I am a registered provider right now but am moving to a bigger house and becoming a licensed provider so I want to raise my rates to match what the other licensed providers are. Right now I charge $125 a week for 0-2 years and $110 a week for 2-5 year olds. I charge $67.50 a week for 0-2 years if they are 25 hrs. or less a week and $55 a week for 2-5 year olds if they are here 25 hrs. or less a week.
* My rate change plans are:
Full Time- 0-18 months (changing age) $135 instead of $125
Part time- (up to 25 hrs.) $85 instead of $67.50

Full Time- 19 months-5 years (changing age) $120 instead of $110
part time- (up to 25 hrs.) $70 instead of $55

Does this seem like a drastic change? I don't want to make parents angry but I also need to match what the other providers get per child.

*How should I word a change of rate letter? It will come effect July 1st... should I go ahead and send out a letter so they know or should I wait? Anyone had any problems raising rates before? I'm just kind of nervous about it for some reason.

Also, when I first opened I offered a 10% discount off of rates for military families, families with more than one child in care, and parents who were in college. Should I keep this discount or get rid of it completely? I want to be fair but I need to make a living too.

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