Increasing tuition..HB/contracts now or later?

[Baby Beluga]

As I am sure you have read, I am increasing my tuition but was not sure if I wanted to increase the amount or move over to tiered tuition based on pick up times.

I have decided for right now I am increasing the tuition for my current clients and will be doing a tiered tuition for new clients. At least this seems to be the best thing at the moment.

Each year (beginning/mid December I send out an updated HB and contract and parents resign). This gives me a chance to make any changes I feel are needed. Should I simply send out a letter telling parents tuition is increasing by X amount and this change will go into effect on X date and send new HB/contracts out in December? OR should I sent out new HB/contracts now with the tuition increase letter as well?

I am changing some minimal things in my contract, nothing too bad - but I also know my families don't like change. I don't want to scare them with a lot of changes at once.

[daycare]

I would move to tier rates for all of you clients both old and new.

what will you do if one of your old clients comes to you in 3 months and says oh I need a 6pm closing time or such.

I would suggest this:

Each year it is necessary for me to evaluate our rates to make certain that we are offering the best possible program for all of our children. As prices increase on food, supplies and such, our rates must increase to reflect these changes.

This year I have decided to allow YOU to have an option to take control of your rate with a new graduating fee scale.

After much consideration, I feel that this is a win, win situation for everyone. Some of you will be saving money and getting to spend that much needed quality time your children desire, which will allow me to do the same for my family. But most of all the kids are the ones who really win, as they get to be home with their toys and YOU. The reigns are yours to decide your rate.

then state the rate schedule here and explain how it will work.

this is what I did. I can't find the letter I put out, but it was something like that.

[Baby Beluga]

I would move to tier rates for all of you clients both old and new.

what will you do if one of your old clients comes to you in 3 months and says oh I need a 6pm closing time or such.

I would suggest this:

Each year it is necessary for me to evaluate our rates to make certain that we are offering the best possible program for all of our children. As prices increase on food, supplies and such, our rates must increase to reflect these changes.

This year I have decided to allow YOU to have an option to take control of your rate with a new graduating fee scale.

After much consideration, I feel that this is a win, win situation for everyone. Some of you will be saving money and getting to spend that much needed quality time your children desire, which will allow me to do the same for my family. But most of all the kids are the ones who really win, as they get to be home with their toys and YOU. The reigns are yours to decide your rate.

then state the rate schedule here and explain how it will work.

this is what I did. I can't find the letter I put out, but it was something like that.

That's a good point, and honestly a scenario I hadn't thought of yet. My initial thought is an increase in price now and if a client needed a contracted time change in the future (adding additional hours) I would offer it under the pretense that it would be under the new tiered tuition rate.