Holidays Question/Advice- Contract Wording

[Lyss]

I already have my holidays (paid and unpaid) hammered out and in my contract but I've run into a bit of a dilemma with wording.

I did a lot of research for my area to make sure the rates I was offering were competitive and fair for my area. So I have a monthly rate that averages out to a little less than what my daily rate for part time is (ie 550/mo ft or $30/day) as that seems to be what's going around here. So if my contract says certain days are paid and certain days are non paid holiday how would you word that days will be credited based on rate?

A provider friend who has similar rates says that for full time she has different paid holiday schedule (99% holidays are paid since they get a "discount" monthly) and daily rate DCPs don't pay if that's not their day or get the daily rate back if it is. Yet another provider I know reimburses full time at the daily rate (pt rate $30/day). I feel like I should be wording it that full time gets reimbursed at a lesser rate than the pt daily rate because that's what they pay, but then If i do the more paid holiday idea it makes it easier than readjusting each time. I want to be fair though.

As a newbie, and now after talking to these two providers I feel even more confused! Lol! I always get good ideas and advice here so I'm just wondering what you all would do or what your advice would be.

[Rachel]

If I did my math right (30 * 22 days / month), your monthly clients are getting 3+ days free every month. I would raise the monthly rate a bit and explain that they are getting a discount every month for paying upfront, so therefore they pay the same amount every month.

[originalkat]

I have a monthly rate that is averaged. Here is what I do... All my holidays and personal days are paid so I do not mess with crediting or discounting those days. However, my vacations (2 weeks) are unpaid. So, I take my weekly rate and multiply it by 52 weeks for the year. Then I deduct the 2 weeks off the top and divide that amount by 12 months. My averaged monthly rate is $525.00. It works out great.

[RubyBell]

Originally Posted by originalkat

I have a monthly rate that is averaged. Here is what I do... All my holidays and personal days are paid so I do not mess with crediting or discounting those days. However, my vacations (2 weeks) are unpaid. So, I take my weekly rate and multiply it by 52 weeks for the year. Then I deduct the 2 weeks off the top and divide that amount by 12 months. My averaged monthly rate is $525.00. It works out great.

This is a great idea!!! It sounds SOOOO much simpler than messing with paid/unpaid holidays or vacations. Plus your monthly income is always the same regardless of whether you're taking unpaid time. Love this!

[originalkat]

Originally Posted by RubyBell

This is a great idea!!! It sounds SOOOO much simpler than messing with paid/unpaid holidays or vacations. Plus your monthly income is always the same regardless of whether you're taking unpaid time. Love this!

Yes! That is why I changed from a weekly rate. When my hubby was working ( he's a full time student now), I didn't worry much about it. But when my daycare became our only income I couldn't afford to take a vacation. So I switched to this method and I really love it!