I opened on June 2nd. I have two part time children. I need to get some full time kids in.

I was charging $38 per day or $190 a week for full time. Potential clients ask the price but then I would never hear from them.

This week I lowered it to $32 per day or $160 a week - I live in a very diverse area income wise. (Second largest city in Illinois) There is section 8 housing within 1 mile of my home, but half million dollar homes a block away. So the income levels are all over the place.

I'd kept my rate higher so I wouldn't have to raise it on my parents. But I'm realizing I must be over priced. I am in a great location. I do know some people charged $150 a week but they were not licensed.

I will be licensed in August.

Any thoughts? Did any one else have to raise or lower prices?

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When I first started I had very low rates to be able to fill the spots and get going. After I was full and fine tuning the group I advertised at a little higher rate for new kids. Once I had a good group and a small wait list I raised the rates for the parents who had started under the lower rates. It was about a six month process but it let me fill up and worked out well for my parents too. There was very little fuss.

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I like this idea. I think I would be comfortable with raising rates after a while if I start lower. I think they would understand. Plus, I know a few dollars adds up over time, but to raise by a dollar or two doesn't sound as bad.

Thank you!

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This is pretty much what I did. It seemed to work well both getting children enrolled and getting the word out.

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Contact your local child care resource and referral association, you probably can link off of your State licensing website. They will be able to give you a median price for your area as well as many resources to tap into.

I am in the middle of one of the wealthiest counties in Michigan with all big three automotive companies based here and in 2004 charged $160, raise to $175 in 2008 just before the bottom fell out. Last year I lowered my rates back to $160 and still can't find kids.

Two weeks ago one of three centers within 1 mile of me closed. Three years ago there were 17 home family day cares in my zipcode now there are 9. The unlicensed SAHM's are charging 1/2 of what is charged in homes and 1/3 of what is charged in centers. If you want to be competitive you might check craigslists going rates.

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I like to think that you can get kids if you have a niche. Sure, many people only care about getting child care at the lowest rate but you don't want them. If you are going to charge more that put a great reason behind it. Serve healthy or organic food, offer a certain preschool curriculum or special hours.

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I offer Monday-Saturday 6 am til midnight, high scope and Gee Whiz curriculum, State subsidy and all supplies. The only people that answer my ads ask what I charge and go to the SAHM that offers 1/2 my rate. They don't ask or care about what I offer. Hasn't always been like this and hopefully your area is in better condition than mine is right now

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I'm in MI too, but the other side of the state. There is a wide range of incomes, here, too. I also have to deal with a lot of part-timers. The majority of my clients are part time. People do what they can to have grandparents watch their kids a few days a week, or work a 3-4 day workweek.

I priced out what I thought was reasonable - $25 per day - but I was told I was low. So I didn't have too much trouble filling up, although I just had 2 siblings leave, and 1 I had to term. Luckily I'm filling up again after a few very boring weeks.

I think the low price helped me to fill up, and now I'm getting referrals from the parents here because they tell everyone what a great program I have. Since word of mouth is spreading, I am raising rates in September, but not for current clients.

Good luck; I know it's frustrating!

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I am in West Michigan and find this to be true. I charge less then what I was paying as a working mom but more then some of the others. I found the medium and slowly raised it as I got going, but not my a huge margin. I live in a town without any centers and there are only a few within a 15/20 mile radius. We have around 20 family/group homes and many SAHM's who don't charge much. I have found that most people want a licensed provider and aren't going to the SAHM's in my area. The State has also recently been posting on Craigslist that SAHM childcare is illegal in this state if not licensed, so I hope that helps slow it down a bit. Most of them don't care though.

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