I've had several calls from parents who want me to hold a spot for their child for After School care for next September (the '10-'11 school year). I'm just wondering if I should ask for a deposit to hold the space? Should I subtract their deposit from their first payment in September, then? I won't be out any money over the summer, because I have a different group of summer only kids. However, I'm afraid that I'll turn people away for the fall, only to have families back out two weeks before the school year starts.

Thoughts?

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What we always did was just charge the registration. If they didn't show up,they lost that money.

The registration was separate from the tuition so no deductions.

What you could also do is charge a holding fee as well due on such a date per month that way you are guaranteed for Sept.

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I charge a $50 holding fee and that's all it is. A holding fee. I'm holding the spot for a child and that's exactly what the fee covers. I do not deduct it from the tuition fee at all and it is un-refundable. That discourages most families from simply saying that they'll be coming and then dissapearing.

I also have a contract with them just like the rest of my families and also require payment for the first week and a regular deposit from them. Most families can't give the first week's of care AND a full deposit (two-weeks of care) so I spilt it into four payments and they are required to give me 1/4 of the fee along with the first week's payment and the holding fee when they register. The rest of their deposit is paid in payments during the first three weeks of school. Families that want me to hold a spot for their children have a start date on their contract as the beggining of school year and they are required to give a two-weeks notice if they think about leaving just like anybody else. I do, however offer these families a chance to change their mind and get their first week's fee and deposit back if they give me a notice two-weeks before school starts. The only thing I never return is their holding fee. If they don't give me two weeks notice before school starts and they don't show, they forfeit the holding fee, first week fee and their deposit. If they change their mind and don't want to bring their child anymore once school starts it's just like everybody else. They have to give a two-week's notice and are required to pay for those two weeks (or I deduct their deposit from the fee and they pay the difference).

It may seem extreme but I don't want the hassle of wondering if their really coming or not so charging a holding fee and requiring a two week's notice before the year starts really discourages the iffy families. Any families that are willing to pay a holding fee, first week of care and a deposit I know are serious. Some families choose to wait until the year starts to see if I have any openings left so that they don't have to pay the holding fee and that's fine by me but it's their risk.

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What I do if it is for noncontracted parents who are not currently using my daycare- one week deposit per month- I changed this due to someone I have held a spot for 10 months for- I only had 2 week dep. in my last contract.
If it is to hold it over the summer, such as teacher's I do a 2 week dep.
These do not go towards any weeks you do daycare for.
The one that I held a spot for her baby for 10 months- I had an infant opening for the 10 months, so if you think about all the money I have lost, like $5-6,000.00!!!! I have a huge waiting list for infants as well!!!

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here they have the option of paying half for the spot until they need it.

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ugh, I hit send to soon, ok, here they have the option of paying rate until they need the spot, they need me, I dont need them. Not to sound harsh but a baby named billy or a baby named Joe, pays me the same. If Billy doesnt need me until fall, why shouldnt I take joe now.

I figure, either I pay them,.. (by not charging them for the time they want me but dont need me and losing out on that income, and saving them that outgo) or they pay me, and ensure I am here when they need me.

Its no different than hiring a cab to follow you around for 9 months in town so you have them in your hire & they can be there to get you from the airport in December when you come home from vacation.

Same thing, you wouldnt expect the cabbie to sit for 9 months to wait on you to need him without paying him. Why should we be any different?

if its a current client I have and something happens, I charge 1/2 rate to hold their slot. extended illness, layoffs, etc. are what this is used for.

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I really need to change mine, don't I????

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ummm,.. Iowa,.. need,..? no,.. should??? YES!

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Thanks laundryduchess!!

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