How would Contracted Hours look for a Center?

[Hunni Bee]

I suggested to my director that we switch to contracted hours because kids are being left there entirely too long, and we're getting duped out of a lot of money, because our rates are based on 8.5 hours of care.

most of our families are subsidy, so there on contracted hours so to speak anyway. It's the self-pay folk we're having issue with. We said 9 hours max, including commute.

The other recourse is to raise rates to accommodate open hours.

Are we shooting ourselves in the foot? I know a lot of people choose.centers because of their open hours, but it's getting out of.hand.

[mac60]

While I understand why you want to do it and I think it is a good idea. I do not think that 9 hours is a typical day for many. If someone works 8 hours, 1 hour lunch, and then commute time, I can easily see where there day can be 9 1/2 hours per day minimum. I know when my kids went to a center, they were there 10 hours...6 to 4 each day. We worked 20 miles away, I worked 8.5 hours per day as a supervisor and had a 1/2 lunch break not paid, so between 8.5 hours working, 1/2 lunch, and hour commute time, our days were easily 10 hours.

I think it is a good idea, but think each situation will be different.

[Kaddidle Care]

We had a set rate for Full Time which is 7:30-5:30. They can come and go any time within that time frame.

We also have daily rates and hourly rates.

What time does your Center Open and Close?

[Hunni Bee]

We are open 6:30a to 6p. We have kids who get here at 6:45 and stay til 6 on the dot.

So you ladies are saying that maybe a 10 hour cap is better, or no cap?

[CheekyChick]

10 hours is a standard day for many working parents. I would charge an extra fee for anything over 10 hours. I would also open at 7:00 a.m. if that's possible.

[Solandia]

I personally(home daycare) do a 10hr day with open hours (7:30a-5:30p). I am willing to do extended before and after care on a contract basis---meaning preapproved & prepaid, no refunds! It is simply AMAZING how the "I HAVE to drop off at 7am is not really necessary when there is an additional fee attached to it.

[Blackcat31]

We are open 6:30a to 6p. We have kids who get here at 6:45 and stay til 6 on the dot.

So you ladies are saying that maybe a 10 hour cap is better, or no cap?

I am assumming your center charges by the day?

I would charge a daily rate of $25 (just an example) for a 9 hour day and then charge $30 for a 10 hour day and continue to add $5 to the daily rate up until 12 hours.....kwim?

Or even better, charge a daily rate, NOT based on hours of care but time of pick up. $25 per day for 2:00 pick up, $30 for a 3:00 pick up, $35 for a 4:00 pick up etc etc.

That way, if a parent chooses to leave their child ALL day, they are paying a bit of "over time" for it....and on the plus side, parents CAN control how expensive or inexpensive their rate is by adjusting their pick up times to an earlier time to save money. (you would be AMAZED at what arrangements parents can come up with when they figure out they CAN save money)

I am sure most your clients are using the entire day because "they paid for it so they want to get their money's worth". Using a graduated rate scale can help squash this type of thinking for parents.

[Crazy8]

depends on your area and your daycare really. If there is a center on every corner and nothing that separates you from the rest yes, I think you'd be shooting yourself in the foot. Plain and simple, there are parents out there who work a 9+ hour day. Some get by with one parent dropping off, other one picking up but that doesn't always work. I just don't see getting wrapped up in who is doing it because they work and who isn't. I could see setting rates to accommodate different hours though.

[Hunni Bee]

I am assumming your center charges by the day?

I would charge a daily rate of $25 (just an example) for a 9 hour day and then charge $30 for a 10 hour day and continue to add $5 to the daily rate up until 12 hours.....kwim?

Or even better, charge a daily rate, NOT based on hours of care but time of pick up. $25 per day for 2:00 pick up, $30 for a 3:00 pick up, $35 for a 4:00 pick up etc etc.

That way, if a parent chooses to leave their child ALL day, they are paying a bit of "over time" for it....and on the plus side, parents CAN control how expensive or inexpensive their rate is by adjusting their pick up times to an earlier time to save money. (you would be AMAZED at what arrangements parents can come up with when they figure out they CAN save money)

I am sure most your clients are using the entire day because "they paid for it so they want to get their money's worth". Using a graduated rate scale can help squash this type of thinking for parents.

we mostly charge by week, unless they come 4 or less days a week in which case it's $25 a day.

I like your first idea about adding $5 per additional hour. I was thinking about the Nannyde style pricing, but I doubt the director would agree to that.

[Blackcat31]

we mostly charge by week, unless they come 4 or less days a week in which case it's $25 a day.

I like your first idea about adding $5 per additional hour. I was thinking about the Nannyde style pricing, but I doubt the director would agree to that.

She might if you write it all out for her and start with your shortedt aount of tine as your base price (what you charge right now per day) and go up from there. Doing it that way she will not only see the difference in how much more money can be brought in but you will also have a lot less kids there from open to close. If you start with a base daily rate and go up, she can't lose money....only make more....kwim?

I'd write it out for her and show her using a few real families you currently have in care. Show her on paper how much more money (or less time) this will net. She may like the idea.

I do it that way (Nan helped me figure it out) and I think it works wonderful! I don't separate my rates into pick up times of every 15 minute increments but I do have a base rate (8 hrs) and add the $5 per hour after. I no longer have kids here from open to close and am actually making a few extra dollars per week while working less time. Odd huh? But works.

[MarinaVanessa]

I personally(home daycare) do a 10hr day with open hours (7:30a-5:30p). I am willing to do extended before and after care on a contract basis---meaning preapproved & prepaid, no refunds! It is simply AMAZING how the "I HAVE to drop off at 7am is not really necessary when there is an additional fee attached to it.

Yep, that's how I do it too. I run a FCC and my hours are 6am-6pm but each client has their own contracted hours. My rates reflect a 10 hour day and anything past 10 hours in any one day. Any time past my opening and or closing time is added to what they already paid, preapproved, prepaid, no refunds as well. I don't have too many FT clients as me for earlier drop-offs or later pick-ups anymore ... it certainly is amazing .