Daycare.com Forum Force of Nature Disinfectant

Go Back   Daycare.com Forum > Main Category > Daycare Center and Family Home Forum

Daycare Center and Family Home Forum Daycare Center and Family Home owners, Directors, Operators and Assistants should post and ask questions here.

Reply
 
Thread Tools Display Modes
  #1  
Old 11-07-2011, 09:48 AM
LittleCrawfishCC's Avatar
LittleCrawfishCC LittleCrawfishCC is offline
Daycare.com Member
 
Join Date: Sep 2011
Location: Louisiana
Posts: 134
Default Rate Change/Rate Increase?

Okay, so here is the deal, my familys are starting to get to know eachother, and I hope that they never talk "fees" because they are all over the place. In my hand book I have an annual increase of no more than 10% a year, but honestly, I just want to go ahead and change the fees all together.
Here is where I am at, especially on one family

1 1/2 year old - Now - $50 Want to be at $75
8 week old - Now - $100 want to also be at $100
8 year old, morning only Now - $20 only for gas to school, want to be at $33

So this would change from $170 a week to $ 208.

The behavior of these kids are all over the place, and its like one day is great and the next is horrible!

Do ya'll think I could change my rates legally? Even though my contract says only 10%, this would be a $38 a week raise
Reply With Quote
  #2  
Old 11-07-2011, 10:02 AM
Crazy8's Avatar
Crazy8 Crazy8 is offline
Advanced Daycare.com Member
 
Join Date: Jun 2011
Location: USA
Posts: 2,769
Default

Personally, I wouldn't do it. I'd raise the 1.5 year old up the $17 or so and leave it at that. I would take that 10% out of your contract for future clients though.

You'd be breaking the agreement of your own contract otherwise and and I just think it sets a bad business example but that is JMO.
Reply With Quote
  #3  
Old 11-07-2011, 10:07 AM
LittleCrawfishCC's Avatar
LittleCrawfishCC LittleCrawfishCC is offline
Daycare.com Member
 
Join Date: Sep 2011
Location: Louisiana
Posts: 134
Default

Yeah, but I am wayyyyyyyyyyy under in this area, a infant is average $160-$180 and a toddler is average $130-$160
Reply With Quote
  #4  
Old 11-07-2011, 10:11 AM
wdmmom wdmmom is offline
Advanced Daycare.com
 
Join Date: Mar 2011
Location: WDM, IA
Posts: 2,669
Default

I'd say $200 and not mess with the $8.
Reply With Quote
  #5  
Old 11-07-2011, 10:13 AM
small_steps's Avatar
small_steps small_steps is offline
Daycare.com Member
 
Join Date: Oct 2011
Location: Texas
Posts: 482
Default

Quote:
Originally Posted by LittleCrawfishCC View Post
Yeah, but I am wayyyyyyyyyyy under in this area, a infant is average $160-$180 and a toddler is average $130-$160
I was going to say it sounded like you were way under. I don't know where you're located but that seems low for anywhere. Could you raise 10% now and then again in January so that it's technically a different year? Just let them know that it's coming so they can be prepared for the increase. I'm not sure what what your "year" is like. Mine is Jan-Dec but I know some do the school year.
Reply With Quote
  #6  
Old 11-07-2011, 10:16 AM
LittleCrawfishCC's Avatar
LittleCrawfishCC LittleCrawfishCC is offline
Daycare.com Member
 
Join Date: Sep 2011
Location: Louisiana
Posts: 134
Default

I just put out contracts (My first btw, about a month and a half ago) and these were the parents that challenged my on my contract. The kids are just so grumpy and their baby screams all day long, its like, I am to the point, they can either pay me more for the screaming baby, or find somewhere else. Plus I drive their 8 year old 15 miles round trip, and have to load up 3 kids every am.
Reply With Quote
  #7  
Old 11-07-2011, 10:20 AM
Crazy8's Avatar
Crazy8 Crazy8 is offline
Advanced Daycare.com Member
 
Join Date: Jun 2011
Location: USA
Posts: 2,769
Default

Quote:
Originally Posted by LittleCrawfishCC View Post
Yeah, but I am wayyyyyyyyyyy under in this area, a infant is average $160-$180 and a toddler is average $130-$160
So why did you give the rates you did?? I understand your predicament but I still just wouldn't go breaking my own contract - its one of those live and learn things to me (I've had plenty of those, LOL!). If you can get away with raising now and in January I would maybe do that but give them notice ahead of time.

One thing that helped me with rates was making a rate sheet. Its not public info - just for my own use but it helps me to determine a rate for a family when they are calling/interviewing. I just used to get a little flustered when thinking of rates and a few times did misquote people with rates lower than I should have so having a sheet of rates based on hours, ages, etc. helped me.
Reply With Quote
  #8  
Old 11-07-2011, 10:22 AM
LittleCrawfishCC's Avatar
LittleCrawfishCC LittleCrawfishCC is offline
Daycare.com Member
 
Join Date: Sep 2011
Location: Louisiana
Posts: 134
Default

This was my first family, and I didn't know exactly what I was doing, they know that they are WELL below average, I started out watching their daughter in the summer for $65 and their son was in daycare for $135, so that right there was $200, and I just felt guilt tripped into a low price, because of the things they would tell me.
Reply With Quote
  #9  
Old 11-07-2011, 10:27 AM
Crazy8's Avatar
Crazy8 Crazy8 is offline
Advanced Daycare.com Member
 
Join Date: Jun 2011
Location: USA
Posts: 2,769
Default

Quote:
Originally Posted by LittleCrawfishCC View Post
I just put out contracts (My first btw, about a month and a half ago) and these were the parents that challenged my on my contract. The kids are just so grumpy and their baby screams all day long, its like, I am to the point, they can either pay me more for the screaming baby, or find somewhere else. Plus I drive their 8 year old 15 miles round trip, and have to load up 3 kids every am.
sorry, I replied before I saw this - in this case, I'd probably just term them (and I don't take terming a family lightly but if it affects the happiness of my daycare I would do it). But I'd go ahead and give the new rates and let them decide.
But still, take that 10% thing out of your contract for new families - be more general saying "rates will be reviewed each year" or something like that!!
Reply With Quote
  #10  
Old 11-07-2011, 10:28 AM
small_steps's Avatar
small_steps small_steps is offline
Daycare.com Member
 
Join Date: Oct 2011
Location: Texas
Posts: 482
Default

Can you make changes to your contract and just say that you reserve the right to increase tuition prices once a year and have them review and sign again and then raise the rates. Just take out the 10% Give them a two week notice of policy changes maybe?
Reply With Quote
  #11  
Old 11-07-2011, 10:35 AM
LittleCrawfishCC's Avatar
LittleCrawfishCC LittleCrawfishCC is offline
Daycare.com Member
 
Join Date: Sep 2011
Location: Louisiana
Posts: 134
Default

Little Diamonds, that is a good idea! I don't much mind it for the rest of my families, because they are pretty much all the same. But I am to the point where I work the same, and I should be paid the same, I think I am going to talk to the hubby tonight, and see if he wants the full rate increase, or like small steps said, and increase 10% now, and 10% in Jan.
Reply With Quote
  #12  
Old 11-07-2011, 11:52 AM
LittleCrawfishCC's Avatar
LittleCrawfishCC LittleCrawfishCC is offline
Daycare.com Member
 
Join Date: Sep 2011
Location: Louisiana
Posts: 134
Default

Any other suggestions ladies?
Reply With Quote
  #13  
Old 11-07-2011, 12:04 PM
renodeb's Avatar
renodeb renodeb is offline
Daycare.com Member
 
Join Date: Jan 2011
Location: Reno, Nv
Posts: 837
Default

I dont do a %. In my contract I just have that rates are subject to change once a year with a months written notice. When I raise the rates its only $5.00 a week per family. Not a very big raise and I have never had a complaint. What your proposing seems like a big hike. If anything I would take out the 10% and put a clause that states that the rates are subject to change.
Debbie
Reply With Quote
  #14  
Old 11-07-2011, 01:10 PM
LittleCrawfishCC's Avatar
LittleCrawfishCC LittleCrawfishCC is offline
Daycare.com Member
 
Join Date: Sep 2011
Location: Louisiana
Posts: 134
Default

So I had a talk with the father, and he was like, well we are struggling already, and this isn't going to go over well with the wife, and he was like, well we told you not to claim the money so you wouldn't be taxed on it, and I am like ARE YOU SERIOUS?!?! Like I said stupid enough to do that and get audited!
Reply With Quote
Reply

Tags
contract - revisions, rate change, rate increase

Thread Tools
Display Modes

Posting Rules
You may post new threads
You may post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
Rate Increase Letters kpa0627 Daycare Center and Family Home Forum 12 12-16-2019 04:19 PM
Thinking of Rate Change.. meli829 Daycare Center and Family Home Forum 7 09-21-2010 03:27 AM
Rate Increase Question Unregistered Daycare Center and Family Home Forum 3 04-16-2010 06:41 PM
Rate Increase of No Increase? DBug Daycare Center and Family Home Forum 5 03-30-2010 09:23 AM
Rate Increase tymaboy Daycare Center and Family Home Forum 12 11-09-2009 10:31 AM


All times are GMT -7. The time now is 03:54 PM.



Daycare.com         Find A Daycare         List Your Daycare         Toys & Products                 About Us

Daycare.com
Please read our Disclaimer before continuing.

Topics pertain mainly to the following States:

Alabama Alaska Arizona Arkansas California Colorado Connecticut Delaware District of Columbia Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wisconsin Wyoming