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Daycare Center and Family Home Forum>Late Fees
littlemissmuffet 11:34 AM 07-30-2013
What do you charge for late fees?

I often see $10/day here and I think that's way too low. Mine is $45/day after 9am (used to be $30/day after 5pm) the day fees are due, and I think even that is too low. However, I hardly ever have parents pay late (MAYBE three times in the last 3 years?).

I see some providers here charge just $10/day and continue to have parents pay late... I wonder if the late fee was much heftier would the parents start paying on time?

Overall, I find it incredibly upsetting that so many providers have such a difficult time getting paid and on time
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blandino 11:43 AM 07-30-2013
I am $15.00 a day. Due Friday for the following week. No care will be provided on Monday without payment, and on Wednesday if payment still isn't received then your spot is filled.

I don't have too many payment issues. Have charged one late payment fee so far this year, and that was to the crazy/failure to thrive/tylenol doping/ wrong bottle proportions mom.
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EntropyControlSpecialist 11:45 AM 07-30-2013
Due BY Monday morning at 7:00 AM (they all pay online) or a $20.00 late fee is attached AND their child cannot attend that day (day begins at 8:00). Their child cannot attend at all until the late fee and the tuition are paid in full.

I've had ONE parent pay late and that was an oversight on their part as they abide by all of the policies and always have. They were so apologetic and it hasn't happened since. I have waived ONE late fee and it was truly deserved (plus, payment was 5 minutes late LOL).
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Blackcat31 11:45 AM 07-30-2013
Originally Posted by littlemissmuffet:

Overall, I find it incredibly upsetting that so many providers have such a difficult time getting paid and on time
I agree.

But, I only charge $10 per calendar day late fees....HOWEVER,

my late fees are on a graduated scale like my rates.

First late fee: NO services (until ALL money paid if full) + $10 per calendar day late fee

Second late fee: NO services (until ALL money paid in full) + $20 per day late fee

Third late fee: NO services. Ever. Termination.

Late fees for me are purely ornamental.... I'd rather just not have to charge one so in reality, if a family wants to have a good working relationship with me, they simply need to pay on time...every time.

I DO understand when something comes up or the odd glitch here and there but it only feeds my empathetic side and has NO bearing on the financial side of my business.

Now that being said....I have waived a late fee here and there over the years (3 times to be exact) and ALL of those times were at MY discrepancy and MY choice to do so. All 3 instances were also involving long term families and situations that were just not likely to ever happen again....kwim?
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Patches 12:07 PM 07-30-2013
Mine is $15/per day. Due on Monday morning for the week. I've head one dcm that always wanted to pay late and all my others have had no issues
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clep 04:56 PM 07-30-2013
Mine is $50.00 payable before care resumes. Three times of late payments and the family is termed. If a parent came to me to communicate they needed to pay a few days late I don't charge the fee. That is only for those that can remember to bring their child to care but can't remember to pay for it.
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littlemissmuffet 05:21 PM 07-30-2013
I also will not care for the child until payment (including late fees) is paid in full. Day 3 (or 2 if it's a real problem family) I terminate.

I also will not allow a single family to continually pay late. As with late pick ups - three strikes you're out.
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daycare 05:58 PM 07-30-2013
my late fees are as follows..

1st late fee, if there was zero communication then I charge $50.00, must be paid in full before services are rendered.

2nd late fee is $100.00 and same as above

I have never gotten past that......... I have only ever charged a one time late fee for a few families.

Just like BC, I have waived late fees for some families but they are ones that have been with me for years.

I just had a family pay me late two times in a row, only have been here for 3 months. Lets just say that they are NOT happy at all..... If it happens again, which I doubt they will, then I will term.....
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daycarediva 06:05 PM 07-30-2013
I charge $20/day, then $50/day, then term. Payments are due Friday by 6, and the late fees+ tuition are due IN CASH or they don't have daycare.

I need to add in that they forfeit their space after 48 hours of non payment or something in my next contract update. That way I can get out of the contract to replace a non paying family.

WWYD with that families final due balance? Charge the two (or whatever) weeks' notice you required? Just what they owed the day they were replaced? I would still take them to court to recoup the losses if they didn't end up paying... hmmm
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daycarediva 06:07 PM 07-30-2013
Also side track; under what circumstances have you waived late fees? I hear so many sob stories sometimes.
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daycare 06:10 PM 07-30-2013
Originally Posted by daycarediva:
Also side track; under what circumstances have you waived late fees? I hear so many sob stories sometimes.
I only do it if they have created a good payment history with me....more than 6 months and if it is not always being asked.........

I don't care what your issue is....I will only do it once........
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MyAngels 07:04 PM 07-30-2013
Well phooey. Again I'm the odd man out. I don't charge a late fee. For whatever reason, at least in recent memory, my families pay on time. Sometimes even early. I did have a bounced check once, though, so technically that's late, but I didn't charge anything, since my bank didn't charge me anything.

After reading so much good information here I keep thinking I should add these fees, but then I worry that that might encourage someone to be late (either picking up or paying) if they don't mind paying for it and I don't want to tempt fate.
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daycare 07:18 PM 07-30-2013
Originally Posted by daycarediva:
Also side track; under what circumstances have you waived late fees? I hear so many sob stories sometimes.
I had a family that always paid on time....One friday (pay day) in the morning they called me and said, we are so sorry to have to put you out, but my mom fell last night and we are out of town with her, could we pay you on Monday.......

Of course I said yes....they had been with me for a year and NEVER paid late. They called, were respectful and said that they would pay on Monday. Everything worked out according to plan and it never happened again.....

Now if you give me a huge sob story every Friday, have not created a good payment history with me, then I will probably say NO.
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Play Care 03:53 AM 07-31-2013
Originally Posted by daycarediva:
Also side track; under what circumstances have you waived late fees? I hear so many sob stories sometimes.
Family has to be with me for *years* with GREAT history. If I've had them for 3 years and they have followed policy to a T, and something comes up, that's one thing. Someone who has been here for a month or two? They pay a late fee
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daycarediva 04:16 AM 07-31-2013
I ask because I had a family go on vacation recently. They have been here 6months and we have had some minor issues (removing child's sick days from pay and essentially making up their own rate) and dropping off early/picking up late. They told me about their vacation, I told them they were still required to pay. Dcm asked if she could give me a postdated check since they were going to be absent on a Friday and I said sure, that way you will avoid late fees.

Day of dck's last day before vacation, Mom says she forgot her checkbook, she will have dcd drop if off. Needless to say they were emailing me all day Friday and upset I didn't respond 'promptly' (um, working here!) and asked if they could pay the following Tuesday. I said yes, and quoted them the late fees due at that time. She had her brother in law bring me cash instead and I got an earful about how it 'wasn't fair' in dcm's email.
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williams2008 06:20 AM 07-31-2013
I adopted BC late fee policy.

$10.00 per calendar day the first time
$20.00 the second time
3rd time is automatic termination.

All fees have to be paid before service is given. I had two interviews on last week and one of the moms asked why were my late fees so high
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Blackcat31 08:13 AM 07-31-2013
Originally Posted by williams2008:
I adopted BC late fee policy.

$10.00 per calendar day the first time
$20.00 the second time
3rd time is automatic termination.

All fees have to be paid before service is given. I had two interviews on last week and one of the moms asked why were my late fees so high
Um, so you don't do it....

She shouldn't really care unless she is a habitual late payer....
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williams2008 10:58 AM 07-31-2013
Originally Posted by Blackcat31:
Um, so you don't do it....

She shouldn't really care unless she is a habitual late payer....


My reply was....That's motivation for everyone to pay on time!
I hadn't heard anything from her, so I'm assuming that I'm the lucky one!
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Play Care 11:00 AM 07-31-2013
Originally Posted by daycarediva:
I ask because I had a family go on vacation recently. They have been here 6months and we have had some minor issues (removing child's sick days from pay and essentially making up their own rate) and dropping off early/picking up late. They told me about their vacation, I told them they were still required to pay. Dcm asked if she could give me a postdated check since they were going to be absent on a Friday and I said sure, that way you will avoid late fees.

Day of dck's last day before vacation, Mom says she forgot her checkbook, she will have dcd drop if off. Needless to say they were emailing me all day Friday and upset I didn't respond 'promptly' (um, working here!) and asked if they could pay the following Tuesday. I said yes, and quoted them the late fees due at that time. She had her brother in law bring me cash instead and I got an earful about how it 'wasn't fair' in dcm's email.
Oh heck no! Six months?! And other issues on top? Of course they get the late fee!
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LK5kids 11:05 AM 07-31-2013
Mine is $10.00 with no pay, no stay on Monday morning. I have never had a late pay or no pay. Knock on wood, knock on wood! Granted I am only 7/8 months back doing FCC, but I had a FCC for ten years in my former life.
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EntropyControlSpecialist 11:09 AM 07-31-2013
Originally Posted by daycarediva:
Also side track; under what circumstances have you waived late fees? I hear so many sob stories sometimes.
I would never do it for a sob story. Ever.

The one time I did it, the family was 5 minutes late paying it online and they were never late before (and haven't been since). They had a longstanding history with me and always abided by the policies and never made late payments.
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EntropyControlSpecialist 11:12 AM 07-31-2013
Originally Posted by daycarediva:
I ask because I had a family go on vacation recently. They have been here 6months and we have had some minor issues (removing child's sick days from pay and essentially making up their own rate) and dropping off early/picking up late. They told me about their vacation, I told them they were still required to pay. Dcm asked if she could give me a postdated check since they were going to be absent on a Friday and I said sure, that way you will avoid late fees.

Day of dck's last day before vacation, Mom says she forgot her checkbook, she will have dcd drop if off. Needless to say they were emailing me all day Friday and upset I didn't respond 'promptly' (um, working here!) and asked if they could pay the following Tuesday. I said yes, and quoted them the late fees due at that time. She had her brother in law bring me cash instead and I got an earful about how it 'wasn't fair' in dcm's email.
Entitlement is ugly.

I wouldn't feel bad in the least for charging a late fee. Oh brother.
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Blackcat31 12:08 PM 07-31-2013
Originally Posted by daycarediva:
WWYD with that families final due balance? Charge the two (or whatever) weeks' notice you required? Just what they owed the day they were replaced? I would still take them to court to recoup the losses if they didn't end up paying... hmmm
If someone charges a deposit, that should take care of the final balance but if you don't charge a deposit (I don't) then you are simply out the money I guess unless you want to pursue it in small claims court, which I absolutely would.

I guess I don't have a fool proof plan for that as it has never really happened to me....the few times I have had a late paying family, they just pay the late fee and make sure they don't do it again.

Originally Posted by daycarediva:
Also side track; under what circumstances have you waived late fees? I hear so many sob stories sometimes.
I don't waive late fees because of any sob story...because as you said, we've heard them all.....

....and I have some pretty creative parents....I can ONLY imagine what kinds of situations they could come up with or twist if I bought into all the stories we hear....

The 3 times I waived a late fee were for a family who was hit (T-boned in an intersection) and had to manage finding rides and coordinating pick ups/drop offs and all their other family obligations while trying to secure a new vehicle.

.... throughout the whole ordeal, I noticed mom really made a point of ALWAYS being on time with her payment (even finding a ride to come pay me in the snow) so one Friday, she was scheduled to be absent and I knew she'd make arrangements to come pay me so I called her in the morning and told her to wait until Monday to pay me and that I wasn't going to charge her a late fee for it.

The other two times, were due to family emergencies (the DCF's) and again, something I chose to do and NOT something the parent asked if I would do.

So contrary to popular belief, we are not all greedy lazy peeps just in it for the money. LOL!!
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daycare 01:35 PM 07-31-2013
Originally Posted by daycarediva:
I ask because I had a family go on vacation recently. They have been here 6months and we have had some minor issues (removing child's sick days from pay and essentially making up their own rate) and dropping off early/picking up late. They told me about their vacation, I told them they were still required to pay. Dcm asked if she could give me a postdated check since they were going to be absent on a Friday and I said sure, that way you will avoid late fees.

Day of dck's last day before vacation, Mom says she forgot her checkbook, she will have dcd drop if off. Needless to say they were emailing me all day Friday and upset I didn't respond 'promptly' (um, working here!) and asked if they could pay the following Tuesday. I said yes, and quoted them the late fees due at that time. She had her brother in law bring me cash instead and I got an earful about how it 'wasn't fair' in dcm's email.
I just went through this same exact thing....... I had to say somethings that I normally would not say......UNFAIR??

Really....who is being unfair......we all know its the parent

I had a DCM just go off on me for charging the late fee.....told me they were disappointed in me, they had some issues....They never communicated to me anything, I charged the late fee...DCM kept on me about I should have not charged the late fee, it's not fair..

I told her this.....
have I ever opened DC late and you had to wait?
have I ever forgotten to feed your child, hug them, love them, keep them safe, change their diapers, hold them, etc...NO, never and I never would, because we signed a contract, this is a business and I have every intent to uphold all of my agreements and policies.

it's a two way street, I have kept my word and have supplied everything to you and your family ON TIME ALWAYS.. How would you feel if I decided to not open on time, LATE, or forget to do any of the above for your children?? I am sure you would be pretty upset and disappointed with me. NOw tell me why I shouldn't be the one that is disappointed here. I then went on to show DCM, this is the contract we signed, it's nothing personal, it's what YOU agreed to when you signed it. I am going to give you another copy of it. I think you should reread it and decide if this is still the place that you want to bring your child to. She stood there just jaw dropped.......... Then said I have never seen this side of you before, I am quite shocked. I replied, you should be, and she left.....

I got a little more backlash from the DCD at pick up, but I just kept smiling and nodding and carried on as if I didn't care at all.....
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melilley 02:22 PM 07-31-2013
Originally Posted by daycare:
I just went through this same exact thing....... I had to say somethings that I normally would not say......UNFAIR??

Really....who is being unfair......we all know its the parent

I had a DCM just go off on me for charging the late fee.....told me they were disappointed in me, they had some issues....They never communicated to me anything, I charged the late fee...DCM kept on me about I should have not charged the late fee, it's not fair..

I told her this.....
have I ever opened DC late and you had to wait?
have I ever forgotten to feed your child, hug them, love them, keep them safe, change their diapers, hold them, etc...NO, never and I never would, because we signed a contract, this is a business and I have every intent to uphold all of my agreements and policies.

it's a two way street, I have kept my word and have supplied everything to you and your family ON TIME ALWAYS.. How would you feel if I decided to not open on time, LATE, or forget to do any of the above for your children?? I am sure you would be pretty upset and disappointed with me. NOw tell me why I shouldn't be the one that is disappointed here. I then went on to show DCM, this is the contract we signed, it's nothing personal, it's what YOU agreed to when you signed it. I am going to give you another copy of it. I think you should reread it and decide if this is still the place that you want to bring your child to. She stood there just jaw dropped.......... Then said I have never seen this side of you before, I am quite shocked. I replied, you should be, and she left.....

I got a little more backlash from the DCD at pick up, but I just kept smiling and nodding and carried on as if I didn't care at all.....
and this. I only wish I could come up with things to say-at the time something happens, not after!
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williams2008 10:25 AM 08-05-2013
Guess who called me on Friday wanting to start care for their childThe mom that complained about my late fees being too high.
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