Raised Rates & Now Not Sure It Was The Best Idea????

[rhondawarren]

Okay ... As some of you know I was back and forth on raising my rates because groceries are so expensive. I felt I needed a little more to help cover for the grocery bill.

I was charging $100 for FT and $60 for PT. I had FT -4 days or more and PT- 3 days or less. I provided all meals incl breakfast, AM Snack, Lunch, PM Snack and Drinks. I was offering a discount for the second child of $25. So I was charging $175/Wk full time for two kids.

I then decided I would change it to $125/Wk FT and $75/Wk PT. Full Time being 3 days or more and Part Time being 2 days or less. I took off breakfast and now just provide AM Snack, Lunch, PM Snack and Drinks. I offer 10hrs/day of Child Care for each spot. So from 7:30am to 5:30pm.

But when someone calls and asks about two kids and I tell them $125/Wk per kid they act like thats to high and honestly .... it sounds high. Even though I called around and people are charging that for Unlicensed In Home Care and Licensed Care. But now I am seeing more and more ads in my area for $20 a day for Child Care or $100/Wk for FT.

So now it has me wondering if maybe I should have left my Full Time Rate $100/Wk and then just charged the same rate for the second kid too. So ... $100 for one kid, $200 for two kids and $300 for three kids so on. Then keep the AM Snack, Lunch, PM Snack and drinks at scheduled times. Maybe still offer the ten hour days and keep it as 3 days or more is FT and 2 days or less is PT.

What do you all think??? I dont want to run people off by quoting to much because I could use the money ... I just dont want to do it for free. So I am thinking maybe if I just made those little changes then it would help some????

What are your thoughts????

[SunshineMama]

Okay ... As some of you know I was back and forth on raising my rates because groceries are so expensive. I felt I needed a little more to help cover for the grocery bill.

I was charging $100 for FT and $60 for PT. I had FT -4 days or more and PT- 3 days or less. I provided all meals incl breakfast, AM Snack, Lunch, PM Snack and Drinks. I was offering a discount for the second child of $25. So I was charging $175/Wk full time for two kids.

I then decided I would change it to $125/Wk FT and $75/Wk PT. Full Time being 3 days or more and Part Time being 2 days or less. I took off breakfast and now just provide AM Snack, Lunch, PM Snack and Drinks. I offer 10hrs/day of Child Care for each spot. So from 7:30am to 5:30pm.

But when someone calls and asks about two kids and I tell them $125/Wk per kid they act like thats to high and honestly .... it sounds high. Even though I called around and people are charging that for Unlicensed In Home Care and Licensed Care. But now I am seeing more and more ads in my area for $20 a day for Child Care or $100/Wk for FT.

So now it has me wondering if maybe I should have left my Full Time Rate $100/Wk and then just charged the same rate for the second kid too. So ... $100 for one kid, $200 for two kids and $300 for three kids so on. Then keep the AM Snack, Lunch, PM Snack and drinks at scheduled times. Maybe still offer the ten hour days and keep it as 3 days or more is FT and 2 days or less is PT.

What do you all think??? I dont want to run people off by quoting to much because I could use the money ... I just dont want to do it for free. So I am thinking maybe if I just made those little changes then it would help some????

What are your thoughts????

I am unlicensed in the mid-west and I have some clients who pay $175 per week per child (siblings). I dont think its too high. I serve organic or all natural food (2 snacks and 1 meal), and I buy lots of art supplies and really work hard with the kids. The absolute lowest I charge is $150. $125 a week is not too much- just explain all of your services, and what you offer, and give them a reason to want to pay you that much. I work a little harder probably, for that money, but I need it and if I am going to be working anyway I might as well make the most I can!

Good luck! Stick to your rate increase and just give em a reason to stay

[cheeseheadmama]

If you need to charge $125 then charge $125! Based on your research you are competitive for your area. By charging what you are, you will weed out the parents who put their kid with the lowest bidder and probably end up with families that are easier to work with. Don't over react and doubt yourself so much! Stand tall and stick to your guns.

Also, if parents hear any hint of a question or apology in your voice when you tell them the rates, they will immediately try to talk to into a lower rate. But if you say it with confidence and conviction there is no room for negotiation.

[rhondawarren]

I guess my main concern is that their are now more and more ads in my area for people offering Child Care for $20/day which was my rate. I want to be sure that I can still find families to care for

I think my biggest concern with my old rates was that I offered such a big discount for the second child. So one of those children I would be charging $100 and the other $75 and to me for full time that is NOT enough! Like someone else said ... they arent getting discounted care so why should they get a discounted rate.

So the reason I was questioning my rate increase was that maybe I should have just dropped the second child discount and dropped breakfast which I think would have helped out alot ... I also was watching kids until almost 6:30p which also was way to late ...

[cheeseheadmama]

How long have you been advertising with your new rates? Can you give it a few weeks before making a decision on this? The last thing you need to do is start flip flopping your rates just to get people in the door. There may be a rash of people with $20/day rates right now but they may not last.

To me, you sound like you are starting to panic about never getting a family to sign up for care but you need to take some deep breaths and believe in yourself. I have been where you are with the indecision and being unsure of what you are doing so I can relate. PM me if you want to talk more about it.

[rhondawarren]

How long have you been advertising with your new rates? Can you give it a few weeks before making a decision on this? The last thing you need to do is start flip flopping your rates just to get people in the door. There may be a rash of people with $20/day rates right now but they may not last.

To me, you sound like you are starting to panic about never getting a family to sign up for care but you need to take some deep breaths and believe in yourself. I have been where you are with the indecision and being unsure of what you are doing so I can relate. PM me if you want to talk more about it.

I havent been advertising the new rates long ... maybe a week. But I worried about them to being a little high for this area when I set them. I dunno. My husband also says he thinks they sound a little high. Ive always done $100/Wk. Right now I have two families. One is PT and one is pretty much FT. But I am hoping to replace one of them because of his age (he's an infant). So I am concerned now that I let the other family go but my main reason for letting them go was their bad behaviour not necessarily the rate. They definately were not worth the rate but then again ... Im not sure they would have been worth $500 a day

[cheerfuldom]

you just have to make the final decision and stick by it. You can't give on everything because pretty soon, you will be right back where you were, exhausted and unhappy with the situation. No matter what you charge, people will make you feel that it is too much. News flash....kids are expensive no matter what way you slice it....thats not your problem. You could also offer one rate (with meals included) or another rate (if parents provide food). I know that is annoying for some people but since you only keep a few kids, might be worth offering it to get some new families in the door.

[rhondawarren]

you just have to make the final decision and stick by it. You can't give on everything because pretty soon, you will be right back where you were, exhausted and unhappy with the situation. No matter what you charge, people will make you feel that it is too much. News flash....kids are expensive no matter what way you slice it....thats not your problem. You could also offer one rate (with meals included) or another rate (if parents provide food). I know that is annoying for some people but since you only keep a few kids, might be worth offering it to get some new families in the door.

I will give it some thought People dont realize that in most cases ... we have their kids longer than they do so taking care of them does cost money But some people act like no way when they call. Of course there are people charging less with ads all around mine now on CL. So that makes it tough.

I will think it over some more

But I totally understand what you are saying!

[cheeseheadmama]

Do you post your rates on CL? I wouldn't if I were you. Let them call or email to find out and then you can tell them what those rates include and also start a dialog with the parents. If they are just "rate checkers" they won't bother you again. If they are interested in care with you because of what you offer then you will hear back from them.

The rate with or without food is a good idea. If the parent sends all the food prepped and packed then it means less work and cost for you thus the $100/week rate makes sense.

[rhondawarren]

Do you post your rates on CL? I wouldn't if I were you. Let them call or email to find out and then you can tell them what those rates include and also start a dialog with the parents. If they are just "rate checkers" they won't bother you again. If they are interested in care with you because of what you offer then you will hear back from them.

The rate with or without food is a good idea. If the parent sends all the food prepped and packed then it means less work and cost for you thus the $100/week rate makes sense.

No I never incl my rates on CL. I let them call first. But its when they call and have two kids and Im telling them $125/Kid/Wk that they act like its to high. Which is what my husband said too. He thought it seemed to high.

[EntropyControlSpecialist]

I do not think your rates are high in the least.
Mine are higher than yours.

[cheeseheadmama]

I now feel really grateful for the area I live in. I charge $45/day for part time (anything less than 5 full days) and $200/week for full time per child. And that is still way less than the centers for infant/toddler care. I have never had anyone question my rates or tell me they are too high. I am only allowed 3 kids and I am still able to make a living with that.

I wish you lots of luck!

[rhondawarren]

I now feel really grateful for the area I live in. I charge $45/day for part time (anything less than 5 full days) and $200/week for full time per child. And that is still way less than the centers for infant/toddler care. I have never had anyone question my rates or tell me they are too high. I am only allowed 3 kids and I am still able to make a living with that.

I wish you lots of luck!

I am allowed to keep 5 but, our rates are much lower than alot of places it seems. Which ****s for me Maybe I should move haha!

[Sprouts]

Honestly I don't tell parents the rates over the phone. I tell them I like to discuss rates during the tour because once I have them in here where they can see the environment that their child will be in then they know its worth every penny.

So either don't serve lunch, have parents bring food (boooo) and charge less, or just get them in first before giving your rates out

[EntropyControlSpecialist]

I am allowed to keep 5 but, our rates are much lower than alot of places it seems. Which ****s for me Maybe I should move haha!

5? Are you licensed, or is that based on the age?