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  #1  
Old 11-01-2012, 08:12 AM
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Cool Parents Who Don't Want To Pay Your Rate?

So I have a lady who called me and set up an interview to come and meet me. I told her my rates she has a baby who is almost a year which I would charge $160 a week and a 3 year old which I would charge $145 which is about the same with the rates in my area. She tells me she can only afford $200 a week. I am so torn as what to do her hours would also be from 5:30 am to 3pm which my hours are from 7 to 5:30 but I am always willing to help out. I am so torn what to do, do I take them even now they can only pay 200 or wait for something else?????
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Old 11-01-2012, 08:17 AM
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I would wait. she is trying to see what she can get away with.
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Old 11-01-2012, 08:17 AM
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I would say that you should just wait it out. you should not go down just because she can't pay you. I have the same problem here... I don't mind helping.. I will even give a multi child discount, first one is full price second one is half price, but sadly you find parents that are not willing to pay it... but yet they are willing to pay top dollar for the news iphone or smart phone... go figure!

I really would wait it out unless you need the money, then maybe work a deal say for a few months then after that time frame it is back to full price.
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Old 11-01-2012, 08:31 AM
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Wait. Definitely wait.
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  #5  
Old 11-01-2012, 08:39 AM
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I think I will tell her the lowest I will go is 250 which is still a really good rate. I hate how people try and cheap out on daycare and when they go to the store to buy the I phone 5 they are ok with the price
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Old 11-01-2012, 08:43 AM
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Originally Posted by Little Love Bugs View Post
I think I will tell her the lowest I will go is 250 which is still a really good rate. I hate how people try and cheap out on daycare and when they go to the store to buy the I phone 5 they are ok with the price
You will be losing $5720 over the two years until the oldest starts kindergarten. That's a sizeable chunk of change. No way would I give someone that kind of break.
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Old 11-01-2012, 08:44 AM
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that is a lot.....Do you think $250 Is reaonable???
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Old 11-01-2012, 08:49 AM
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I would definately not do 250 especially since you have to be open earlier. Of course opening that eary is not something i would do but i think alot of people charge more for opening sooner. I would definately wait!!
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Old 11-01-2012, 08:52 AM
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I will tell you from my past experience that when you do SPECIAL for parents, you learn to regret the family.

PLUS you are going to have to open 2 hours earlier just for this family and get paid less??? No way....

Unless you are not able to food on the table, I would not be willing to open early for anyone at that time. I might do it 15-20 minutes earlier, but I will be charging them extra......
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Old 11-01-2012, 08:56 AM
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I dont mind opeing that early I just don't want to cut my rates that much. I don't want to regret it either, especially when I take them then someone calls and is willing to pay my orginal rates. The money would be nice though because right now I do not have any dc kids. All the ones that I had have started school or the parent has been laid off
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Old 11-01-2012, 09:05 AM
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If you have had parents in the past pay the amount you are asking I wouldn't cut my rate by over 100 per week. I am on the lower end of rates in my area so I really can't cut more than $10 to $20 a week of my rate if I wanted to. Right now I have families that only pay for time used. I am going to start charging a flat/full time rate. Two kids here that can't afford it and as soon as I find replacements for them they will be given a two week notice. If you do cut you rate, you can always replace them.
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  #12  
Old 11-01-2012, 09:06 AM
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Originally Posted by Little Love Bugs View Post
that is a lot.....Do you think $250 Is reaonable???
Number one business rule in child care is do NOT discount your rates because of someone else's financial situation.

You will be sorry you did, the client will ALWAYS assume from this point forward that YOU will be the one to bend or give discounts any time she has financial issues.

She doesn't go to the grocery store and get $200 worth of groceries and then tell the cashier that she only has $150 so why are YOU allowing her to do that to you?

Families will NEVER respect and follow your policies if you don't.
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Old 11-01-2012, 09:17 AM
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For opening two hours earlier, I'd charge MORE, not less! Don't do it. Seriously.
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  #14  
Old 11-01-2012, 09:20 AM
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Number one business rule in child care is do NOT discount your rates because of someone else's financial situation.

You will be sorry you did, the client will ALWAYS assume from this point forward that YOU will be the one to bend or give discounts any time she has financial issues.

She doesn't go to the grocery store and get $200 worth of groceries and then tell the cashier that she only has $150 so why are YOU allowing her to do that to you?

Families will NEVER respect and follow your policies if you don't.
listen to the kitty!!!!

She had to cyber smack me to get me to listen to her and when i finally did, well lets just say I love my job, my daycare, DCK and the parents..... She helped me turn around my whole daycare business
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Old 11-01-2012, 09:33 AM
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Wish i could charge those rates! I could barely get 100 a week here.
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  #16  
Old 11-01-2012, 09:34 AM
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For opening two hours earlier, I'd charge MORE, not less! Don't do it. Seriously.
I totally agree.
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  #17  
Old 11-01-2012, 09:56 AM
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Originally Posted by Little Love Bugs View Post
I dont mind opeing that early I just don't want to cut my rates that much. I don't want to regret it either, especially when I take them then someone calls and is willing to pay my orginal rates. The money would be nice though because right now I do not have any dc kids. All the ones that I had have started school or the parent has been laid off
You say that you don't mind opening that early but wait till you actually start doing it. It takes a toll on a person. You should be charging her more then your regular rate to open early if you even want to do that. Don't cut your rates or do special, it bites you in the behind every time, and it gives all of us providers a wishy washy job. Be firm on your rates and the right clients will come. It is one thing to help someone out from time to time it is another to be swayed off of what you have most likely put a lot of time and effort into thinking through. I agree with everyone else don't lower your rates and don't open early unless you charge more for doing that.

I have opened early and I resent it. The child is a handful, the days are longer then I wanted to work and hard on my body. Hind site told me that I should have charged more for this service and risked losing the client. I know better now for next time. I committed so now I feel obligated to follow through but it makes me resentful of myself for doing it in the first place. Long days trickle down to family life outside of daycare- you end up having no energy to give come the end of the day.
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  #18  
Old 11-01-2012, 09:57 AM
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For opening two hours earlier, I'd charge MORE, not less! Don't do it. Seriously.
Yes, this.
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  #19  
Old 11-01-2012, 09:58 AM
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Number one business rule in child care is do NOT discount your rates because of someone else's financial situation.

You will be sorry you did, the client will ALWAYS assume from this point forward that YOU will be the one to bend or give discounts any time she has financial issues.

She doesn't go to the grocery store and get $200 worth of groceries and then tell the cashier that she only has $150 so why are YOU allowing her to do that to you?

Families will NEVER respect and follow your policies if you don't.
bingo, wait it out- the right clients will come along. Get the word of mouth out there and advertise like crazy
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  #20  
Old 11-01-2012, 09:59 AM
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listen to the kitty!!!!

She had to cyber smack me to get me to listen to her and when i finally did, well lets just say I love my job, my daycare, DCK and the parents..... She helped me turn around my whole daycare business
yeap! It makes a big difference.
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  #21  
Old 11-01-2012, 10:01 AM
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Wish i could charge those rates! I could barely get 100 a week here.
It depends on where you live, what you offer and how you work your program.

Call and find out what other providers are getting for rates in your area
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  #22  
Old 11-01-2012, 10:01 AM
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Woah, not only is she asking for a HUGE discount but she's also asking you to open earlier than normal. I personally wouldn't do it for less since I don't do sibling discounts. One of the reasons that I don't do discounts is because it's not fair to my other loyal clients of only one child ... the other reason is because I don't like to have siblings in daycare. When a family moves then I'd be losing 2 or more kids at one time. Charging full price sort of gets me singletons instead of siblings which I'm fine with. Here's how I explain sibling discounts to my clients or interviews:

Quote:
Sibling Discounts: No sibling discounts are given at this time. Please understand that all children are given the same level of care therefore it would be unfair to our other clients of single children if we offered clients with multiple children a discount.
As far as opening earlier ... well that's WAY early.

I personally wouldn't do both "special" at the same time ... only one or the other. I've given discounts also and opened earlier for clients BUT it was only one thing not both combined. I suppose that it just depends on what you are willing to do.

You can also tell her that you'd be willing to try it (if you really need the client and extra income and you feel up to it all) but on a trial only basis of one month to see how it goes. We already work long hours, you don't want to burn yourself out and you don't know how the kids will behave from being woken that early. If it works out for you then great, if not well then you terminate. I think that you should continue to advertise for the spot even if you do take this family on, just make sure you let the mom know. Just explain that it's a precaution just in case you decide it's not working out.

I still don't think that $40 for the 2nd child is worth it though. Even at a 50% discount that would mean she should be paying about $72.50 and I wouldn't dream of giving that much of a discount for siblings. Most places offer like 10-20% off for siblings. But you do what is best for you and your family.
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  #23  
Old 11-01-2012, 10:04 AM
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Absolutely do not do it.
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  #24  
Old 11-01-2012, 10:16 AM
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I wouldn't do it. Like many said here, you will soon begin to regret it.

I know it's everywhere, but it seems more and more parents here in Nevada are asking for discounts and taking advantage. Once you start giving in to their requests, they will keep wanting more.

You say you don't mind opening up earlier, but I think after awhile you will regret it. I did the same thing years ago, and after about a month or 2, I was really resenting myself for doing it. After doing this for 20 years I've learned to say no, and stick to my policies. I find waiting for the parents that have no problem paying the fees I charge, and complying with my hours, are better parents, and we end up with a healthier business relationship.
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Old 11-01-2012, 10:23 AM
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Default lowering rates

I would not lower your rates.
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  #26  
Old 11-01-2012, 12:10 PM
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NO. WAY.


I'd probably bust out laughing if someone asked if I'd open that early for less money than I charge my current families.



I had a mom come and interview once telling me she couldn't afford my rates. She gave the impression she was single and struggling so I thought I'd do the "right thing" and help her out. Come to find out she was married, living in a much larger house than mine, with several nicer vehicles, several toys in the garage, the kids had several toy rooms stuffed to the brim and they liked to vacation out of state and often times out of the country several times a year.......never again.

I'm running a business, not a charity available for the general public to abuse.
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  #27  
Old 11-01-2012, 12:19 PM
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Oh, Sweetie... you're so kind-hearted to want to help, but please don't discount your rates or start earlier than you normally do!

Think about it this way: If you would charge her a total of $305 a week normally, but want to discount it to $250 a week, you are LOSING $2,860 per year!! ($55 X 52 wks) Can you really afford to do that? You won't be giving them less care, so why charge less? In fact when you think about it, you'll be doing MORE for them over and above the other families, because from 5:30 to 7:00, they will be the only ones there.

You have to do what you're comfortable with, but my 18 years of experience is begging you not to discount your service, or compromise your set hours. You'll end up regretting it and resenting the family because of it. Everytime the mom comes in with a new manicure, clothes, handbag, etc., or the kids show up in what you know to be expensive clothes, you'll steam over your decision to discount.

Best of luck. Let us know how it turns out.
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  #28  
Old 11-01-2012, 12:22 PM
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Its about normal here. the DHS pays so much less so its pretty poor
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  #29  
Old 11-01-2012, 12:22 PM
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I am going to join the choir here and say NO WAY!

Just last year I gave a pretty big discount to a family because I really needed to fill the spots, and it bit me in the a**.

no no no no no

Nicely tell her no, and see what happens. It's not like there are a million other providers willing to do care that early!
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Old 11-01-2012, 12:26 PM
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Quote:
Originally Posted by Blackcat31 View Post
Number one business rule in child care is do NOT discount your rates because of someone else's financial situation.

You will be sorry you did, the client will ALWAYS assume from this point forward that YOU will be the one to bend or give discounts any time she has financial issues.

She doesn't go to the grocery store and get $200 worth of groceries and then tell the cashier that she only has $150 so why are YOU allowing her to do that to you?

Families will NEVER respect and follow your policies if you don't.
Hey, the kitty is on target. Kick this gal to the litter! $200 for two kids starting at 5:30am! No way! I would not take one For $200 starting at that time. Just think what other provider in your community would accept this deal? Any thoughts? IF NO ONE COMES TO MIND, THEN WHY SHOULD YOU DO IT?

Big Lou
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Old 11-01-2012, 12:28 PM
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Originally Posted by Little Love Bugs View Post
I dont mind opeing that early I just don't want to cut my rates that much. I don't want to regret it either, especially when I take them then someone calls and is willing to pay my orginal rates. The money would be nice though because right now I do not have any dc kids. All the ones that I had have started school or the parent has been laid off
I wouldn't do it for all of the reasons everyone else mentioned.

If you want to give it a try, though, you could always tell her you're willing to give her a price break temporarily. If another family needs her spots and is willing to pay full price, though, this family who is getting the discount will have to either leave or agree to pay full price at that point. I would add this info to your contract with her and have her sign it before care begins.
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Old 11-01-2012, 12:37 PM
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ok, so everyone said don't do it.....let me turn the tables and tell you GO for it....I would give them a two week trail and then see how you feel......... I bet you after the first week you will b over it...............lol

Sorry, not trying to be mean, just thought that if you really really wanted to seek it out that you could always try this as an option. YOu can also do what the PP said and take them on, but will fill the spot with full paying clients as soon as you can fill the spots......
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Old 11-01-2012, 01:29 PM
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I think i am going to call them and tell them I can't do it I just feel so bad lol
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Old 11-01-2012, 01:32 PM
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I think i am going to call them and tell them I can't do it I just feel so bad lol
why should you feel bad? Walmart doesnt feel bad if you cant afford your groceries...you only get what you can pay for. This isnt a ministry or charity, its a business. There is no way in heck that I would open two hours early each day and take a huge pay cut for any family. I wouldnt do each individual thing let alone both of them.
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Old 11-01-2012, 01:48 PM
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I think the main reason I feel bad is becasue a friend reffered them to me. I had a family that started at 5 before but I didnt mind because they paid me extra so every friday I was reminded why I did it and the family was very sweet.
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Old 11-01-2012, 01:52 PM
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I think the main reason I feel bad is becasue a friend reffered them to me. I had a family that started at 5 before but I didnt mind because they paid me extra so every friday I was reminded why I did it and the family was very sweet.

If it was a real friend who referred you, they'll understand full well why you aren't on board with taking this family under those circumstances
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Old 11-01-2012, 01:57 PM
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what willow said...... you have to do what works for you and I am sure your friends can understand that....
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Old 11-01-2012, 02:04 PM
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Originally Posted by Little Love Bugs View Post
I think the main reason I feel bad is becasue a friend reffered them to me. I had a family that started at 5 before but I didnt mind because they paid me extra so every friday I was reminded why I did it and the family was very sweet.
That was very nice of your friend but did she refer then to you because she assumed you were going to discount your services?

If so, tell her to make sure she refers families who are able to pay your rates and not send ones who have financial issues.

I am super grateful for referrals but not if they are only doing it because they think I'll give them a deal.
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  #39  
Old 11-01-2012, 02:11 PM
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she doesn't know my rates unless she has looked at my website. I called the home daycares in my area and only one other provider in my area said they would do it
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Old 11-01-2012, 02:20 PM
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she doesn't know my rates unless she has looked at my website. I called the home daycares in my area and only one other provider in my area said they would do it
are you sure that lady had all her marbles??? lol jk....


well,we are not you...you do have the final say in this and can take our advice or try it out...worst thing that can happen is that it does not work out.......

If you do try it, make it very very clear that you are offering SPECIAL hours for only them and special pricing for only them. Also let them know that there will be a two week paid trial and if it is not working out for you, no hard feelings and you go separate ways...

I have friends that refer people to me all the time, none of my friends know my rates or really too much about my daycare.

maybe you can make a website so your friends can tell people about you that way???
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  #41  
Old 11-01-2012, 02:26 PM
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DOnt feel bad!

Well, I've considered your request, but after looking at my budget, I really can't give up 2 spots at a discounted rate. I'd love you have your children here, and I don't mind the extra hours, but I really can't negotiate on the tuition amount".

No apology, but you are being sweet & professional
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  #42  
Old 11-01-2012, 02:44 PM
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I would say yes to the extra hours if I thought I wouldn't mind working those hours. I would say yes to the discount if the family seemed nice and the children fit well into the existing group and didn't need anything extra (like extra hours).
I think if it is a good match then some compromises are ok... If your work day is going to be pleasant then you don't worry so much about being paid a bit less or starting earlier. But if it is not your client of choice then just wait for someone else to come along...
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  #43  
Old 11-01-2012, 03:13 PM
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Originally Posted by Little Love Bugs View Post
I didnt mind because they paid me extra so every friday I was reminded why I did it and the family was very sweet.
But this family won't be paying extra - they'll be paying you less than your regular rate. Instead of being reminded of why you did it, you'll be wondering why you did it and it won't feel sweet for very long.
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Laundry's Contract (Three Parts) laundryduchess@yahoo.com Daycare Center and Family Home Forum 2 02-02-2010 12:10 PM


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