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Old 11-01-2011, 08:56 AM
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Default What Are The Benefits To Being Licensed?

In Ohio I only have to license if I have over 6 children. I am at home and have my own 2 kids and usually one or two other children. I have had 3 or 4 if drop ins come, but that is all I have for now.

I read the posts on here and am amazed at the number of children some of you manage each day. I know not everyone here is in their home. I know that some are in their homes but with dedicated space just for daycare so more like a home center.

I have been trying to figure out why someone like me would license themselves since it isn't required. All I can figure by reading online is that then I would be allowed to have up to 18 kids at a time. Since I NEVER want that, I don't think licensing is in my future.

Am I missing something? Are there other reasons/benefits?
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Old 11-01-2011, 08:58 AM
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In CA it's is required by law. The fine can be something like $200 a day.
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Old 11-01-2011, 09:01 AM
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Originally Posted by sharlan View Post
In CA it's is required by law. The fine can be something like $200 a day.
Ouch! That would be a motivator!

I moved to OH from AZ almost 2 years ago. There are many things in OH which seem more conducive to at home businesses.

Is licensing hard in CA or do they make it manageable due to making it a requirement?
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Old 11-01-2011, 09:04 AM
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You can get on the food program so you get more money for meals. And just the benefit of telling parents that you are doing things by the book of being lisenced.
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Old 11-01-2011, 09:05 AM
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I could be wrong, but I think the up to 18 kids is for centers or even home centers where multiple people are licensed to care for children in one place. Where I come from our limits are as follows :
1 person unlicensed can care for 4 including own children up to age 12.
1 person licensed can care for 8 children including own up to age 12
2 people licensed can care for 12 children including own up to age 12.

It varies alot state by state.

I never considered licensing because it's much more work, and 8 kids is a lot. However, they specifically asked me to become licensed because of a lack of licensed childcare homes where I am.

benefits to me becoming licensed:
-more income
-can offer subsidy (90-95% of people want some form of subsidy)
-grants

Those are the only benefits I feel to being licensed. If it wasn't so hard to find people who don't want subsidy, then I would pull in more money on 4 kids a month then licensed, not including the grants. However, I have 3 kids of my own, and they will always hold those 3 spots. So being licensed I am allowed to have 5 other kids.
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Old 11-01-2011, 09:06 AM
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In Texas we have to be licensed or registered to be able to accept childcare subsidies and to also participate in the food program. I'm licensed because I need to keep at least 7-8 children to make ends meet (single mom). I always thought being licensed would make parents feel better about putting their child here and it does make a difference to some but not to most.
They are coming down on unlicensed and unregistered child care homes in Texas at this time.
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Old 11-01-2011, 09:11 AM
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Where I live, a provider MUST be licensed to watch any more than one family (1-100 kids) so there would be no money in watching one family's children unless they really did have a lot of kids.

Both licensed and unlicensed providers can receive payments from the subsidy program however, the program pays more to licensed providers than unlicensed.
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Old 11-01-2011, 09:13 AM
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It became required by law, here, once you take in a third child for pay, related or not.

TCC "Child Development Specialist" or CDA Mandatory, and we can only keep 6, legally, as well.
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Old 11-01-2011, 09:13 AM
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Originally Posted by Mrs. CC View Post
In Ohio I only have to license if I have over 6 children. I am at home and have my own 2 kids and usually one or two other children. I have had 3 or 4 if drop ins come, but that is all I have for now.

I read the posts on here and am amazed at the number of children some of you manage each day. I know not everyone here is in their home. I know that some are in their homes but with dedicated space just for daycare so more like a home center.

I have been trying to figure out why someone like me would license themselves since it isn't required. All I can figure by reading online is that then I would be allowed to have up to 18 kids at a time. Since I NEVER want that, I don't think licensing is in my future.

Am I missing something? Are there other reasons/benefits?

Lets see, you get to pay taxes..make sure you have at least 2 tax kids..You are subjected to surprise inspections that can last hours by the state. They will set the guidelines of your daycare, not you!

You can be written up for reeeally stupid stuff, and this gives parents more information and rights to report you versus non licensed. People who are nonlicensed who get reported, usually just get a letter in the mail and you fill it out and send it back. Usually thats it. Worst case senerio they drop a few if they are over, and pick them up later on.

When you're licensed many guidelines probably written by geeks who never really spent years working with children like most of us.

Your state is pretty generous, that would be about all the kids I would want myself; actually not even that many.
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Old 11-01-2011, 09:14 AM
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Quote:
Originally Posted by lil angels View Post
You can get on the food program so you get more money for meals. And just the benefit of telling parents that you are doing things by the book of being lisenced.
In OH you can be on the Food Program without being licensed. At least that is what my sponsor told me. I will double check with her this afternoon when she visits.

And I am "doing it by the book" because in OH the book says no license needed until 6+ kids.

I didn't think about the subsidy issue, I have been trying to help one of my DCMs by encouraging her to look into subsidy but she says she doesn't want to take the time.
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Old 11-01-2011, 09:16 AM
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Originally Posted by Unregistered View Post
Lets see, you get to pay taxes..make sure you have at least 2 tax kids..You are subjected to surprise inspections that can last hours by the state. They will set the guidelines of your daycare, not you!

You can be written up for reeeally stupid stuff, and this gives parents more information and rights to report you versus non licensed. People who are nonlicensed who get reported, usually just get a letter in the mail and you fill it out and send it back. Usually thats it. Worst case senerio they drop a few if they are over, and pick them up later on.

When you're licensed many guidelines probably written by geeks who never really spent years working with children like most of us.

Your state is pretty generous, that would be about all the kids I would want myself; actually not even that many.

So you don't pay your taxes if you're not licensed??

Um, I think legally you are required to pay taxes on your income whether you are licensed or not.
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Old 11-01-2011, 09:18 AM
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Originally Posted by Blackcat31 View Post
So you don't pay your taxes if you're not licensed??

Um, I think legally you are required to pay taxes on your income whether you are licensed or not.
I have an EIN and pay taxes and provide the paperwork for my parents for claiming purposes.
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Old 11-01-2011, 09:18 AM
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I'm in OH, too.

Ability to take up to 12 children (4 under 2) but you must have an assistant, referrals from the ODJFS and/or similar agencies, ability to be on the food program, ability to take Title 20 (state pay) clients...all of which are "6 of one, half dozen if another" type benefits IMO.

Depending on your county you may not be able to be a Type A home--mine (Franklin) does not license Type A.
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Old 11-01-2011, 09:19 AM
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To clarify, I am not licenses but I AM legal. Very different things
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Old 11-01-2011, 09:19 AM
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I have an EIN and pay taxes and provide the paperwork for my parents for claiming purposes.
Oh hun I didn't mean you....I was replying to the unregistered who made the comment seem as if taxes are only paid if you are licensed.
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  #16  
Old 11-01-2011, 09:20 AM
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Originally Posted by Mrs. CC View Post
To clarify, I am not licenses but I AM legal. Very different things
I think Blackcat was responding to the unregistered poster..not you, hun.

There are MANY great childcare providers that are legally unregistered. No judgement.
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Last edited by Cat Herder; 11-01-2011 at 09:23 AM. Reason: I see Blackcat already clarified.
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Old 11-01-2011, 09:24 AM
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Originally Posted by Unregistered View Post
Lets see, you get to pay taxes..make sure you have at least 2 tax kids..You are subjected to surprise inspections that can last hours by the state. They will set the guidelines of your daycare, not you!

You can be written up for reeeally stupid stuff, and this gives parents more information and rights to report you versus non licensed. People who are nonlicensed who get reported, usually just get a letter in the mail and you fill it out and send it back. Usually thats it. Worst case senerio they drop a few if they are over, and pick them up later on.

When you're licensed many guidelines probably written by geeks who never really spent years working with children like most of us.

Your state is pretty generous, that would be about all the kids I would want myself; actually not even that many.
For the record, it's beneficial to claim your income. I'm not touching on the legality of it, because that's already been mentioned.
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Old 11-01-2011, 09:36 AM
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oh so sorry to have come off defensive. I wanted to make it clear to others that they are different things in my state. I am learning that other states require license so I would be "illegal" in that state but not in mine.

Again, I am sorry for sounding defensive, I didn't mean to!
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Old 11-01-2011, 09:38 AM
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Quote:
Originally Posted by Mrs. CC View Post
oh so sorry to have come off defensive. I wanted to make it clear to others that they are different things in my state. I am learning that other states require license so I would be "illegal" in that state but not in mine.

Again, I am sorry for sounding defensive, I didn't mean to!
Don't worry! I'm in OH too and often find myself typing "I'm legally unlicensed" just because I don't want someone to think I'm operating "under the radar" because I'm not.
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Old 11-01-2011, 09:44 AM
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I like how you two both said "hun" to her.

I'm in NYS. Legally exempt, I can care for as many of my own children and relatives (to the third sanguinity or whatever) as I want. Over that I can only have two until I have to become registered or licensed.

I'm in the process of getting licensed and I will almost double what I make I make now on the same two children!

I don't think a license changes anything for me with the food program.

As sick as this may be, I am happy to being going through the process of getting licensed. I have to take first aid/cpr courses, make safety plans, make sure my house is safer, etc. I feel it's actually holding me to a higher standard - since I started I feel I'm a better mother.

So for me, those are benefits.
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Old 11-01-2011, 09:47 AM
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I think it might be a deciding factor when new clients come, but sometimes a pain. I think they might have changed the rules in NJ about having to be "registered" and getting subsities, but as far as amount of kids you can have, you can have up to 5 regardless of whether you are registered or not. any more than 5 and you have to be a center. I was ok' to do that years ago, but didnt finish the process because as I was doing it, they made a law that all daycare centers had to have the ground tested and it cost 2000 dollars, besides I would have be licensed for 9 and would have needed an assistant and it wouldnt have been worth the cost.
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Old 11-01-2011, 10:01 AM
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Quote:
Originally Posted by Mrs. CC View Post
oh so sorry to have come off defensive. I wanted to make it clear to others that they are different things in my state. I am learning that other states require license so I would be "illegal" in that state but not in mine.

Again, I am sorry for sounding defensive, I didn't mean to!
I didn't think you were being defensive.... I was actually starting to get all riled up about the unregistered poster because as soon as someone starts making it sound as if they don't have to pay taxes or follow rules simply because they are unlicensed really irks me because I DO know there are many many quality providers out there who aren't licensed.

It is people like unregistered who don't pay taxes and do things under the table that give the ones who are LEGALLY UNLICENSED a bad rap sometimes and that is what got my feathers in a ruffle...

FWIW~ I wouldn't be licensed if I didn't HAVE to be.
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Old 11-01-2011, 10:11 AM
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I am not licensed, not required to be and no plans to ever be. I keep the number of kids that works for me and have never had a parent that had a problem with my unlicensed (but legal) status. I am well aware of what the licensing standards are though
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Old 11-01-2011, 10:29 AM
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Food program, can have more kids, and a staff assistant. (Iowa)
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Old 11-01-2011, 10:29 AM
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In order for me to have the income I want, I must be licensed. I care for 10 in my home. Without a dedicated space.
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Old 11-01-2011, 11:11 AM
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sorry i'm sort of hijacking right now, I just got the call, I'm getting my license!
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Old 11-01-2011, 11:20 AM
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How do you make more money by being licensed? Can you tell I just don't know much about it? I am interested but just uncertain.
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Old 11-01-2011, 11:21 AM
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sorry i'm sort of hijacking right now, I just got the call, I'm getting my license!
Since it sounds crazy hard I send my congratulations!!!!!
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Old 11-01-2011, 11:27 AM
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Since it sounds crazy hard I send my congratulations!!!!!
haha, thanks.

And as for making money licensed....

I can't speak for everyone because every state/province is different. I'm in Canada so our regulations aren't the same as most that you see on here.

For me, the situations like this.

Because I can only have 4 kids (I have 3 of my own, so I can only have 1 full timer, and part timers when my kids are in school). So I can't make much money on that.

Most people want subsidized spots, which I can't offer unlicensed.

Being licensed I'll be able to take on 5 kids not including my own (8 in total). Even though licensed rates are way lower than what I charge now, the government more than makes up for that in quarterly grants.

Now I can offer subsidy which will help bring clients in, since most people here want subsidy.

The need for subsidy is so great here, that I will have people knocking down my door. They are so desperate for licensed daycares here, and it's always guaranteed to be full. I'll probably never be on an empty spot for more than a few days if that. There is wait lists of 2+ yrs for licensed daycares. And on my end of town, there is only 2 other daycares, and they are turning people away non stop because they are full. They shut down 7 daycares in the last few months, which is why they asked me to go licensed.

Basically, being licensed brings in much more income than you could make unlicensed because 1) more kids= more income, 2) grants
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Old 11-01-2011, 12:00 PM
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haha, thanks.

And as for making money licensed....

I can't speak for everyone because every state/province is different. I'm in Canada so our regulations aren't the same as most that you see on here.

For me, the situations like this.

Because I can only have 4 kids (I have 3 of my own, so I can only have 1 full timer, and part timers when my kids are in school). So I can't make much money on that.

Most people want subsidized spots, which I can't offer unlicensed.

Being licensed I'll be able to take on 5 kids not including my own (8 in total). Even though licensed rates are way lower than what I charge now, the government more than makes up for that in quarterly grants.

Now I can offer subsidy which will help bring clients in, since most people here want subsidy.

The need for subsidy is so great here, that I will have people knocking down my door. They are so desperate for licensed daycares here, and it's always guaranteed to be full. I'll probably never be on an empty spot for more than a few days if that. There is wait lists of 2+ yrs for licensed daycares. And on my end of town, there is only 2 other daycares, and they are turning people away non stop because they are full. They shut down 7 daycares in the last few months, which is why they asked me to go licensed.

Basically, being licensed brings in much more income than you could make unlicensed because 1) more kids= more income, 2) grants
WOW! I would be licensed too!! I have no idea what subsidy is here in Ohio, maybe I should look for the future. Hmmmm - thinking.
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Old 11-01-2011, 12:44 PM
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I think if you're doing daycare for the short term, and don't rely on daycare income to support you and your family, staying unlicensed (as long as it's legal) would be the way to go.

If you are looking at daycare as a career, and rely on that money to support you and your family, it's worth looking at. It's not a short process to becoming license, and there are expenses involved. If you do it piece by piece, and decide you want to do it, then you've got most, or everything ready to go and licensing should be easier.
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Old 11-02-2011, 06:40 AM
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I am staying unlicensed, but have decided to become certified by our county. I have a few more classes to take and then I need to agree to 3 visits a year.

Our Food Program already calls for 3 visits and is administered by the same person who does the certification program so the visits coincide.

Hope this is the right thing for me. Being small potatoes sometimes makes it hard to determine which add ons are value added and which are just headache adds

I am very excited about the nutrition info from the Food Program and have high hopes for the on going training on nutrition they said they provide.
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Old 11-02-2011, 01:51 PM
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I'm unlicensed and unregistered also. I see no added benefit for my situation. I carry an insurance rider that says I can have 3 children and that's all I want anyway.

And for the other unregistered poster, this does not mean I don't pay taxes. My parents get a receipt at the end of the year and for them to take the deduction, they need my social security number. Of course, I give it to them so they get their deduction, but that also means I report my income. For those who think you don't have to pay taxes, how many kids do you think we'd get if we told those parents they aren't going to get the deduction? Of course, we pay taxes!
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Old 11-02-2011, 10:06 PM
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I'm in AZ and we're allowed to have 4 income children not including my own 2 children. If I cared for 5 income children...I'd be in trouble so I don't do it. I'm not lic. I don't want to bit more off then I can chow and I really just like having a small ratio home daycare. I feel like my kids and I are one big family.

I do however; follow all my guidelines the state has issued and I pay taxes at the end of the yr. In fact bc I run it as a business I find that I can claim quite a bit. I know a lot of you do the food program. I kind of do that backwards as I get to claim meals, drinks, and snacks which works out to be almost $6 a day. Not to mention mileage for driving. I keep really good reports of anything I spend on the kids for supplies and toys and what nots. It works out every yr where I am not owing but getting back money.
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