Ok... So by now most of you know I am a little bit different (well besides the Y chromosome) so I thought I'd chime in here. First off, lemme say that from the time I considered doing daycare til now, our financials have changed a bit so I don't need to squeeze every nickel out of this. I also am in agreement with my wife, who was a single mom for a while that it can be hard sometimes to afford daycare. I am also aware that there's programs out there to help single moms, but in her case for example she didn't qualify as her income was a couple bucks over the cutoff.

So with this in mind, I took the average going rate for my area that the ocfs gave me and added 10%. This is my weekly rate. Now for that inflated price, parents get 5 sick days per year, holidays that I'm closed, vacations that I take and up to 2 weeks vacation (consecutive days) of their own for free. So basically if the child isn't here, they don't pay.. as long as its within the guidelines of my contract. (Any more than 5 sick days, I get paid, or if you send them here sick and I send em home 30 min later.. I get paid .. and a couple more little rules to hopefully prevent misuse of my generosity).

So now I am gonna go duck behind my desk while everyone responds to this with disbelief and shares some possible scenarios that I may have overlooked that will come up to bite me later...

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I think the "if your child isn't here, you don't pay" plan works great in lots of programs.

I also LOVE your "pay it forward" line of thinking.

I don't foresee anything you've written to come back and bite you at all.

The ONLY piece of advice I would give is to just make sure you have open communication. If you are unsure of a parent's intention as to absent days and/or scheduling, address it right away.

If you think a parent is confused about your policies, address it right away.

That way you clear the air immediately of any misunderstandings or miscommunications.

Other than that, I think you have a good thing going and will be interested in hearing how successful you are!

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Just don't forget the following important clause on every contract


**provider reserves the right to change or modify daycare policies at any time**

And you should be fine

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Here is what I would add, because there are people who will deliberately take advantage.

-2 weeks notice to use vacation days. Specify 10 days. ALL must be used consecutively or 5 days at a time, etc. 5 sick days, are you willing to give them a credit if unused? Can they be used if the parent is off and just wants to keep kiddo home?

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You have a wonderful thing going here. I sincerely hope it works for you. There have been programs here that begin with your ideas in mind.... to help others...the hard part for them was struggling with "abuse" by clients..

FCC is isolating, time-consuming, and LOTS OF WORK mentally, physically and emotionally....therefore, when the abuse comes from the clients, providers can be pushed over the edge....

I think all providers reach points where they have to gain control and feel they have a purpose that leads to some controlled stipulations. If you are consistent with what you set up and reap only positive issues with clients, I feel you can make this work....

I just can't imagine going back to that way of dc for myself....My final straw was when the subsidy state office called and basically belittled my program saying I was heartless and, more or less, should not make these parents pay...

I then realized I MUST take control of my program and sought out a support system to set these rules in place....otherwise I would have quit at that point.

After all, I am trying to make a living for my family as well....I have to learn to live off what I make. It was about taking care of me and realizing it was OK to do that.....

Oh well, these are just some thoughts I was brought back to when reading your post... I pray this is a positive venture for you.

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I'm just going to throw this out there before things are final:

Would you consider some sort of sliding fee scale or scholarship program instead of across-the-board "free"?

It'll really goat when people who claim to be low income or need help (without verification) show up a month later with a new I-something, car, manicure, etc. It's not that dc parents shouldn't have those things, but EVERY ONE of us have had parents whine about high daycare costs and then spend their money on luxuries we can't afford.

When people call about rates, you can then honestly say that you have a sliding fee scale, and thereby get them in the door, to meet you in person, before the whole rate thing comes up. Once you have them in the door, you can hook them with your fantasticness.

You can also see the manicure, the nice car, and other signs that they can or can't afford to pay you a few holidays and for sick days.

If that won't work for you, at least heed this little gem:

GET PAID IN ADVANCE OF CARE!

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I think everyone has their own feelings on how they price out their daycare spots. Some charge for sick days, family vacations, etc. I personally wouldn't chose to follow your plan for a few reasons, 1st being tooooo much tracking! I have a hard enough time keeping track of the regular things much less tracking vacation time and sick days. I charge for their spot. They contract for a spot, hours are 7-430 m-f. I have paid vacation for all federal holidays & Black Friday. I have other staff that work for me so I never close for vacation. If they are sick or go on vacation I still get paid. I only have 12 spots in my daycare so I need to be paid whether they come or not. What would you do if 3 families took the same week off for vacation? That would be a big chunk out of your weekly pay. I have friends who are also daycare providers and think I'm crazy for not taking a paid week off every year. They all do with no negative effects from their families. I just don't need to so I don't. I don't think it's right to have them pay me and then have to pay someone else while I'm gone, especially if I don't need to. But we all have our own way of doing things. Good luck in whatever you decide.

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I can't believe that the agency called you to say anything about your program. But from what I've found, the joke is on them. I once had 80% of my clients on the Child Care Assistant Program, and they were all fraudulent. They added dependents that weren't in their household and didn't include their husbands nor their income. So it was the state that was being cheated. I refuse to be cheated, so they had to pay the difference of my fees. I didn't feel bad. I could have reported them, but if the state approves what they put on their applications, then it's money for me. Again, I have never heard of the state calling to tell you what you should or shouldn't be doing in your business.

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The state called me because a dcp went in the office vrying and complaining because she had to pay me out of pocket for days I was closed and one thing led to another...the lady at the subsidy state office thought I was being "unfair" to "needy" clients.....I termed that parent when she walked in that day and she left crying herself because she got "bit"......

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My only advice is once you're up and running and doing this for a considerable amount of time, be prepared to change your policies, rate plan, ideas and overall goals.

I don't run my daycare at all how I did in the beginning and it's because I was taken advantage of too often and realized how much work I was doing for a very small amount of money... which leads to resentment, burnout and all around unhappiness.

Unfortunately having ungrateful, obnoxious, disrespectful parents is one of the only common denominators in this business. Many of us need to work our business plan around these types of people.

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The only problem I can see with this is that IF your parents go elsewhere for childcare at some point, they may think what you do is standard and other providers in your area may be upset. This was a big discussion recently because a provider lowered her rates a LOT to get clients and other providers were mad she was doing that because then people expect them to be that low which the devalues the rate in your whole area. Imagine how your neighbors would feel if you sold your house for $100,000 below market value just to get it sold quickly which in turn lowers the value of everyone's home around you as well.
I understand your approach and believe me, as a young single mom I would have been very appreciative but now on the other end of the deal, I see why this could potentially cause problems.
I like the sliding scale idea, have people submit their income to you and they can qualify for your tiered scale. Maybe someone who has the means to pay you more should and those who don't can get a break. Maybe have a 3 tiered scale based on income and family size.
And I also agree keeping track of all those days off could be difficult.

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My honest opinion is try it & see what happens.

I began my daycare in August 2012 with pay for the spot not the days used, 2 weeks vacation for each family, earlier opening & pay before play.

I quickly realized that wasn't how I wanted to run MY program. It didn't work for ME. I was stressed out, feeling guilty, and wondered why I even decided to do it that way.

March of 2013 I changed to no vacation for families, pay only for the days used, later opening, later closing, 2 week deposit, charging by the day and pay after care has been given.

January of 2014 things are changing again. I'm charging more for hours after 6pm, no deposits, and charging hourly.

I realize this wouldn't work for everybody, but it works for ME. Bottom line, if it works for you, do it. If it doesn't, change it. The families I have now I feel comfortable with charging the way I do. That's not to say I will charge this way forever.

JMO

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I think you should be fine as long as you and parents both know what is expected clearly.
I too was a single parent for a while-and I struggled to pay my own childcare so understand what it's like.
I've been doing childcare out of my home for over 22 years now. I've never charged for times the kids aren't here. I have some parents that voluntarily pay me even if their child is not here-but that's their choice. I've also deeply discounted for people and have even done free for some that I knew desperately needed it. There were a few that tried to take advantage in the beginning-but that was like 15 years ago.
As others have said-what works for YOU is what you should do! I'm glad you're finally getting closer to your opening!

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Agree with above poster.

I model my policies as a middle ground between what most providers in my area have as policies and what I would (and have) expected as a parent from my provider. In addition, I take into consideration in big factors, like I have a lot of teachers in the area so I have specific policies about holding spots through summer, fees for winter/spring breaks, etc.

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