Daycare.com Forum Daycare Forum

Go Back   Daycare.com Forum > Main Category > Daycare Center and Family Home Forum

Daycare Center and Family Home Forum Daycare Center and Family Home owners, Directors, Operators and Assistants should post and ask questions here.

Reply
 
Thread Tools Display Modes
  #1  
Old 05-04-2016, 12:40 PM
Unregistered
Guest
 
Posts: n/a
Default Raising Rates

How do you go about raising your rates with current families? I usually just get my new families coming in with my new rates, but I would like to raise rates on my current families. How do you go about doing it?
Reply With Quote
  #2  
Old 05-04-2016, 12:42 PM
lovemydaycare0912's Avatar
lovemydaycare0912 lovemydaycare0912 is offline
Daycare.com Member
 
Join Date: Oct 2015
Posts: 782
Default

Quote:
Originally Posted by Unregistered View Post
How do you go about raising your rates with current families? I usually just get my new families coming in with my new rates, but I would like to raise rates on my current families. How do you go about doing it?
I've never raised my rates since I just started a year ago. However, I would write a letter stating the new rate would go into effect 30 days from date of letter. Probably have them all sign a new form as well maybe by a certain date to know they are on board.

Hopefully someone else will give input.
Reply With Quote
  #3  
Old 05-04-2016, 12:54 PM
EntropyControlSpecialist's Avatar
EntropyControlSpecialist EntropyControlSpecialist is offline
Embracing the chaos.
 
Join Date: Mar 2012
Location: A toasty environment!
Posts: 7,430
Default

I raised my rate for the first time since I opened, 4 years ago, in January. I sent out a letter and had them check off if they were remaining enrolled or check off if they were giving their 2 week's notice. All families remained enrolled (despite the full-timers paying $15 more a week!). I was very anxious, though, but not anxious enough that I didn't want to be making the same rate off with my full-timers that I was with my part-timers.
Reply With Quote
  #4  
Old 05-04-2016, 01:11 PM
Controlled Chaos's Avatar
Controlled Chaos Controlled Chaos is offline
Daycare.com Member
 
Join Date: Jun 2014
Posts: 2,131
Default

Good advice above.

Do you send home newsletters? I would probably attach it to June's newsletter and have new rates start in July. I would keep it short and to the point.

Woot woot for raising rates
Reply With Quote
  #5  
Old 05-04-2016, 02:27 PM
Michael's Avatar
Michael Michael is online now
Admin & Owner-Daycare.com
 
Join Date: Aug 2007
Location: Moorpark CA, Ocean Ridge, FL
Posts: 7,802
Default

Here are some threads on Rate Increase Letter: http://www.daycare.com/forum/tags.ph...ncrease+letter
Reply With Quote
  #6  
Old 05-04-2016, 02:28 PM
Unregistered
Guest
 
Posts: n/a
Default

I am anxious! I don't want to lose families!! It will be $18/week diff

I think I'll send home a letter with a new contract...
Reply With Quote
  #7  
Old 05-05-2016, 07:39 AM
Magic's Avatar
Magic Magic is offline
New Daycare.com Member
 
Join Date: Jan 2013
Location: Vancouver Island BC Can
Posts: 154
Default

I am raising my rates in June
it was a hard decision
I have not raised them in 8 years
so months ago I started to discuss it with my clients and why
reminded them of my over head ex...
I told them it would be in June so they had months to prepare
then end of April I gave out a funny news letter with a reminder of rates increase for June
I have had support from all parents
Reply With Quote
  #8  
Old 05-05-2016, 11:09 AM
thrivingchildcarecom's Avatar
thrivingchildcarecom thrivingchildcarecom is offline
thrivingchildcare.com
 
Join Date: Jan 2016
Location: California
Posts: 393
Default

In his post “How to Raise Your Rates”, Tom Copeland says if providers “make it a practice to raise your rates annually will add up over the years and make a big difference in your income.

I thought that was a really interesting concept and something I had never thought of.
Reply With Quote
  #9  
Old 05-05-2016, 12:31 PM
Unregistered
Guest
 
Posts: n/a
Default

I do a small raise annually. It's stated in the contract.
Reply With Quote
  #10  
Old 05-05-2016, 04:41 PM
CityGarden's Avatar
CityGarden CityGarden is offline
Daycare.com Member
 
Join Date: Mar 2016
Location: The Happiest Place on Earth
Posts: 1,667
Default

For the students I tutor I built an annual rate increase into the annual contract, I plan to do the same with my home based preschool.
Reply With Quote
  #11  
Old 05-05-2016, 05:02 PM
Cat Herder's Avatar
Cat Herder Cat Herder is offline
Advanced Daycare.com Member
 
Join Date: Dec 2010
Posts: 13,753
Default

I have never gone over $5 per week increase in one calendar year. I do raise it annually.

One thought though, it is risky to do it at the end of the school year. With so many teachers/college students, off for the summer, about to flood the market it will be very easy for your clients to jump ship quickly.

It will buy them time to find a cheaper provider for next school year as well.
__________________
- Unless otherwise stated, all my posts are personal opinion and worth what you paid for them.
Reply With Quote
  #12  
Old 05-05-2016, 06:11 PM
CityGarden's Avatar
CityGarden CityGarden is offline
Daycare.com Member
 
Join Date: Mar 2016
Location: The Happiest Place on Earth
Posts: 1,667
Default

Quote:
Originally Posted by Cat Herder View Post
I have never gone over $5 per week increase in one calendar year. I do raise it annually.

One thought though, it is risky to do it at the end of the school year. With so many teachers/college students, off for the summer, about to flood the market it will be very easy for your clients to jump ship quickly.

It will buy them time to find a cheaper provider for next school year as well.
most in this area increase with the new school year so August / September or in January.
Reply With Quote
  #13  
Old 05-06-2016, 02:20 PM
Unregistered
Guest
 
Posts: n/a
Default

Quote:
Originally Posted by Cat Herder View Post
I have never gone over $5 per week increase in one calendar year. I do raise it annually.

One thought though, it is risky to do it at the end of the school year. With so many teachers/college students, off for the summer, about to flood the market it will be very easy for your clients to jump ship quickly.

It will buy them time to find a cheaper provider for next school year as well.
Very true!!!
Reply With Quote
Reply

Tags
rate increase, rate increase letter

Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off

Forum Jump

Similar Threads
Thread Thread Starter Forum Replies Last Post
Raising Rates, Renewing Contracts Abigail Daycare Center and Family Home Forum 9 01-03-2014 01:18 PM
I'm raising most of my rates. You guys think fair pricing? E Daycare Daycare Center and Family Home Forum 13 12-05-2012 02:27 PM
Raising Rates? Soccermom Daycare Center and Family Home Forum 5 10-07-2012 03:48 PM
Is Anyone Out There Raising Their Rates This Year? Unregistered Daycare Center and Family Home Forum 7 11-09-2009 10:27 AM
Raising Rates mac60 Daycare Center and Family Home Forum 2 05-25-2009 09:39 PM


All times are GMT -7. The time now is 07:01 PM.



Daycare.com         Find A Daycare         List Your Daycare         Toys & Products                 About Us

Daycare.com
Please read our Disclaimer before continuing.

Topics pertain mainly to the following States:

Alabama Alaska Arizona Arkansas California Colorado Connecticut Delaware District of Columbia Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wisconsin Wyoming