available - so Wed's until Feb, then Wed and Mon from Feb, and then Mon, Wed and Thu once Thu becomes available (what will happen if it doesn't?)

I have same situation and have told parent to come back nearer the time ., agree with all the points above!

**NinaBowen** · 26-10-2013, 05:11 PM

ok thanks for the advice

**greanan** · 26-10-2013, 06:35 PM

Last week I had the same kind of enquiry. Mum is pregnant and wants a full time space for next September. I've 'penciled' her in for them. I'll have them spaces available then but haven't charge any retainers

**LauraS** · 27-10-2013, 11:11 PM

I've had this twice. First time I had the space available immediately, and the enquiry was in September for the following September start. I asked them to come back to me at the start of the summer to enquiry about a space and discuss in more detail as I couldn't hold a space for an entire year. They didn't come back, for reasons unknown. Second time, I had an enquiry in September for an April start. I knew I would have the space as I had a child leaving then, so was happy to take a deposit to secure it, and it worked out perfectly.

I wouldn't hold a space for an entire year, retainer or not. Too much can happen in that time.

**bunyip** · 28-10-2013, 08:52 AM

I recently made a prize ***** of myself like this. Held 2 spaces for over a year, believed the parents' promises of "don't worry - we won't let you down". 2 weeks into the arrangement, mum completely changed her mind, gave notice and strolled off into the sunset. They'll smile sweetly and make light of it, but a different story if the boot had been on the other foot.

I dislike the idea of retainers, cos I don't think they're entirely satisfactory for either party and they penalise parents who plan ahead and don't leave childcare 'til the last minute. But I'm now far more inclined to believe that we need some form of commitment from a client wanting to book in advance.