Pre Reg CM - does this sound fair?

Hi all,

I am in the registration stage and thought I would put together P & P's, welcome booklet, etc while I wait for the info session in Feb 2015. I have worked as a childminder previously in 2010 but gave up after around 6 months due to various reasons.

I have had a read through of many threads and have sort of created my fees policy after reading them. Can I ask you to see if it seems fair please?

£4.50 per hour standard (after checking local CM's on FIS this seems average) breakfast, lunch, snacks & drinks included, extra charge for evening meal though
£5.25 per hour term time or holiday only - no fees or retainers to be charged in other periods
Late collection - no charge if i get contact within 15 mins of due time or before. No explanation and £5 per 15 minutes or part thereof.
Fees to be paid in advance either cash or online banking. No payment = no care provided.
No charge if I am unable to work. My holidays will be notified at the start of the year, or if changes made 30 days notice given, No fee for my hols, full fee for theirs unless they take it at the same time as mine of course.

£100 deposit to be paid on signing contracts, to be refunded at the end of the childminding period.

I was wondering about saying something like "additional charges for late collection/late paymentetc will be added to the next invoice but if they are not paid I will take them from the deposit thereby reducing the amount returned to you at the end of the childminding period".

Is this OK? I know its all up to me but realistically I am happy to not have 4 weeks up front as a deposit as I know if it was me I could never afford it as well as 4 weeks fees in advance.

Please let me know what you think.

Thanks, Helen x

Hi :waving: and welcome to the forum

Sounds fine to me :thumbsup:

I wouldn't mention taking any late charges from the deposit - what will you do once the £100 has gone and late charges still get racked up due to an inconsiderate parent who is always late collecting?
I have found that when parents have to physically part with money that is when they get the message that their actions are having an impact and need to change.
So late fees/charges are payable at the next payment date once the invoice has been given.
(I have parents that pay weekly, but I invoice monthly in advance)

With regards to not taking a 4 week deposit, again, your reasoning is admirable, but, that is your 'security' against a parent that does a runner.
I offer to allow parents an 8 week period to build up their deposit value if they are unable to fund it immediately, by paying a little extra each week until the deposit amount is reached.

At the end of a contract I work out what is owed to date, including the notice period, then deduct the deposit. Any deficit has to be paid by parent and any overpayment is returned by me.

Good luck with your briefing :thumbsup:

The 4 weeks deposit is a tricky issue. Some CMs are horrified that other don't take it, believing it is an open invitation for clients to do the proverbial runner. Others feel they'd never find clients able to afford that sort of money up front, or at the very least fear it would drive them into the arms of a different CM. It's very much a case of what you feel is possible according to the demographic.

I don't take the 4 week deposit. I realise it's a risk. For me it's an acceptable risk. I'm strict on payment in advance, so at least I know I've been paid before I do the work, so I never run the risk of working for nothing.

Thanks for your replies.

I live in quite a poor area and I know people won't be able to afford a 4 week deposit up front. I like the idea of giving them 8 weeks to build it up though Kiddleywinks.

I wasn't sure about the charges coming out of the deposit. I have removed that now.

I will go back to the drawing board and have a rethink. Maybe 2 weeks deposit that is taken off the last weeks/month.

Thank you for your advice.

Do beware of clients who will "plead poverty" purely as a way of avoiding their responsibilities. This goes for poor areas and affluent areas. It's more to do with the individual than their circumstances, but some maybe play on it more than others.

You do have to be firm about your expectations (such as, you'd like to be .........er.......well........paid, as a matter of fact. :p ) You need to make sure parents fulfil their responsibility to you and make the childcare bill their first priority. Many will readily ignore it when there are other bills waiting. In effect, you need to be as ready to 'cut off their supply' of childcare just as quickly as the phone company would disconnect the line if they're not paying.

Some parents will quickly find any excuse and they'll always promise you'll "have the money in a couple of days." Too many CMs will let them. Once it starts, the situation drifts and it's very hard to resolve cos the debt and the tension builds and suddenly you're evil (in their eyes) for demanding the money and "threatening" to withdraw your service cos you're supposed to care - the child suddenly becomes the centre of moral blackmail against you.

Even in 'poor' areas, there'll be no shortage of parents who'll let their CM work for nothing whilst enjoying a new i-phone, tanning, beauty treatments, and all the rest. I had one enquirer balk at my fees and quite seriously offer me £1ph because her hair and beauty treatments were costing her £70 a fortnight. I still doubt she ever understood why I said we were unlikely to get on as we clearly had different priorities with regard to children. :eek:

The other one to beware of is "I can't pay you cos my tax credits aren't through." Don't get involved in that. TCs are entirely between the parent and HMRC and you do not have to wait - they do have to pay you on time, every time. Make sure they understand that before signing.

Hi,
Wise words here from the more experienced CM's (as always!!). I think that once you get going you will find what is comfortable and workable for you and your business. Good Luck!!

I wouldn't make your deposit a set amount but a percentage that is exceptable to you. Your way no matter what hours they come you will only have £100 back up x

Thanks for the helpful and sensible replies! Great advice.

I will have a think, I had a few issues with payment when I worked as a CM before. One parent would never be paid on time and her LO was my main child, I also extended my working hours at no extra charge sometimes having him from 6am til 8.or 9 pm. I don't want to make that mistake again.

Thanks again x