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Daycare Center and Family Home Forum>Paying Monthly
Sunchimes 05:22 AM 12-14-2012
One of my families has a new job and is going to switch from part time to full time. She currently pays a set amount for part time care, and if she needs an extra day, she pays extra. She wants to pay monthly.

I know there was a long thread about how to figure monthly, with some debate, but I can't find it. We have agreed on a weekly fee.

Should I multiply that by 52 and divide by 12? Should I count up work days in the next month and bill her that amount? I only have 2 families, so that wouldn't be burdensome if that is the best way to be sure that I get paid what I'm due.

On another topic--I had 2 part timers (one family) and an empty spot. Starting in January, I will have 2 full timers and a part timer-but the part timer works long hours, so I will only make a little less than a full time one!! Yea!!!!
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Meeko 05:31 AM 12-14-2012
I would multiply by 52 and then divide by 12 to get equal payments. Differing amounts each month is a pain.
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wdmmom 10:31 AM 12-14-2012
If you are paid for all holidays and all vacation, yes. Take the weekly rate times 52 weeks.

I offer a discount of $20 per month for paying monthly as well. The less trips to the bank for me, the better.
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butterfly 11:46 AM 12-14-2012
For my clients who pay monthly, I count the pay days in that month and multiply that times the weekly rate. It's not always a consistant amount from month to month, but it ends up being the same rate they would pay if they were doing it weekly.
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itlw8 12:55 PM 12-14-2012
my parents find it best to count the work days in the month and then multiply it by th daily fee ( which is 1/5 of the weekly fee) then the months they have a 5 week check they have a 5 week bill.
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CozyHome 01:51 AM 12-15-2012
I have two families who pay monthly (4 weeks) so I fill out my receipts and when they owe 5 weeks for a month I let them know they should adjust their cheque but it's only twice a year. Do whatever is best for you butthis works for me.
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Hazel 05:08 PM 12-15-2012
My rates are weekly and since I get paid on Mondays, I have give an invoice for how ever many Monday's there are that month. If the last day of the month is a Monday, they are technically paying the first week of the next month as well, but then they don't pay again until that first Monday of THAT month. So it's usually 4, sometimes 5... But I always give it to them on Friday and they pay me Monday. It works out. I could also charge them for the total number of days that month bc I have a set amount per day as well... But then they would have to pay me on the first of the month and that could be any day of the week. That's why I do Monday's... It's easier for us.
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MamaG 05:21 PM 12-15-2012
Originally Posted by itlw8:
my parents find it best to count the work days in the month and then multiply it by th daily fee ( which is 1/5 of the weekly fee) then the months they have a 5 week check they have a 5 week bill.
Exactly this. You have a 5 week month 2 times a year. Get paid for those weeks, don't work for free!
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momma2girls 10:07 AM 12-17-2012
I would definately count the days in each month and multiply it by your daily fee.
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originalkat 07:11 AM 12-20-2012
I charge by the month so that I can average the tuition over the whole year. This way I get paid the same amount every month even when I take my two weeks of unpaid vacation.

I multiply my weekly rate by 52 weeks.
Subtract 2 weeks (unpaid vacation)
Divide that amount by 12 months.
My monthly rate is $525. This month I take 1 week vacation for Christmas but I still got the entire tuition for the month since it was already deducted and averaged. I LOVE DOING IT LIKE THIS!
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Countrygal 09:49 AM 12-20-2012
When I did this, I took the weekly rate times 52 divided by 12 and then gave a prepay discount of $25 per month. When I hand out the monthly statements if there was an unpaid holiday I took it off on the monthly statement at the weekly rate divided by 5. So, for example, let's say weekly rate is 100 (for easy figuring). That's 20 per day. Let's say it's July and the people did not come on the 4th and it is an unpaid holiday. I would give them a credit of 20 on July's bill, thus August's would be 20 less. Prepay is prepay. They need to pay the full amount at the beginning of the month. Any unpaid days will be credited to NEXT month's bill......

So, for example(again to make figuring easy), monthly rate is 440 per child. Your discount is $20, for ex. Balance due is 420 payable BEFORE the first. It's July. They paid you 420. August's bill, then, if paid before the 1st will be 400. If NOT paid before the 1st, no discount, and bill would be 420 (440 minus the 4th of July refund).

It sounds complicated, but it's really pretty easy to figure.

The other way you could do it is to automatically figure in the unpaid holidays. There are 10 fed holidays a year, I charge for 3, so 7 are unpaid. That's 140 dollars at the above rates. Divide that by the 12 months and your rates become a set 428 per month.
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daycare 09:51 AM 12-20-2012
I am dealing with this right now and my head is about to POP........
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