I am struggling with my rates because after buying groceries for a few weeks of providing care with all meals breakfast, AM Snack, Lunch and PM Snack I see how much the food is actually costing me. So I am thinking I should charge a little more simply because of that.

Right now my rates are:

Full Time is 4 days or more/wk and its $100/Wk for the first child and $75/wk for each additional child.

Part time - 3 days or less/wk and its $60/Wk for the first child and $50/Wk for each additional child.

I REALLY think I need to increase this in order to make it worth my time babysitting. So I am wondering if I shouldnt charge the below rates instead:

FT 4 days or more/wk - $125/Wk for 1st child and $100/Wk each additional child
PT 3 days or less/wk - $75/Wk for 1st child and $50/Wk for each additional child

What do you all think??? I am seriously considering the rate increase because I do cook them good meals and I provide four meals/snacks per day and drinks.

Let me know what you all think ... I could really use the input!

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Dang! Those are very low rates IMO. I charge $125 a week and they provide the food for their kids.

I wouldn't give a sibling discount. Just because they are a sibling, doesn't mean they eat less or require less attention etc...

Good luck You can do it!

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Oh my...very low rates, although I'm sure we're not in the same area of the country. I would definitely increase my rates and although I like to give a sibling discount, surely not as much of one.

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Thanks so much for the input. I really want to make it worth my time. I dont want to babysit to feed the babysitting kids and make nothing else lol

I am going to seriously consider this!

What about Part Time rates or do you even offer Part Time? I know some people dont even offer part time at all.

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Great! Thanks! I will definately be looking into doing some rate increases now.

If I did offer sibling discount ... what do you think maybe a $10 a week discount?

It takes alot to provide good meals and groceries are expensive. Not to mentian toilet paper, hand soap - which I go through like crazy!

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Increase your rate/Cut out one of the snacks/No sibling discount.

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Its hard to say without knowing what area you are in. If you would like to say what state your in, there might be someone in the same state on the forums that could help you. Although, according to my other feed I started, there is proving to be lots of fluxations in the same states.


I may get "rotten tomatoed" for this one. But you could call around to daycare in your area and ask them their FT rate. *ducks and covers* Come on all, you know you have posed as a prospective parent to find out rates at one time or another! I have no shame!

Lots of providers have websites with their rates listed. Maybe you could check with a few in your area that seem like they run the same type of program you do.

I set my part time rate to be right around 75% of my full time rate.

Personally I think $100 is low, but I can only compare to my area. Especially if you are providing food.

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I was going to say in my other post about part-timers but didnt want to go off onto too much of tangent. In my old age I have a tendancy to have the "shiny penny" syndrome.

Anyway,

I do part time care, but over the years alot of my annoyances seemed to come from Part-timers. Not always, but they want to change hours frequently, add a day, change a day, add an hour, and so on. I have 2 part timers that I have never had any problems with in the 3 years they have been here, so I am not going to term them. But I dont offer part time care to new clients. Except on a temporary/drop in basis and its usually only to fill a spot of a child sick or on vacation or the opposite hours of my permanent P/Timers.

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I have learned over the yrs. part-time care is not worth it in my book. They take up a fulltime spot, unless you can fill another family in on the days off.
I charge more for Part-time that I do fulltime. I charge $35.00 per day, with a min. of 3 days. Fulltime is $140.00/week- I do give a $10.00 discount for a sibling. I used to give more of a sibling break as well. I have not had any part-time for yrs. and I don't really think I will be taking them any longer. I have daycare friends, that are so mad, over part-timers, changing hrs. extending hrs. extending days, changing days. They both are going to fulltime only next yr. as well.

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IMO 3 or more days is considered Full-time care. I would consider this. Don't sell yourself short

I give a hefty sibling discount for my current families & will NEVER do it again. I lose $75/week or $3900 per year by doing this.

Good Luck!

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I was giving a larger discount as well, until I added it up over the year. Here is what I calculated....

$10/week x 50 weeks per year (I don't charge for my 2 week vaca) = $500
$5/week x 50 weeks per year = $250

Those are large discounts when you think about it. You may calculate yours differently but I went with the $5/week.

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Why do you feel that you HAVE to give a sibling discount? Siblings do not receive discounted care so why do they get discounted rates?

I understand if sibling discounts are the norm in your area but I have always been one to go against norm

I think siblings, like SA kids, are more work so they should be charged more but since we can't do that, I simply do not offer any type of discount.

Nan also has a great practice of making the families of sibling sets have to give 2 weeks notice PER CHILD when leaving care too because siblings leave multiple spaces open when they leave.

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I agree with Blackcat....You don't have too, it's just something I like to do. If I can't afford it, it will be the first thing to go. I like Nan's idea of the two weeks notice per child. Families with multiples take a HUGE chunk of your business when they go.

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Depending on when children are arriving, have them eat breakfast at home and only offer a morning snack, lunch and afternoon snack.

OR

Serve breakfast 2.5 to 3 hours before lunch and eliminate the morning snack all together. (This is what I do. Breakfast is between 8am and 830am. Lunch is at 11am.)

A few other ideas include:

Only make enough to feed the kids (no leftovers as they tend to get thrown away anyway.) Or make extra and freeze it so you have it ready for next time.

Make spaghetti Monday night for your family and for lunch Tuesday is spaghetti. It's already made, alls you have to do is nuke it.

I also started buying in bulk and this has made a significant difference in my food bill. I also go do discount food stores like Save-A-Lot and Aldi to get canned fruits, veggies, and spaghetti sauce. I also tend to buy fresh veggies there too. (Their fruit usually is overpriced, bruised or the bananas are greener than the leaves on trees!)

There is a way to make a profit. First you need to raise your rates. Then you need to stay out of big chain grocery stores like HyVee, Dahls, Kroger, Albertsons, etc. Buy what you need and take a calculator with you! If it's cheaper to buy a 15oz container of cottage cheese than it is to buy an 8 oz container (even though you really need the 8 oz, buy the 15oz and cottage cheese will be a breakfast on Monday with fruit and it will be a snack on Thursday with cheese cubes.

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I just called around my area this is what most said:

For a 2-3 year old: $118 - $135/Wk
4 year old and up ranged $110 - $117/Wk

So .... I was thinking maybe about charging:

Full Time:
2-3 year old FT - $120/wk for first child and $115/wk for each additional child.
4 year old & Up FT-$115/Wk for first child & $110/Wk for each additional child.


Part Time:
2-3 year old - $90 first child and $85/wk additional children
4 and up - $80 first child and then $75/wk for additional children


I provide breakfast, AM Snack, Lunch and PM Snack & Drinks still.

So does that sound ok???

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I have done away with breakfast about 4 yrs. ago. I was never getting around to it til around 8:45 anyways. I having to get my own children ready for school, fed, dressed, and all the families coming in between 7:30 and 7:45 am, there just wasn't anytime to do it. Now I have am snack around 9:00-9:30 and dinner at 11:00. I cut back on items as well. If we make something for supper, spaghetti, lasagna, chicken, etc.. etc.. I will make extra just for daycare the next day or for 2 days that week. When we grill out I aways make alot of extras, so we can have it as leftovers, and for daycare the next day. It really saves on groceries, etc...

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Are you on the food program?

I think your rates sound better then the first ones you had but you need to add something about absences too. How many do you allow each family to take without paying?

I charge a weely flat rate and allow for unpaid absent days according to how many days per week they attend. Some of my families who only come 3 days a week don't get any unpaid absent days.

Your "first child" rate should also always be attached to the youngest child or parents will assume that as soon as oldest one ages out of daycare the younger kid discount will now be your new rate. Know what I mean?

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Better!

I dont want to discourage you, but is there a reason why you are seperating 4 year olds from 2 & 3 year olds? In my experience they are more work! and they are typically more temporary because you know they will be going to kindergarten soon. I charge the same for all ages (except infants, I can only have 2 and they are in high demand so I can demand a higher price)

What time do you do all your meals?

I do mine like this

Breakfast 8:00-8:30
Lunch 11:30-12:00
Snack 3-3:30

Any extra meals in between those and I end up tossing food.

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What are your hours? Is there a reason why you have to serve breakfast at all? Unless kids are coming at some crazy hour, I think parents should just get up a few minutes earlier and do breakfast themselves. My kids get here beginning at 7:30 and I dont serve breakfast.

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Ok just a few things you should consider:
- I have found that kids dont really need an am snack so after a while I cut it out. If they did need something then give them a handful of cheerios. (pretty inexpensive)
-Your rates seem very low. I would definately raise them.
- Consider this idea: I know a provider who makes a list up each week adn then divides it up between her clients. That way she isnt bearing all the expence. She says it works great and very little grief from the clients.
- Heres another idea: you could have the parents pack there child's lunch and you could send a note out saying something like:
In Leu (sp?) of raising my rates as of ____ insert date parents are required to
pack there child's lunch. If I have to provide lunch there will be a $___ fee to cover the expence. And have them sign it ofcourse.
- I know another provider that simply does not offer breakfast at all and the parents know this going it.
I think a lot of the whole rates issue depends on where you live. Where I live I charge 165 a week for one child (ft) 4-5 days a week, 35 a day (pt) 1-3 days a week. I offer brk, lunch, and pm snack.
These are just ideas, food for thought really!
- I would really watch your local stores for sales and deals on foods as well.
A lot of daycares around here arent offering meals anymore becasue of the cost of things. I would love to know what you decide.
Debbie

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My daycare children do not start coming til 7:30am. There is plenty of time for parents to feed them breakfast at home.

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I just do a flat weekly rate. If they don't come because of illness or by choice they still pay. Even if they have a short day. I don't charge if I'm sick or my kids are sick and I have to close etc...

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No I am not on the food program. So I pay for all food out of my pocket. Thats why I felt like I needed to really increase my rates atleast a little.

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In my county subsidy will only pay $90 a week for a 3 yr old. That is for a 5 star home, but centers get $120 a week for a 3 star and $130 a week for a 5 star.
seems unfair.

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As for the difference in pricing. When I called the local day cares in my area they charge a little more for 2-3 year olds I believe because of the whole potty training thing. So I was trying to keep my rates close to what other Day Cares were charging. Ya know??

Mine is:

Breakfast at 8:30am
AM Snack: 10:30am
Lunch: 12:30p
PM Snack: 3:30p

I serve breakfast because my kids are home schooled so when they get up in the morning then they need to eat. Well ... the kids that are here also want to eat whether they have eaten or not. So I just felt like I should serve them breakfast too. Didnt want to feed my own kids and not them

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Thanks for the ideas Debbie

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Okay let me ask you all this ...

I am unlicensed and provide Child Care in my home. As I previously mentianed that I called around to the Day Cares to see what their pricing was because I felt that my rates were to low. Well ... With me not being licensed and not knowing really what other unlicensed sitters charge should I even consider raising my rates since I am not a licensed Day Care? Or should that matter????

My husband seemed to think that the rates where to high that I chose. But the reality is ... Im spending ALOT in groceries and I want to be sure that I am making enough to make it worth it.

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I am legally unlicensed and prefer to keep things small; I do charge less than the centers in my area, but not by much. Keep in mind that the center rates you have include a larger ratio for providers to kids, so I "spin" it with parents by telling them that the kids will get more one-on-one attention with me for the same money.

Your rates a much lower than my area, but you have to go with what your area can tolerate while still being able to afford groceries. Have you tried checking the local craigslist and seeing if you can find other rates for in-home care on there? If nothing else, I think the idea of having the parents provide lunch while you provide the snacks might work.

Good luck!

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Can you not get licensed or do you have reasons not to? The food program is an amazing help financially. You still get the same tax deduction so that doesn't change.

Second, I suggest charging the same across the board because you probably won't enjoy getting a pay cut when they age out of the younger rate. Also like others suggested, I would charge full time rates for 3 days or more and make your full time rates very close to the full time price since they are really taking up a full time spot anyway. I charge 120 for pt and 130 for full time.

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Wow! I charge almost $200.00 for infants, $165.00 for for toddlers, and about $145.00 for 3 through 5 years. I am also on the food program and I serve breakfast, lunch, and afternoon snack.

I would:

1. Drop the morning snack unless it's for under two's.
2. Get on the food program if you're not already.
3. Raise your rates by $20.00 per week.
4. Give 10% off the oldest child.

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I actually believe most parents prefer the smaller number of kids going to be under my care vs sending them to a Day Care and being tossed in with a bunch of kids. Atleast that is the feedback that I have gotten from the parents that I have spoken with.

I am going to take a good look at the rates quotes I got vs what I am currently charging and try to come up with something.

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Wow, I wish I could charge that much

What all is involved with getting on the food program? Is that becoming registered??

10% off of the oldest child - I like how you put that. That sounds like a good idea!

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I have gotten that feeling as well. Many people are willing to pay for the small ratio with an in-home environment. Lots of pluses, especially with an infant or toddler.

When I was paying for center care several years ago, the rates in this area were $250 for an infant, $225 for toddler and $200 for older kids and that was based solely on the number of kids that each adult could watch. More kids = less pay per kid. We were in one of the more expensive daycares in the area, but "only the best" for our child was what we thought. My 2 year old was in a class with 7 other 2 year olds and we paid $225 a week. Then rates went up drastically and we were paying $240 each week! Once I found out I was pregnant with our second child I realized there was no way we could afford to pay $500+ per week for childcare. That was more than my mortgage, property taxes and vehicle payments combined!

When I opened my own daycare, I decided to charge $200 per week for full time no matter the age to keep it simple. I have never had anyone complain about the rates being too high, except the family that I started with and they got really used to me being over-accommodating. Part-time rates are considerably higher and right now I have all part time kids. Go figure.

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Okay so I done some further investigating in my area. I figured I should also check to see what other unlicensed sitters are charging as well so I am not just going off of Day Care rates when making my decision to increase my rates.

So far for just sitters not day cares these are the replies I have gotten:
((I emailed other sitters on craigslist - I know shame on me but ... I needed to see what my competition is charging so I know where to set my rates))

$130/wk per child
$260/Wk for two

$100/Wk each
$200/for both

$150/Wk child
but since I would be enrolling two then they'd give me a weekly rate of $125/each for a total of $250/Wkly rate

This one I really liked ....

She charges $3.00/Hr with a $100/Wk per child minimum. So for her to keep "my two children" from 8am to 5pm the rate would be $270/Wk.
I kind of liked this idea because ... it elminates the parents that think well I can drop them off as many hours as I want during those days since I have a flat rate so here just keep my kid 10, 11, 12 hours They may think twice if there is an hourly fee after the min rate Great idea! ^5 to her

So as you can see ....

My full time rate of $100/Wk for the first child and $75/Wk for each additional child and me providing all food is just to low! Im not making enough to make it worth it this way.

Just thought Id share my results of my investigation today lol

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Mrs B, I have never called around for prices.


I had my granddaughter do it for me. (no smiley faces on quick reply so just imagine the big grinning one here.) And by the way, she called 3 and only one would give her any information. ;-)

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I want to throw in some info here. It isn't really relevant to your question, but since you are new, it's info you might find useful. I wish someone had told me when I started.

Learn about you income tax rules. They are completely 100% different for day cares. We get tax breaks that other home businesses don't get. It is vital that you know these--because few tax preparers know them. Mine is a CPA and she didn't know.

Keep detailed records of the hours kids are in your care each day.

Keep detailed records of the time you spend doing day care things in your house (cleaning, laundry, etc) after the kids are gone. Even some forum time counts.

Keep detailed records of the meals you feed. If Billy eats breakfast, lunch, 2 snacks, mark it on an attendance/meal sheet. At tax time, you get meal deductions--I think this year is was 66¢ per snack and $1.53 or something for lunch. But, in case of audit, you have to be able to prove what days you had kids and who ate what meal.

Learn about your time/space ratio. It will save you a bundle at tax time. Go to the taxes forum here and read backwards through the posts. Tom Copeland is our resident tax expert. He specializes in day care tax law and there isn't much about it that he doesn't know. Get his books if you can. Read his blog...http://www.tomcopelandblog.com. Go back through old blog posts. I'm serious. I didn't know this stuff until months after I started, and because I've owned businesses all of my life, I am compulsive about recording stuff and saving receipts. I was lucky in that because I could re-create almost everything. For example, did you know that you can deduct a portion of the paper towels you buy, even if you use them for your family too? Tom's books explain that.

I'm sure others can add things that would be helpful.

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I live in an area that charges anywhere from $600.00 to $1,100.00 for infants. It really is a lot of money, but having the staff to accomodate the wee ones is very expensive.

Yes. You always give your discount to the eldest child because they (usually) have a lower rate.

I would google USDA Food Program in your city to get more info on how to sign up. It's a GREAT deal.

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On the flip side, if the child is sick, on vacation, grandparents in town, etc. - you will NOT get paid. Flat rate works great because you get paid whether they show or don't show.

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I definately see the benefit of this. If you like this style check out nannyde's rate scale. The rate is based on their scheduled go pick up time. So the sooner your pick up the lower the weekly rate.

Let me go find the link! *cue elevetor music* .........

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https://www.daycare.com/forum/showth...light=overtime

https://www.daycare.com/nannyde/qual...ntity-time.htm

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Right now all my kids come from about 8am to 6:30p. I offer breakfast because my children are homeschooled and they get up at different times. When my kids eat ... the babysitting kids want to eat. So I just ended up serving breakfast too. If that makes sense ...

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Thanks! I will check this out! My only problem is ... I have my parents pay in advance. So they pay for the week ahead of time. Therefore ... figuring out what they owe would have to be paid on the next week I guess ...

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Almost ALL providers are pay in advance. You figure out the parents bill by working from the schedule they give. If they say they are coming every day from 8-6:30 then you bill for those hours/days and if the parents come at 7:00 for pick-up, you attach a late fee as they were suppose to be there at 6:30.

If the parents don't drop off until 9:00 but were scheduled to be there at 8:00, they are still charged for that hour (from 8-9) because they were scheduled, you were up and ready to care for them and if they choose to be late, that is their problem not yours.

The trick is to get your parents to give you a SET schedule that tells you the exact hours they need each day and how many days per week. That is the time they are pre-buying. If they choose to not use all the time they paid for, that is tough. If they use MORE time than they paid for, you charge a late fee.

It is rather simple once you figure it all out.

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Makes perfect sense! So lets say I charg them for their hours they choose in advance. Then they actually stay later and I want to charge by the hour adter their scheduled time, then would I just have them pay the overage that they owe for the week before that next week when they are paying for the next week in advance.

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Late fees are due at the time of pick up. So let's say a family is 15 minutes late. I charge $1 per minute after their scheduled pick up time so I would have them pay $15 in cash when they pick up. I don't just let them be late though with no notice. If they have traffic problems, I expect them to call and let me know.

Sometimes I need to be somewhere and I cannot allow them to be late so they will have to make alternate arrangements for someone else to pick up but otherwise they pay ALL late fees each at pick up.

Don't just let them be late 3 days in one week and simply add the late fees to the next billing....that allows for them to take advantage of you and that is just rude and disrespectful.

My parents all give me a written schedule with payment on Fridays for the upcoming week. So today I will be collecting times and days along with payment from all my parents. If they don't pay today and want to do it Monday, they have a late fee added on Monday because payments are all due on Fridays. I also do not EVER let a parent drop off on Monday morning and say they will pay at pick up time. NEVER ever provide care without payment in full.

So if a family is late on Tuesday, don't let them just pay their late at the end of week. The late fee for Tuesday should be paid on Tuesday at pick up time and the regular bill should be due on whatever day you normally have it due.

Does that make sense? (Didn't realize I wrote so much...LOL!!)

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