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kpa0627 11:45 AM 04-20-2010
This is my rate increase letter I will be sending out soon.
Is this professional enough? Is it nice? Anything I should change?

Parents,
By mid June I will be a licensed in home provider in our new house at *** ***XX ***XX! I am very excited to be moving as it will allow more room for the children
both indoors and outdoors to play. This will also mean that I will have the State
drop in to make sure I am following the state standards of in home daycares. I will also
be able to take part in different programs to enhance the daycare.
Because I will be a licensed povider I am going to be changing my rates which will take
effect July 1st of this year. These rates are going to reflect the rates that licensed
in home providers in this area charge. The rates will be as followed:

Ages infant-18months: Full Time (26-50 hrs a week) $135 a week
infant-18months: Part Time (1-25 hrs a week) $85 a week

Ages 19months-5 yrs: Full Time (26-50 hrs a week) $120 a week
19months-5 yrs: Part Time (1-25 hrs a week) $70 a week

School Age: (26-50 hrs a week) $80 a week- This would be for summer, school breaks, etc.
(1-25 hrs a week) $50 a week- This would be for Before & After School care

This has been a difficult decision to increase rates but unlike other forms of self-employment,
family child care is very restrictive. There is absolutely no room for growth because
the State of Kansas dictates the size of my business. I appreciate your understanding
of the rate increase. If you have any questions or concerns, please feel free to
discuss it with me.

Thanks,
*********X

** Attached with this note is your child's current tuition and what the tuition
will be as of July 1st.
Please sign that sheet.
Reply
gbcc 11:51 AM 04-20-2010
Personally I wouldn't state the reason was you becoming licensed. This could give parents the impression you now think you are better because you are licensed and some could take offense. I would just state that for the growing needs of your program and the state of the economy has made you rethink your rates. Other than that, it sounds fine.
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Daycare Mommy 02:23 PM 04-20-2010
Sounds fine to me. If you're worried about it maybe you could give the reasoning, "because of the move to a bigger home and the added benefits of a licensed daycare"? Idk though, I'm terrible at writing stuff like that. And how exciting with all the changes coming through. Congrats!
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Crystal 02:35 PM 04-20-2010
I agree with GBCC. Out of curiosity, how much of an increase will it be over current rates....they still seem fairly low!
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kpa0627 02:46 PM 04-20-2010
My current rates are:
infant-18 months full time (26-50 hrs.) 125 a week---- new rate will be 135
and i've been charging different rates for part time: 2 days-50, 3 days-75, etc.------------ with my new rate it'll be a flat rate of 85 for part time

19months-5 yrs full time (26-50 hrs.) 110 a week----- new rate will be 120
and i've been charging different rates for part time: 2 days-44, 3 days-66, etc.---------- with my new rate it'll be a flat rate of 70 for part time.

As far as school age I've never cared for them in my registered daycare before... that will be an added benefit for being licensed.

So for the full time children it's only an increase of 10 a week... it's my part timers that will have the biggest change. For instance I have one child I watch twice a week and charge $44 a week but now it'll be my flat rate part time rate of $70... a $26 a week difference! But because it's so hard to find other children to fill part time spots that is why I am having a flat rate part time fee. Is this unreasonable?
Reply
SunflowerMama 02:47 PM 04-20-2010
Originally Posted by gbcc:
Personally I wouldn't state the reason was you becoming licensed. This could give parents the impression you now think you are better because you are licensed and some could take offense. I would just state that for the growing needs of your program and the state of the economy has made you rethink your rates. Other than that, it sounds fine.
I agree. I would just say you have reviewed rates of licensed homes in the area and with the move to the new home and the addition of new and exciting programs to enhance the daycare a rate increase will be effective whatever date...
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originalkat 03:35 PM 04-20-2010
What part of Kansas are you from? I am in Wichita. I only take 2-5 year olds and charge $125 per week for full-time. So your new rates seem right on par to me. Were you registered before? I have considered getting licensed but as of yet have not taken the plunge.
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kpa0627 05:58 PM 04-20-2010
I'm in Manhattan, KS. The new rates do reflect the average rate for a licensed in home in this area. I am registered now so I have my rates set a little cheaper but when I become licensed I want to make what the other licensed providers do. I just don't want anyone to get upset. But then again if they don't like it I guess they can find care somewhere else unfortunately.
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