Good Idea or no?

[SilverSabre25]

I super duper prefer to be paid electronically. I'm a bit tempted to "raise" my rates in the fall by $10/week, with a $10/week "discount" if I get paid electronically.

Or maybe $5...but it has to be enough to make it worth it, don't you think?

[cara041083]

I think its a good Idea. Its kind of like a service fee. Alot of places online, If you pay by check charge you a service fee where if you pay with a card, then their isn't a fee. I for one know its a pain to have to get to the bank. In my case the only branch for my bank is 20 min away. So I make the parents pay me cash so I don't have to deal with checks and getting them to the bank.

[cara041083]

Does it cost a fee to get the payment electronically?

[Blackcat31]

I think its a good Idea. Its kind of like a service fee. Alot of places online, If you pay by check charge you a service fee where if you pay with a card, then their isn't a fee. I for one know its a pain to have to get to the bank. In my case the only branch for my bank is 20 min away. So I make the parents pay me cash so I don't have to deal with checks and getting them to the bank.

Gas stations do it... 10 cent discount when paying by cash.

Why not daycare too?

I have a provider friend who charges families according to how early or late they submit their schedules.

If the schedule is in BEFORE 5 on Friday, she charges xx amount. If a family doesn't turn it in by then, it is automatically $5 more per day.

She does the same for payment. If they prepay her BEFORE the week of care, the rate is like $30 per day but if they choose to pay AFTER the week of care, the rate is $40 per day.

I am amazed at how many of her families though choose to pay afterwards even though it costs more.

[CraftyMom]

I made epay mandatory starting in January, BEST DECISION EVER! Most parents have chosen automatic payments, even better! I informed parents in Nov. that this would be happening, so they had time to try it out before it was mandatory. They all loved it and started using it right away! There is a $1 fee per transaction, you can choose to have the parents pay it. I pay it for my convenience. No more cashing checks or chasing payments, and I can add any fees in, so convenient!

[SilverSabre25]

The ONLY problem with cash is the lack of "paper trail". Otherwise it would be fine. I like the paper trail though since my accounting skills are a bit "poopy".

Electronic depends entirely on the type. Chase bank has one that seems to be fee-less (at least, i don't get fees on my end). the e-payment through MMK costs $1. Paypal would have fees too, but I' not sure how much?

[SilverSabre25]

With the $1 from the MMK epay, or any other fees assoc with electronic payments, can we claim those as a business expense if we choose to pay them?

[Cat Herder]

With the $1 from the MMK epay, or any other fees assoc with electronic payments, can we claim those as a business expense if we choose to pay them?

Yes. MMK automatically adds them to your expenses register for you happyface I pay the $1 but it does not tell the parents that, so no incentive for them there.

I think the discount idea is brilliant. I may consider it, too. I have been using the beg and plead method, not so effective.

[CraftyMom]

With the $1 from the MMK epay, or any other fees assoc with electronic payments, can we claim those as a business expense if we choose to pay them?

Yes, MMK automatically lists it for you as a tax deduction

[mountainside13]

The ONLY problem with cash is the lack of "paper trail". Otherwise it would be fine. I like the paper trail though since my accounting skills are a bit "poopy".

Electronic depends entirely on the type. Chase bank has one that seems to be fee-less (at least, i don't get fees on my end). the e-payment through MMK costs $1. Paypal would have fees too, but I' not sure how much?

Getting paid in cash comes back to bite you if your are trying to get a mortgage loan. I just made a rule of no more cash.

[Blackcat31]

Getting paid in cash comes back to bite you if your are trying to get a mortgage loan. I just made a rule of no more cash.

I would think that if you document the income, it is all good.

Whatever method a parent pays you is traceable and countable if you document. Give a receipt, record in MMK.

[Cradle2crayons]

I would think that if you document the income, it is all good.

Whatever method a parent pays you is traceable and countable if you document. Give a receipt, record in MMK.

this is what I do... I accept cash ONLY. I out it in the computer and print a receipt. Whalah done.

[sahm1225]

I used to work in the mortgage field - getting paid cash was fine but you need to verify/prove your income by depositing it into the bank. We would also use your taxes.

Being self employed made it harder to do loans, but it wasnt impossible. You just need to deposit all your income into your bank account.



And to OP - go for it. A $10/discount for paying electronically is fine.

[EntropyControlSpecialist]

I super duper prefer to be paid electronically. I'm a bit tempted to "raise" my rates in the fall by $10/week, with a $10/week "discount" if I get paid electronically.

Or maybe $5...but it has to be enough to make it worth it, don't you think?

I know this may sound crazy on my part but I don't even accept payment in any other form (for tuition ... now late payments pay me however!). I simply inform them that I am paid online through childcarepay.com. It works for me. I have been using it almost 2 years and have never had a parent have an issue with it.

[EntropyControlSpecialist]

With the $1 from the MMK epay, or any other fees assoc with electronic payments, can we claim those as a business expense if we choose to pay them?

yes and it is sooo worth it