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Daycare Center and Family Home Forum>Is It Worth It?
LadyPearl 08:47 AM 03-04-2014
I don't have any kids today so I figured I would run numbers. My current situation: I'm not making any money. I'm breaking even with expenses and that's not even including the extra stuff that pops up or if we end up sick due to daycare. Technically, a doctor's visit and medication would put me in the hole for several months. I will be able to add a few more kids soon but that just increases expenses and exposure to illness. With a baby on the way, I'm really questioning if it's worth it.
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Cat Herder 09:06 AM 03-04-2014
Originally Posted by LadyPearl:
With a baby on the way, I'm really questioning if it's worth it.
What was your reason for going into business for yourself to begin with?

Is that reason still worth it? (rhet)
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butterfly 09:14 AM 03-04-2014
I'm experiencing this too. Except the opposite... I just added a couple kids. I've always ran numbers right around 6-8 kids, but have always been licensed for 12. I just added a couple more. With the added expense to feed everyone and then having to add a few more things to the daycare to accommodate the additional numbers (more cots, bedding, cups, plates, supplies, etc...)... it's not panning out financially. I'm doing much more work and not gaining anything financially. I'm hoping that within a couple more months it'll end up being beneficial.

I personally wouldn't add any more stress to your life, with a new baby coming. Unless the perfect family comes along, or if it seems that the children would be perfect angels.
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Unregistered 09:58 AM 03-04-2014
I found out that it wasn't for me. That is why I closed. It is ok to be done if you are done. I really cannot stress enough how much I needed to hear that when I was weighing my decision. It was tough because technically, I COULD continue to "just deal" with everything, but how long are you going to waste your life "just dealing?"

I wasn't really making any money either. My house was just too small from the get-go and having young children of my own prevented me from operating at full capacity with children that I was actually getting paid to watch. All of the expenses that went into operating and being licensed made it so I barely broke even.

The Pros? I got to be home with my own kids, while still making enough money to "break even" and pay SOME small bills with it, I didn't have to pay for daycare or gas in my car or buy a new car so I could make a long commute, etc. etc.

The Cons? Child care was not for me. I love kids. I have kids of my own. That doesn't mean I want to spend 60 hours a week dealing with late parents, sick kids (all. the. time. and they are not even my own), excuses excuses excuses from parents but no flexibility on their end at all if I ever need a break in any dept, constantly worrying that my husband or my kids are going to (half the time unbeknownst to me) break some sort of licensing rule by moving something or leaving something out and then a random inspection is going to take place and I'm going to have a written report detailing all of these "violations" published on the internet for all to see.

I'm sure you get my drift. This job is not for everyone. If you have any choice in the matter (Hint: you have a choice in the matter), do what makes you happy. This is a tremendously stressful line of work. If you don't love it at least half the time, I would look for something else or (if you can) just tighten your budget and take a break while you figure things out.
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TwinKristi 10:23 AM 03-04-2014
I don't get how people break even or don't make any money? Are you not participating in the food program?

I knew a single mom who did daycare and I'm sure she got some child support but had 2 of her own kids who played sports and such. She ended up shutting down because she couldn't get her large daycare license after getting caught with too many kids. She was basically operating as a lg with a sm license. She was making really good money on her own.
I know that for myself way below limits I'm making okay money. I couldn't survive on my own without my dh's income right now but if I was at capacity I probably would be close.
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NeedaVaca 10:47 AM 03-04-2014
I'm not sure how you are not making $ either? You mentioned in another thread that doing daycare was just for extra money and your special needs child because your DH makes enough to support you? Are you saying you just want to be a SAHM? Or would you be putting your baby and other 2 kids in daycare?

My expenses are minimal to provide care for the DCK's. How are you barely breaking even?

You are exposed to illness wherever you go and I'm sure your 2 older kids bring it home from school as well.
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LadyPearl 12:40 PM 03-04-2014
Originally Posted by TwinKristi:
I don't get how people break even or don't make any money? Are you not participating in the food program?

I knew a single mom who did daycare and I'm sure she got some child support but had 2 of her own kids who played sports and such. She ended up shutting down because she couldn't get her large daycare license after getting caught with too many kids. She was basically operating as a lg with a sm license. She was making really good money on her own.
I know that for myself way below limits I'm making okay money. I couldn't survive on my own without my dh's income right now but if I was at capacity I probably would be close.
Right now, I am legally unregistered so I only have 2 kids. These 2 kids have been sick with something the entire 2 months that they have been here. I am now sick for the 4th time. I make $150-$200 per week before considering all taxes, food, and other expenses. No food program yet. I have now been going though the process to get registered for over 2 months.

Dh does have a good job but I was pointing out that what I'm doing is completely a wash at this point. I don't want to run at full capacity because I don't have a big house.
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LadyPearl 12:46 PM 03-04-2014
Originally Posted by NeedaVaca:

My expenses are minimal to provide care for the DCK's. How are you barely breaking even?.
Extra food, extra heat, extra electricity, extra water consumption, etc.

Supplies--paper towels, toilet paper, soap, etc.

I understand that this all goes in for expenses but we still have to pay it when the bills come or when I go shopping. The "extra" money that I make basically just covers the associated expenses. It's a wash for me right now.
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TwinKristi 01:30 PM 03-04-2014
Well can you survive this way? Because if yes then it doesn't seem worth it for only 2 kids and no food program. If no, then you need to figure in the daycare cost for your child in your numbers. Would it be a wash of you work outside the home and pay DC?
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cheerfuldom 02:39 PM 03-04-2014
Are your rates competitive for your area? You might consider a rate increase.

Or you could go with the parents providing food.
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cheerfuldom 02:43 PM 03-04-2014
Originally Posted by LadyPearl:
Extra food, extra heat, extra electricity, extra water consumption, etc.

Supplies--paper towels, toilet paper, soap, etc.

I understand that this all goes in for expenses but we still have to pay it when the bills come or when I go shopping. The "extra" money that I make basically just covers the associated expenses. It's a wash for me right now.
mmmm.....I guess I don't understand how it is that much more since you are already home with your own kids. I can understand how food and increase in space/toys/activities adds up but paper supplies and cleaning supplies should be really minimal. You have kids of your own and would be wiping those things down and whatnot anyway.

For me, I am home anyway with my four kids. Two kids daycare payment would be close to $300 a week. There is NO WAY I would be spending that much more in paper supplies and other general expenses. The house has to be heated either way, the electricity is on either way, the water is not going to increase that much even if both kids are potty trained because these kids are not taking baths here. Maybe it is time to look over what you are really spending on these daycare kids and scale back big time. Learn to have the whole family conserve. Shop more frugally. Look carefully on if it is really the daycare and the daycare kids adding to the expense or if it just your family using those things and not being careful about use or spending. I'm sorry, I just can't imagine that two extra kids is that much more in supplies when you already have three kids (per someone elses post).


On the other hand, you may just be finding daycare is not for you, and that is okay! You might be trying to find a reason to quit and sort of fixating on the increased expense. If you really want to quit, you dont need a specific reason. Just end it and move on. Its not for everyone.
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NeedaVaca 03:47 PM 03-04-2014
Originally Posted by cheerfuldom:
mmmm.....I guess I don't understand how it is that much more since you are already home with your own kids. I can understand how food and increase in space/toys/activities adds up but paper supplies and cleaning supplies should be really minimal. You have kids of your own and would be wiping those things down and whatnot anyway.

For me, I am home anyway with my four kids. Two kids daycare payment would be close to $300 a week. There is NO WAY I would be spending that much more in paper supplies and other general expenses. The house has to be heated either way, the electricity is on either way, the water is not going to increase that much even if both kids are potty trained because these kids are not taking baths here. Maybe it is time to look over what you are really spending on these daycare kids and scale back big time. Learn to have the whole family conserve. Shop more frugally. Look carefully on if it is really the daycare and the daycare kids adding to the expense or if it just your family using those things and not being careful about use or spending. I'm sorry, I just can't imagine that two extra kids is that much more in supplies when you already have three kids (per someone elses post).


On the other hand, you may just be finding daycare is not for you, and that is okay! You might be trying to find a reason to quit and sort of fixating on the increased expense. If you really want to quit, you dont need a specific reason. Just end it and move on. Its not for everyone.


I'm wondering if maybe being pregnant/hormonal (I think I read you are PG), getting sick 4 times in the 2 months you have been open, your kids aren't thrilled with daycare...these things all build up. Maybe it's just not for you? The expenses are minimal for 2 kids so maybe you are just looking for a way out? It's a tough job...I had a friend that didn't last a year. She thought it would be so much different than what it turned out to be.
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Mister Sir Husband 08:03 PM 03-04-2014
I as well don't understand how a daycare would only break even. I am guessing it would depend on the going rates in your area as this almost dictates how much you can charge if you want the phone to ring. I know for myself, if I had just my 6 kids allowed by NYS, and no after school kids.. and not including the food program, I would be bringing in 930.00 a week (full attendance, before taxes). I don't have an exact figure for expenses, but there's no way I'd lose money.
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bloominggenius 10:06 PM 03-04-2014
I don't think money is the issue here:
You are getting abused my friend...

1. Every time the kids come through the door send them right back home if they are sick. Change your policy so that if the parent calls you and keeps them home it is a 24 hour exclusion, but if she brings them sick and you send them home it is 48 hours.
2. Let them know that if they continue to bring their children ill without any regard for your health or the wellbeing of you family you will be forced to terminate care.
3. Start interviewing new families who are expecting and form a waiting list so that you can replace this family if it continues.
4. Raise your rates if you are going to continue watching their kids.
Good luck.
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butterfly 08:25 AM 03-05-2014
OP I feel as though you are getting attacked from several on this thread and I'm sorry for that. I understand where you are coming from and I hope you feel just a little bit of support in that.

When I started with just a couple kids, I wasn't raking in the dough either. I was charging on the low end of my area and felt like I needed to offer extras (causing me extra expense) to get people in and be competitive.

I was spending quite a bit of money on just those two kids because I was buying everything to get started. I was buying a prepackaged curriculum, art supplies, toy cubbies, etc, etc. That little bit of money they brought in wasn't creating enough to actually live on. As time went on and some of those expenses weren't reoccurring (just start up costs) things started to get better.

Also when I close due to my illness or my kids' illness, I don't charge for that. I also have the medical bills from the illness too...

Basically, I can see where you are coming from when you say you aren't making enough and wonder if it's actually worth it. Just trying to offer support, OP.
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cheerfuldom 09:24 AM 03-05-2014
Originally Posted by butterfly:
OP I feel as though you are getting attacked from several on this thread and I'm sorry for that. I understand where you are coming from and I hope you feel just a little bit of support in that.

When I started with just a couple kids, I wasn't raking in the dough either. I was charging on the low end of my area and felt like I needed to offer extras (causing me extra expense) to get people in and be competitive.

I was spending quite a bit of money on just those two kids because I was buying everything to get started. I was buying a prepackaged curriculum, art supplies, toy cubbies, etc, etc. That little bit of money they brought in wasn't creating enough to actually live on. As time went on and some of those expenses weren't reoccurring (just start up costs) things started to get better.

Also when I close due to my illness or my kids' illness, I don't charge for that. I also have the medical bills from the illness too...

Basically, I can see where you are coming from when you say you aren't making enough and wonder if it's actually worth it. Just trying to offer support, OP.
This is a good point.....there are start up expenses. That is just the nature of starting over in any job. Most jobs would have some sort of initial expenses or transitions.....like professional clothing for an office job, that sort of thing.

I hope I am not seen as "attacking" though. I really am trying to understand what is going on if you are getting paid for two kids and supposedly all of it is going to expenses? I'm sorry if asking questions or trying to clarify or being confused is seen as an attack.....
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TwinKristi 09:43 AM 03-05-2014
Originally Posted by cheerfuldom:
This is a good point.....there are start up expenses. That is just the nature of starting over in any job. Most jobs would have some sort of initial expenses or transitions.....like professional clothing for an office job, that sort of thing.

I hope I am not seen as "attacking" though. I really am trying to understand what is going on if you are getting paid for two kids and supposedly all of it is going to expenses? I'm sorry if asking questions or trying to clarify or being confused is seen as an attack.....
Me too! I definitely wasn't trying to attack but trying to figure this out. Since I had kids myself I didn't need to buy much and was able to find lots of equipment on Facebook local mommy sale groups for super cheap. Train table for $50, easels for free, slide for $5, ride on toys for $2-5 each. Free climbing structure, ride in cars and toys on sidewalks.
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NeedaVaca 09:54 AM 03-05-2014
I didn't see any attacking I think everyone was trying to figure out how she isn't making any money and also letting her know it's ok if she no longer wants to do daycare regardless of the reason.
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LadyPearl 08:45 AM 03-07-2014
Originally Posted by cheerfuldom:
mmmm.....I guess I don't understand how it is that much more since you are already home with your own kids.

I wasn't. My kids are in school and I was working p/t so it does impact our regular utilities.
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LadyPearl 08:47 AM 03-07-2014
Originally Posted by Mister Sir Husband:
I as well don't understand how a daycare would only break even. I am guessing it would depend on the going rates in your area as this almost dictates how much you can charge if you want the phone to ring. I know for myself, if I had just my 6 kids allowed by NYS, and no after school kids.. and not including the food program, I would be bringing in 930.00 a week (full attendance, before taxes). I don't have an exact figure for expenses, but there's no way I'd lose money.

Going rate is about $25 per day. I generally have 2 kids for 4 days...$200. This week for only 2 days....$100.
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LadyPearl 08:51 AM 03-07-2014
Originally Posted by butterfly:
OP I feel as though you are getting attacked from several on this thread and I'm sorry for that. I understand where you are coming from and I hope you feel just a little bit of support in that.

When I started with just a couple kids, I wasn't raking in the dough either. I was charging on the low end of my area and felt like I needed to offer extras (causing me extra expense) to get people in and be competitive.

I was spending quite a bit of money on just those two kids because I was buying everything to get started. I was buying a prepackaged curriculum, art supplies, toy cubbies, etc, etc. That little bit of money they brought in wasn't creating enough to actually live on. As time went on and some of those expenses weren't reoccurring (just start up costs) things started to get better.

Also when I close due to my illness or my kids' illness, I don't charge for that. I also have the medical bills from the illness too...

Basically, I can see where you are coming from when you say you aren't making enough and wonder if it's actually worth it. Just trying to offer support, OP.

Honestly, I did feel attacked. I think my biggest issue is that I have a family (my only family) that just isn't working out. I need to get registered so that I can bring in more kids and weed out what isn't working. I have all new paperwork to address all of the issues that I have but I'm waiting to introduce it with whatever I need to do to comply with the state.
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LadyPearl 09:03 AM 03-07-2014
Originally Posted by bloominggenius:
I don't think money is the issue here:
You are getting abused my friend...

1. Every time the kids come through the door send them right back home if they are sick. Change your policy so that if the parent calls you and keeps them home it is a 24 hour exclusion, but if she brings them sick and you send them home it is 48 hours.
2. Let them know that if they continue to bring their children ill without any regard for your health or the wellbeing of you family you will be forced to terminate care.
3. Start interviewing new families who are expecting and form a waiting list so that you can replace this family if it continues.
4. Raise your rates if you are going to continue watching their kids.
Good luck.

The money isn't much but I agree with you. Most of my frustrations are originally coming from all of these other issues. To be barely making anything and have all of this frustration is a huge headache. I am already working on all of your suggestions and will hand out new paperwork once I'm registered.

Our plan was to have a 3rd child (I'm due in early October). I would stay home and do daycare to help cover some expenses. I am finding a lot of frustration with this 1 family because I feel like they don't care. Scheduling appts for myself is already an issue because it seems like any time I try to be as considerate as possible it's like a slap in the face. This week, for example, I don't have the kids on Thursday, so I had my first baby appt yesterday. Dcm texted last week and wanted to switch days and have kids come yesterday. I said no. My appt had already been rescheduled once (nothing to do with her). So I only ended with the kids for 2 days this week. I lost $$$ because I couldn't accommodate her. I need to schedule an ultrasound and I asked what works best for her. I'm trying to be considerate but it's biting me in the arse! Dh just told me to go ahead and schedule it. I can only imagine what it will be like later on in my pregnancy when appts are closer together and times are based on what the dr has left. My pregnancy may term them for me!
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Blackcat31 09:08 AM 03-07-2014
Originally Posted by LadyPearl:
Going rate is about $25 per day. I generally have 2 kids for 4 days...$200. This week for only 2 days....$100.
One of the first things that would help is to charge based on enrollment NOT attendance.

If those 2 kids normally attend 4 days per week you should be getting $200 every single week, regardless of whether they were out sick or not.
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Mister Sir Husband 09:18 AM 03-07-2014
I'm in agreement with blackcat and your husband. If the family you have now isn't willing to cooperate with you, especially with you clearing your appts with them before you make them.. welp, they are gonna be gone eventually anyways. I say make your appts and have your baby on your schedule, get registered when you can and go from there. If this family is still around when you are registered with the state, they can comply with your new rates or be replaced.
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