Thinking About Raising Rates
 

I'm just kinda "thinking out loud" right at the moment. Currently, I am legally unlicensed.... I care for 4 children... my rates are fairly cheap for the area, especially for what I provide.. I am considering raising my rates. However, my hesitation is that a year ago when one of the families started, they commented about how I was more expensive than their current provider, and they didn't know if they could swing the extra $10/wk. However, I know I provide MUCH better care than Ms. TV babysitter former provider..

They are a good family, as far as payments go... pay early, every single week. Never had a problem w/ them as far as that goes. I know I shouldn't let one family rule whether or not I raise my rates (because once you consider food/supplies I'm not making a whole lot.) but it's hard to think about losing HALF of my income..

Thoughts?

Originally Posted by quietpoet2004:
I'm just kinda "thinking out loud" right at the moment. Currently, I am legally unlicensed.... I care for 4 children... my rates are fairly cheap for the area, especially for what I provide.. I am considering raising my rates. However, my hesitation is that a year ago when one of the families started, they commented about how I was more expensive than their current provider, and they didn't know if they could swing the extra $10/wk. However, I know I provide MUCH better care than Ms. TV babysitter former provider..

They are a good family, as far as payments go... pay early, every single week. Never had a problem w/ them as far as that goes. I know I shouldn't let one family rule whether or not I raise my rates (because once you consider food/supplies I'm not making a whole lot.) but it's hard to think about losing HALF of my income..

Thoughts?

If you are willing to risk losing them, then yes, raise rates. If you are thinking about this and starting to feel dissatisfied because of lack of profit, raise rates.

Just an update. I did print out a rate increase letter, explaining that due to increasing costs of food and supplies, I would raise my rates $10 beginning in June. I had 2 parents who are VERY OK with the increase... one actually told me they completely understand and if anyone complains they are crazy lovethis, the other parent wasn't so thrilled...... which I half expected. We'll see what this evening brings when the other parent sees the letter.