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Old 06-05-2012, 10:20 AM
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KEG123 KEG123 is offline
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Default Rate Increases

So the state of Illinois, despite being broke, is increasing their rates for state paid child care providers. 2 of my 3 daycare children are state funded. I know it says somewhere that you cannot charge the state more than what you charge private pay families, which after this increase from the state, will be the case here. So I'm going to have to raise rates for my one private family, from 25 per day to 27 per day until their child turns 3 in November at which time he'd go down to 26. Or I guess I could keep him at 27. I know the parents can afford the extra few dollars a week, but I'm wondering how I should notify them. Just give them a sheet with my new rate structure, or should I type a more personal letter to them explaining why my rates are increasing?

Any advice is welcome! Or even if you have a template/letter of your own for me to follow and tweak to make my own?

Thanks in advance!
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Old 06-05-2012, 01:24 PM
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I would write them a note/letter simply saying that you prefer to keep your rates consistent with the state's reimbursement rate.

I would say that the state just notified you of a state wide rate increase and since you serve families on assistance, you will also be raising your rates to match those set forth by the state.

Give them a few weeks notice and leave it at that.

FWIW~ I do the same thing.
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Old 06-05-2012, 01:37 PM
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Are they paying exactly the same manner as the others? Same number of days/hours/ etc? If not then you can always charge differnt rates based on that and still be following the rules of state payments.

Otherwise, I would just state the new rate schedule, give them a 2 week or month notice and leave it at that. I wouldn't want to tell them the other families are on state assistance, that seems like to much info- privacy concerns.
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Old 06-05-2012, 04:07 PM
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One family has twins and is state paid via the full time/daily rate. The other is private pay also full time/daily rate. The state paid family's hours are slightly variable, but generally less hours per day/week than the private family.
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