So in Jan 2016 minimum wage will go up one whole dollar at $10.

Currently I have a few employees that are hired at the minimum wage.

I am not good at the math stuff and not too sure how to figure out how to increase my rates to support this new wage increase.

Also, in the last three months the cost of food is getting to become out of control. I am already on the food program, getting the lowest tier possible.
I slightly raised my rates back in August, but I won't have a choice but to raise them again.

Many comapnies around here just gave another COLA rasie.

How do I figure out how much to increase my daycare rates?

thanks.

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I don't think you are going to find a straight across the board easy answer to that since only you know your expenses and revenue and how that balances now.

You need to figure out how much money you need each month to pay your expenses (food and employees included) and the charge accordingly.

I don't think you can just raise your rates by $5 a week (for example) and call it good. There are too many variables involved.

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I agree, too many factors. But here's an estimate:

If you have 2 employees that you will be paying $1 more per hour to, (I'm going to assume they're full time), that's an extra $80 per week. Adding in 6.2% for FICA, that's about $85 a week. Depending on how many children you have enrolled, let's assume 20, you would split the cost between the 20, so $4 a week per child.

Groceries I can't help you, because your cost may be different than mine, but $5 per child, or $100 a week total wouldn't be an unreasonable guess.

That's approx. $10 per week per child total. I have no idea what your rates are, or if your parents would squeal about $10, but it doesn't sound like too much to me.

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perfect I did it right. thanks for posting this. I was not 100% certain that I did it right and it looks like there will be about a $38 monthly increase per child.

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