How to Get Around This?

[daycare]

I know many of you are also on the food program.

I just recently moved and went down to teir2, which means I will lose about 50% of my food money.


In the FP rules, it states that we can not raise rates for the purposes of food.

On top of losing FP money, I am also paying $1125.00 more a month in rent.

I am trying to find a way to justify raising my rates. I don't want the parents to say why is your problem of moving now our problem, we didn't ask you to move.

I have not raised my rates in 5 years, so no matter what, it's time. I guess that is the only thing that I can fall back on.

Also, I am only looking to raise them about $18 a month per family. This would help recover some of the food cost a little.

[Blackcat31]

Have you considered just having the kids bring their own lunches?

[coolconfidentme]

It's a COLA increase & leave at that. You do not have to explain it, but can if you want. It's not about your increase in rent it's about not having an increase in 5 years.

[daycare]

Have you considered just having the kids bring their own lunches?

no way. That would just be a hot mess

One of the reasons people choose me is because of my menu. I serve almost ZERO processed food.

[daycare]

It's a COLA increase & leave at that. You do not have to explain it, but can if you want. It's not about your increase in rent it's about not having an increase in 5 years.

sorry what does that mean COLA?

[preschoolteacher]

Cost of living adjustment.

You can raise them for whatever reason!! I wouldn't worry. Pick your reason... Cost of living increase, you're keeping up with compatible market rates. My favorite reason is that you're worth it.

[MarinaVanessa]

I would explain that it's been 5 years since your last rate increase and that it's time to raise your rates. Can you introduce the increase as a $4.50 a week increase instead of saying $18 a month rate increase? I think an increase of about $5 per week every 5 years is reasonable.

If you can hang on until the end of the year or the beginning of next year to raise your rates perhaps your clients will be less likely to freak out? If you're afraid that too many changes all at once will make them nervous I would postpone the increase at least for a few months and then make the increase. Giving them time to get settled and then raising your rates might make for a smoother transition.

Another thing you can do from now on is to increase your weekly rate by $1 a week and in 5 more years you'll have reached the $5 a week increase automatically. Clients hear $1 a week/$4 a month increase and they don't freak out as much.

[Blackcat31]

One of the reasons people choose me is because of my menu. I serve almost ZERO processed food.

Well, then they shouldn't mind paying for that.

Is the rule saying you can't raise rates a California licensing thing or from your food program? I've never heard of anyone saying we can't raise rates to cover our expenses..kwim?

I know we can't charge families who opt out of the FP more but you should be able to raise your rates for everyone to account for a rise in program costs

[daycare]

Cost of living adjustment.

You can raise them for whatever reason!! I wouldn't worry. Pick your reason... Cost of living increase, you're keeping up with compatible market rates. My favorite reason is that you're worth it.

thank you, I am not too good with acronyms.

I just know that the parents are going to ask why. I guess that in it self is reason why.

I am not the most expensive and I am not the cheapest either. there is one preschool near by that is a little less than what I charge, but they don't offer any meals

[daycare]

Well, then they shouldn't mind paying for that.

Is the rule saying you can't raise rates a California licensing thing or from your food program? I've never heard of anyone saying we can't raise rates to cover our expenses..kwim?

I know we can't charge families who opt out of the FP more but you should be able to raise your rates for everyone to account for a rise in program costs

This is what my Rep told me. Maybe I misunderstood

[daycare]

I would explain that it's been 5 years since your last rate increase and that it's time to raise your rates. Can you introduce the increase as a $4.50 a week increase instead of saying $18 a month rate increase? I think an increase of about $5 per week every 5 years is reasonable.

If you can hang on until the end of the year or the beginning of next year to raise your rates perhaps your clients will be less likely to freak out? If you're afraid that too many changes all at once will make them nervous I would postpone the increase at least for a few months and then make the increase. Giving them time to get settled and then raising your rates might make for a smoother transition.

Another thing you can do from now on is to increase your weekly rate by $1 a week and in 5 more years you'll have reached the $5 a week increase automatically. Clients hear $1 a week/$4 a month increase and they don't freak out as much.

this too. A lot of change at once. But I will be redoing all of our contracts and starting a new school year starting AUG 11. I was thinking about doing it at that time.

Do you think that I am raising it too much ??

[CraftyMom]

If you're redoing your contract, that is the perfect time for the increase IMO. Parents will be less likely to think it has anything to do with you moving, just overall updating.

Personally I would do $20/month, $5/week. I like nice round numbers

[MarinaVanessa]

this too. A lot of change at once. But I will be redoing all of our contracts and starting a new school year starting AUG 11. I was thinking about doing it at that time.

Do you think that I am raising it too much ??

No I think if you haven't increased your rates in a while then $5 a week increase is definitely reasonable. I would explain that everything from utilities to everyday supplies has gone up and so it is time to increase the rate.

If clients have in issue in August then an option is to negotiate an increase somewhere in the middle for the meantime (depending on what you want to do) and then advertise for their spot and let potential clients know that you have a family that is leaving but no notice has been given yet. If you get a bite then I would talk to current family and let them know that there is another family interested in a spot at your new rate and give them the option to either stay and pay at the new rate or they get their 2 weeks notice.

As far as not being able to charge more because of the food program I think what they mean is that if a family does not qualify for reimbursement from the food program then you can't charge them more to cover the cost of food. It rarely happens and really I don't think I've ever heard of that actually happening.

[Chellieleanne]

If you're redoing your contract, that is the perfect time for the increase IMO. Parents will be less likely to think it has anything to do with you moving, just overall updating.

Personally I would do $20/month, $5/week. I like nice round numbers

I agree with all of this.

It is a COLA and to stay comparable with local rates. Give them notice now that rates will increase starting xxx date and they can give their notice or just go with it. If it is a family you have had for a while and the increase would be hard on them(I know the dcb I have it would be) then do a gradual increase but all documented and agreed to so you can still get the increase to help your costs.

[TwinKristi]

I don't think $20/mo would be excessive. I charge per day so I would have to add $1/day to get $5/wk $20/mo, etc.

Is that enough to cover your loss in FP money? Ugh I would be very unhappy if I was tier 2 not 1! :-(