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Daycare Center and Family Home Forum>Opinion About Rate Increases
sahm1225 04:39 PM 08-12-2019
Im increasing rates for the fall. I’ve never increased rates for current families just new families as they were enrolling. Do I explain why I’m increasing rates besides saying increased cost of living? Our minimum wage has drastically increased and in order for me to have good employees, I have to pay way more. I either increase rates or downsize.
Do I just say due to cost of living increased and that my last rate increase was in 2014? Or say in order to continue with a quality program, costs have gone up, etc.?
Do I just say due to cost of living increased and that my last rate increase was in 2014? Or say in order to continue with a quality program, costs have gone up, etc.?
Leigh 04:54 PM 08-12-2019
You don't owe anyone an explaination. You're not asking your boss for a raise-you are raising the rates that you charge for your services. They can take it or leave it.
springv 04:55 PM 08-12-2019
I would tell them that due to the increase in minimum wages and the economy in general that you must increase your prices to reflect the increase
Cat Herder 05:21 AM 08-13-2019
Every time they raise the minimum wage, we must increase our rates to meet our bills which also go up. Inflation.
Politicians use wage increases to buy votes, knowing they don't really help.
Everyone knows it, your clients should be expecting it, so not really surprised by it. 
During my last big rate increase, I just told them the truth. My grocery, power, insurance, land tax and utilities all went up with the rising minimum wage. If they wanted me to stay open and reliable, they'd have to pay more.
Not because I owed them an explanation, but because it was a great teachable moment. My clients are younger than me and many had not experienced this "phenomenon" before. It was well-received, I hope I created some voters, too. 29% turnout locally last year was pathetic.
Politicians use wage increases to buy votes, knowing they don't really help.
Everyone knows it, your clients should be expecting it, so not really surprised by it. During my last big rate increase, I just told them the truth. My grocery, power, insurance, land tax and utilities all went up with the rising minimum wage. If they wanted me to stay open and reliable, they'd have to pay more.
Not because I owed them an explanation, but because it was a great teachable moment. My clients are younger than me and many had not experienced this "phenomenon" before. It was well-received, I hope I created some voters, too. 29% turnout locally last year was pathetic.
Baby Beluga 08:00 AM 08-13-2019
Originally Posted by Cat Herder:
Every time they raise the minimum wage, we must increase our rates to meet our bills which also go up. Inflation.
Politicians use wage increases to buy votes, knowing they don't really help. Everyone knows it, your clients should be expecting it, so not really surprised by it.
During my last big rate increase, I just told them the truth. My grocery, power, insurance, land tax and utilities all went up with the rising minimum wage. If they wanted me to stay open and reliable, they'd have to pay more. Not because I owed them an explanation, but because it was a great teachable moment. My clients are younger than me and many had not experienced this "phenomenon" before. It was well-received, I hope I created some voters, too. 29% turnout locally last year was pathetic.
A bit of a tangent, but it confuses me why more people don't understand this. Here minimum wage is currently $11/hour. 2020, it goes up to $12/hour. Every time they raise the minimum wage, we must increase our rates to meet our bills which also go up. Inflation.
Politicians use wage increases to buy votes, knowing they don't really help.
Everyone knows it, your clients should be expecting it, so not really surprised by it. During my last big rate increase, I just told them the truth. My grocery, power, insurance, land tax and utilities all went up with the rising minimum wage. If they wanted me to stay open and reliable, they'd have to pay more.
Not because I owed them an explanation, but because it was a great teachable moment. My clients are younger than me and many had not experienced this "phenomenon" before. It was well-received, I hope I created some voters, too. 29% turnout locally last year was pathetic.We've seen huge increases in pricing. Apples are over $2/lb. Celery and lettuce is almost $2/bunch. These things used to be $.99 last year.
McDonald's "value" meal is now $8 - $9.
I have to increase rates just to feed these kids. Otherwise, they'd be eating ramen and hot dogs all day. NOT something I am okay with.
We have a private water company, just to get water to the house it's $60 in fees. Just FEES. 2 months ago they increased our per gallon usage price so they could subsidize the cost of water in another community 30 minutes from here. My water bill, is $200+ a month and that is with conservative water usage.
sahm1225 08:21 AM 08-13-2019
Originally Posted by Baby Beluga:
A bit of a tangent, but it confuses me why more people don't understand this. Here minimum wage is currently $11/hour. 2020, it goes up to $12/hour.
We've seen huge increases in pricing. Apples are over $2/lb. Celery and lettuce is almost $2/bunch. These things used to be $.99 last year.
McDonald's "value" meal is now $8 - $9.
I have to increase rates just to feed these kids. Otherwise, they'd be eating ramen and hot dogs all day. NOT something I am okay with.
We have a private water company, just to get water to the house it's $60 in fees. Just FEES. 2 months ago they increased our per gallon usage price so they could subsidize the cost of water in another community 30 minutes from here. My water bill, is $200+ a month and that is with conservative water usage.
Tell me about it! Our minimum is now $13/hour. McDonald’s for my family Of 5 is about $40 and that’s buying just food and no drinks. Im my área, centers have almost doubled their rates in the past 5 years.A bit of a tangent, but it confuses me why more people don't understand this. Here minimum wage is currently $11/hour. 2020, it goes up to $12/hour.
We've seen huge increases in pricing. Apples are over $2/lb. Celery and lettuce is almost $2/bunch. These things used to be $.99 last year.
McDonald's "value" meal is now $8 - $9.
I have to increase rates just to feed these kids. Otherwise, they'd be eating ramen and hot dogs all day. NOT something I am okay with.
We have a private water company, just to get water to the house it's $60 in fees. Just FEES. 2 months ago they increased our per gallon usage price so they could subsidize the cost of water in another community 30 minutes from here. My water bill, is $200+ a month and that is with conservative water usage.
AmyKidsCo 01:35 PM 08-13-2019
I tell parents it's because I've gained another year of experience plus ___ additional hours of continuing education. Most jobs increase pay/benefits with experience and education.
Ariana 06:00 AM 08-14-2019
Originally Posted by Baby Beluga:
A bit of a tangent, but it confuses me why more people don't understand this. Here minimum wage is currently $11/hour. 2020, it goes up to $12/hour.
We've seen huge increases in pricing. Apples are over $2/lb. Celery and lettuce is almost $2/bunch. These things used to be $.99 last year.
McDonald's "value" meal is now $8 - $9.
I have to increase rates just to feed these kids. Otherwise, they'd be eating ramen and hot dogs all day. NOT something I am okay with.
We have a private water company, just to get water to the house it's $60 in fees. Just FEES. 2 months ago they increased our per gallon usage price so they could subsidize the cost of water in another community 30 minutes from here. My water bill, is $200+ a month and that is with conservative water usage.
Because in Utopia, a world that doesn’t exist but people claim exists, CEO’s will forgo their paycheck to offset the costs rather than passing the cost onto customers. A bit of a tangent, but it confuses me why more people don't understand this. Here minimum wage is currently $11/hour. 2020, it goes up to $12/hour.
We've seen huge increases in pricing. Apples are over $2/lb. Celery and lettuce is almost $2/bunch. These things used to be $.99 last year.
McDonald's "value" meal is now $8 - $9.
I have to increase rates just to feed these kids. Otherwise, they'd be eating ramen and hot dogs all day. NOT something I am okay with.
We have a private water company, just to get water to the house it's $60 in fees. Just FEES. 2 months ago they increased our per gallon usage price so they could subsidize the cost of water in another community 30 minutes from here. My water bill, is $200+ a month and that is with conservative water usage.
Our water bill is now equalized so no matter how much water is used your bill is the same. Zero incentive to conserve. Unionized jobs are destroying the economy.
Annalee 06:56 AM 08-14-2019
Generally, I don't offer an explanation. I have also raised for incoming enrollees and gradually weed out. Or I have raised for incoming enrollees throughout the year and raised for ALL in Jan 1. Just some ideas. Whatever mood I'm in I guess