Late Fees/Raising Rates

[Kiki]

Normally I just poke about these forums, but I have some questions today!
Long story short, we recently moved into a much larger home so I could move forward with all of my state licensing for Utah. Since we have moved, I have one person that is late on their payment EVERY single time. I'm a HUGE wuss, and just can't seem to bring myself to tell her that the handbook clearly states there is a late fee on any payment that is late without notice/approval. How the heck do I inform them of this without coming off as a complete jerk? Maybe a generic notice to all parents/on the info board at the entryway so they don't feel like I'm poking at them with a stick?

Also:
I'm looking to increase my rates that parents currently pay me.
-I wont tell you my rates, unless you really, really have to know them to give input, all of you would probably fall out of your chairs in shock at how LITTLE I charge. (Husband tells me all of the time I am giving it away for free!) I'm just not really sure on how to go about this, or if it's a move that's even worth making.

Thoughts?

[familyschoolcare]

I decied when I started daycare that each familys cost would not go up more than %10 each year. Since I run a school aged program I raise my rates

when new contracts come out at the end of the school year. My sujjestion to you is to look at what the going rate for your area is and then decided

how much to charge "new" families. (maybe review this often, I will be doin it yearly) Then raise curent family once a year untill they reach the "curent" rate.

[Blackcat31]

Normally I just poke about these forums, but I have some questions today!
Long story short, we recently moved into a much larger home so I could move forward with all of my state licensing for Utah. Since we have moved, I have one person that is late on their payment EVERY single time. I'm a HUGE wuss, and just can't seem to bring myself to tell her that the handbook clearly states there is a late fee on any payment that is late without notice/approval. How the heck do I inform them of this without coming off as a complete jerk? Maybe a generic notice to all parents/on the info board at the entryway so they don't feel like I'm poking at them with a stick?

Also:
I'm looking to increase my rates that parents currently pay me.
-I wont tell you my rates, unless you really, really have to know them to give input, all of you would probably fall out of your chairs in shock at how LITTLE I charge. (Husband tells me all of the time I am giving it away for free!) I'm just not really sure on how to go about this, or if it's a move that's even worth making.

Thoughts?

Why not just copy the page out of your handbook that states what the late fees are and attach that to the bill (with the late fees added) and give that to the parents. That way you don't have to actually say anything to them.

Although, I honestly believe that things will continue being an issue unless you do address them face to face, I get that sometimes, it is hard and some people jsut can't do it.

As far as rasing your rates, do the same. Write up a quick note to the parents stating that your rates will now be $xx.xx per hour/day/week or however you charge beginning on such and such a date. Include a sheet where the parents can sign off that they received the new rate info and agree to it and have them return the signed sheet.

Good luck! Raising your rates is always scary but in most cases, parents will agree and continue on with you. Plus, if you are raising your rates to be more in line with what others cahrge in your area, most of your parents will be completely understanding if they call around and see that you are within the normal range.

[Christian Mother]

How long have you been caring for your kiddos? I ask bc it's standard to increase once a yr so if you haven't already then the parents won't be too surprised unless they are new to the daycare and it's their first child.

For late fees on paying late. Nip it in the bud...it's time to grow your backbone and address it. I promise you'll feel better about it when it's been addressed. I would start by asking for the payment when it's due...do you ask for it on Mond's or Fri's? Then if they their sorry they forgot it that day they will bring it the next tell them ok but...per my contract I charge XX fee. So each day you are late you will be charged xx. If they ask well, you've never charged me before you can say I do try to be flexible as much as I can however this is a regular assurance that needs to stop and I'm putting a end to it right now. Tell them they signed the contract agreeing in the beginning that payment and payday is not an issue. They exspect you to be there for them and be reliable how wld they feel if they tried dropping off but you where not there...they are expecting to drop off with out paying and you are exspected to just except that. Take control back and let them know you will no longer except those arrangements as if payment is not brought at the time you both have agreed on then the child will not be excepted into care or there will be a late fee attached...which would they prefer?

::

[Kiki]

I've had all of my kids for well over a year, I'll probably cushion the blow of the rate raise with an advance notice for parents that will give them time to adjust. Also, if they really are that irritated by it, they can like you said, call around and get other rates. I think that once parents actually call around for rates around the area, they will realize just how little they are paying for great child care for their children! (Hopefully!)

On the late fee, I actually decided last night that I'm going to address the concern with the mom when she comes tonight. Sadly, I think one of the biggest things that my parents forget sometimes, is that I do this as a business, and that my house isn't just somewhere their kids hang around at during the day... Might be the family just needs a good reminder that I do this for a living, not for the fun of it! *Crosses fingers*

Thanks for the input!

[Meeko]

Welcome fellow Utahn!!!!! had to smile at your comment on charging low rates! We don't get much here in Utah do we??!!

I get this look on my face when I see how much money providers get in other states!!!

[Meeko]

I don't give away my exact location for privacy reasons...but I am in the provo/orem area...how about you?

Welcome to the forum!

[Kiki]

Welcome fellow Utahn!!!!! had to smile at your comment on charging low rates! We don't get much here in Utah do we??!!

I get his look on my face when I see how much money providers get in other states!!!

That about sums up my face all of last night while I was researching rates hahaha.

And I'm in the Kaysville/Farmington area, right on the border of both cities.

[Meeko]

I am assuming that you have up to 4 kids in your care.

Maybe you could send a general letter to all the parents stating that you are revamping and will be enforcing your rules for the good of all and that therefore.........and then state reminders. The "bad" parent won't feel singled out and yet will get the message??

[Kiki]

Yes, I'm at the four, that actually sounds like a better idea. Hopefully either way, the parent doesn't freak out.