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Daycare Center and Family Home Forum>In Need Of A New Payment System
Unregistered 10:05 AM 01-16-2011
I accept cash and checks, I have one parent who lays her payment on my banister every monday morning like clockwork, I've never had to ask for payment, remind her about payment, charge a late fee, nothing...she's an angel.

BUT...other parents *suck* at paying. I've had some act snippy about, some act like they were doing me a favor by paying on time, some not paying at drop off then forgetting to pay at pick up until I reminded them, some who say "can you hold my check til Wednesday", some who flat out say "i'm broke til friday" the list goes on and on!!!

I feel uncomfortable asking for payment, not because I feel bad about taking the money but because it's embarassing to point out how little you're respected for your job, I bet THEY don't have to ask for THEIR paychecks, I bet THEY don't get told to hold THEIR check for 3 days!

ANYWAY (I'm sidetracking...sorry), I was wondering what system you guys use for payment. Do you issue a bill on Friday to be paid on Monday, do you just leave it up to the parents to pay without "billing" them, do you provide weekly payment receipts or end of year statements? Any advice would be great.

2010 was my first year, I've gone through 5 daycare kids...2 had nut jobs for mothers, 1 was a 6 year old boy who pooped his pants so I had to end that, one came for one day and then mom decided my fee was too high (she only wanted to pay $10 a day!!!)...the other has been great and I'm in the process of trying to fill spots but it's just really discouraging. I set interviews and parents don't show, I get signed contracts and immediately parents flake on payments or start nitpicking everything we do in daycare ("my kid doesn't get changed enough" or "my kid gets changed too much"...."my 2 year old needs a bottle to nap" or "don't give my 9 month old a bottle or formula" ....no matter what everything I do is WRONG to SOMEONE!!!)

I'm sorry I just needed to vent and hopefully I can get some good advice and reassurance that it won't always be this way?!?! Will I ever find GOOD daycare parents??

Also, I'm thinking about starting a newsletter but would it be weird to have a newsletter if I only have 1 or 2 kids??
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Unregistered 03:37 PM 01-16-2011
My parents pay on Fridays for the following week so they pre pay and in my contract it states if payment is not made by 5:30pm on Friday a 25 dollar late fee will be added and the child can not return to daycare till payment is made. My 2 parents I have now are great have never been late and one has been with me a year and half and the other has been with me for 10 months.
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Greenshadow 06:54 PM 01-16-2011
My parents pay on Mondays. If I think about it, I'll ask them for payment that morning when they drop off their child otherwise I get payment when they pick up. I havent had an issue with any of my parents so far. I dont do bills or anything. They know when to pay and they are good about paying on time.
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BentleysBands 07:05 PM 01-16-2011
Originally Posted by Greenshadow:
My parents pay on Mondays. If I think about it, I'll ask them for payment that morning when they drop off their child otherwise I get payment when they pick up. I havent had an issue with any of my parents so far. I dont do bills or anything. They know when to pay and they are good about paying on time.

Ditto here. Most pay at pickup which is fine for me. Maybe post a large note right on your door as They come in....." friendly reminder that payment is due today" and if u get Amy slack then you need to stand firm and say no pay no play
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busymomof2 07:59 PM 01-16-2011
My parents pay Monday (at either drop off of pick up) for the week that will happen. I have never asked for payment. I post a note every Monday am on the front door "Just a reminder, tuition is due today. It is late if paid after 6pm". I take my time answering the door to make sure they have time to notice and READ or write me my check. . I give end of the year receipts that the parents have to sign. The parentrs who have left will get a copy as well but without my EIN#. I send a note stating that I need them to sign it and return and I will send them one with an EIN#. I only have 3 families but I still send out monthly newsletters, a weekly blog and a monthly menu. It is a way to keep the families informed and updated plus it just seems more professional and like more than "just a home daycare". Hope this helps.
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marniewon 08:38 PM 01-16-2011
At the beginning of this year I changed to Friday paydays, for the upcoming week. I stressed that payment was due at drop-off, and late fees would incur, however, if I didn't find the check in the diaper bag, I would give a courtesy text, and as long as payment was made at pick up on Friday then the late fee would be waived.

You shouldn't have to ask for your pay. I have before also, and it's very awkward!!! I would post a notice AND send a note home, stating your policy and payday, have a spot where parent can sign the note and turn it back in to you. Then don't say anything. If your payday is Friday for the following week, don't ask for payment on Friday. If they don't pay that day, have an "invoice" ready to hand them if they don't pay at pick up. This invoice will break things down for them - "Due and payable today: $xx. If paid on Saturday, $xx+10, If paid Sunday, $xx+20. If paid Monday at drop off, $xx+30. If not paid at drop off Monday, your child cannot stay until full payment (plus late fees) are paid". I can guarantee that you won't have to deal with late pays again. I hate how some parents don't respect us enough to pay us!!
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Lucy 12:54 PM 01-17-2011
For me, it's like making your house payment. It's due on the 1st, but I won't panic till the 5th. It's in advance of the month. Oh, and I charge by the month. No deductions for absences whether it is for their reasons or mine. (I've only called in sick twice in 17 years.) If they are full time, it's my full rate, if they are part-time, it is an average based on how many days per month they will be here. They all know THEIR monthly amount, and they pay it ahead, at the beginning of the month. If it gets to be the 4th of the month and they haven't mentioned it, I will say "did you remember a check today?" Doesn't happen often, but sometimes they flat out forgot, which I understand, and they are always terribly embarrased and apologetic. I have long-term families, so I'm comfortable with them. Anyway, that's how I do it - monthly tuition paid in advance by the 5th, but hopefully the 1st or 2nd.
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LaLa 08:18 PM 01-17-2011
Originally Posted by Joyce:
For me, it's like making your house payment. It's due on the 1st, but I won't panic till the 5th. It's in advance of the month. Oh, and I charge by the month. No deductions for absences whether it is for their reasons or mine. (I've only called in sick twice in 17 years.) If they are full time, it's my full rate, if they are part-time, it is an average based on how many days per month they will be here. They all know THEIR monthly amount, and they pay it ahead, at the beginning of the month. If it gets to be the 4th of the month and they haven't mentioned it, I will say "did you remember a check today?" Doesn't happen often, but sometimes they flat out forgot, which I understand, and they are always terribly embarrased and apologetic. I have long-term families, so I'm comfortable with them. Anyway, that's how I do it - monthly tuition paid in advance by the 5th, but hopefully the 1st or 2nd.

the parents are ok with this?? I wish the parents here were!
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boysx5 04:48 AM 01-18-2011
my payday is on MOnday morning for that week I for the most part have all parents who pay on time sometimes they forget but I just remind them and get in the afternoon I would never let anyone stay who didn't pay I don't work for free and I'm sure they wouldn't either.
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lil angels 10:53 AM 01-18-2011
My payday is on Thursday so I can go to the back before the weekend and don't have to worry about it before I go away for the weekend. Most are pretty good I do have to remind people sometimes and it is so irritating. I put a $10 late fee per day and I have not had to charge it yet. I think newsletters are great I do it about every 3 months. It fixes a lot of problems that I have. If do yearly receipts that works best for me and I have 7 familys. It does get better find something that works for you and stick to it. Your parents will run your daycare not you hold to your guns.
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misol 11:10 AM 01-18-2011
Since you are non-confrontational I think the suggestions to post a sign on the door is best. "Reminder: Tuition is due today. If not paid at pickup...please include a late payment fee of $30 with your full tuition on Monday. "

I am one of the lucky ones who have parents who always pay on time.
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Lucy 09:35 PM 01-18-2011
Originally Posted by LaLa:
the parents are ok with this?? I wish the parents here were!
Ok with which part? The no deductions for any reason part? Yes, I've never had anyone complain. I could be wrong, but isn't this how centers are? Centers don't give credit for missed days do they? And I'm certainly cheaper than a center with a much smaller ratio and personal attention. And I didn't do it this way in the beginning. I got the idea when attending a training about 10-12 years ago. We were chatting before the class started and one woman said this is what she does and I thought "yes, that makes perfect sense". Done it ever since.
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Sandbox 05:45 AM 01-19-2011
I'm no expert, but one of the centers that we're working with charges $5 a day for every day that payment is late. She feels that the fee is small enough that it won't scare people, but it adds up quickly enough to get them to pay.

It's funny, when your a sales/business person the relationship with your clients isn't always on a level playing field, but it should be. Sometimes a 5 minute, non confrontational meeting, with a parent who isn't paying on time can go a long way. Be respectful, humble, explain the policy, and cross your fingers. Some people don't realize they are taking advantage of something until it's explained to them, at which point they can make a choice to change. If the meeting works, you'll probably find it very satisfying that you faced the problem out right.

Gotta love your good 'ole customers...
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Tags:mmk, money management, payday, payment options
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