I Want To Be Paid On Time!...Without Seeming Insensitive

[Unregistered]

How do I make it clear that I want to be paid on time?? I just had every family sign new contracts last month HIGHLIGHTING that payments are due every monday no exceptions! I even gave examples that if they knowingly wont be here monday, they need to pay the friday before and if their child ends up sick monday morning..they still need to drop off the check or put it in my mailbox by 5pm or there will be a $10 late fee each day it is late. DCB has pneumonia, she brought him to the dr monday morning and kept him home today as well. She didnt drop of the check or mention doing so yesterday or today. I want to think that she remembers the contract and $20 extra will be on the check, but I highly doubt it. I shouldnt have to remind parents of the late fee, it shoould be common sense. If payment is due, payment is due. I was even thinking why didnt she drop off the check when she was out taking him to the doctor...
Anyway I feel like if she brings her child tomorrow and I ask her to add the late fees ,im going to seem insensitive considering her child was very sick. But im not a friend, im a business! And normally businesses dont care about your personal problems. I have bills that have automatic payments, so my logic is that late fees cover overdraft fees I may incur because they paid late.
Any advice on how to remind parents of late fees without seeming insensitive and money hungry?

[trix23]

I would switch to requiring payment on Fridays for the upcoming week.

Increase the late payment fee to $25/day effective immediately

Refuse to provide care until bill is paid in full.

I send snapshots of my Handbook polices to parents that are breaking rules. Or text them ditectly: "per the Handbook, payments not made on time will have a $x late payment fee assessed daily. The current amount owed is $x and if paid after 12pm/noon today, will increase to $x".

I've only had one parent pay late a few times and she got mad that I wasn't understanding. But I told her that if she doesn't pay me on time, I can't get groceries for the daycare kids. That changed her tune quickly....

[Ariana]

The ONLY way to get this to stop is to make it affect their lives negatively. THEY are the ones being insensitive by paying late. A sick child is not a reason to pay late. Do you think the gas company cares if your child was sick? They would charge you late fees. That is not being insensitive or money hungry. That is being paid for a service you are providing.

I would send a quick text or email telling her how much she owes and let her know that if it is not received immediately you are terminating the contract due to breach of terms. Also let her know that 3 late payments will result in immediate termination. Turn off the gas!

[Blackcat31]

How do I make it clear that I want to be paid on time?? I just had every family sign new contracts last month HIGHLIGHTING that payments are due every monday no exceptions! I even gave examples that if they knowingly wont be here monday, they need to pay the friday before and if their child ends up sick monday morning..they still need to drop off the check or put it in my mailbox by 5pm or there will be a $10 late fee each day it is late. DCB has pneumonia, she brought him to the dr monday morning and kept him home today as well. She didnt drop of the check or mention doing so yesterday or today. I want to think that she remembers the contract and $20 extra will be on the check, but I highly doubt it. I shouldnt have to remind parents of the late fee, it shoould be common sense. If payment is due, payment is due. I was even thinking why didnt she drop off the check when she was out taking him to the doctor...
Anyway I feel like if she brings her child tomorrow and I ask her to add the late fees ,im going to seem insensitive considering her child was very sick. But im not a friend, im a business! And normally businesses dont care about your personal problems. I have bills that have automatic payments, so my logic is that late fees cover overdraft fees I may incur because they paid late.
Any advice on how to remind parents of late fees without seeming insensitive and money hungry?

Being a business owner means sometimes having to put your big kid pants on and be an adult....

IF she shows up tomorrow do NOT allow the child to stay without payment IN FULL. If she says she'll bring it at pick up, tell her she can't leave Jr until it's paid in full.

When you start to feel bad.... remember that she doesn't feel bad that your financial obligations are due/late....and she read AND signed the new contract so I would have a hard time not saying something along the lines of "I know changes are hard but I sent the new contracts out with the expectation that parents actually read what they agreed to"

Sometimes putting the spotlight back onto the parent makes it easier to be the bad guy. Because bottom line is, we really shouldn't have to be the bad guy at all.

I have a graduated late payment fee (it increases with every late payment until termination) and I make it VERY clear to parents that it is AUTOMATICALLY added so they can save their breath if they want to ask me to waive it... because the software won't let me. So no one ever asks.

[trix23]

What software do you use? I want to look into that

[EntropyControlSpecialist]

Definitely make it due by Friday if you're having this issue!

Send her a message today. "Hi June! I would hate for another $__.00 to be added to your tuition payment tomorrow so this is a quick reminder that the tuition was due on Monday. The total is currently $___.00. Thank you so much!"

[Blackcat31]

What software do you use? I want to look into that

None.

But the message is easy for parents to "get"

I manually add the fee.

.... but for some reason, the phrase "automatically added" helps with comprehension and swiftly eliminates any attempt to barter, negotiate and/or ask about paying late.

[Josiegirl]

None.

But the message is easy for parents to "get"

I manually add the fee.

.... but for some reason, the phrase "automatically added" helps with comprehension and swiftly eliminates any attempt to barter, negotiate and/or ask about paying late.

Haha oh so sneaky ::

[EntropyControlSpecialist]

None.

But the message is easy for parents to "get"

I manually add the fee.

.... but for some reason, the phrase "automatically added" helps with comprehension and swiftly eliminates any attempt to barter, negotiate and/or ask about paying late.

I do the same thing through Minute Menu Kids/ChildCarePay. :: They do believe it to be automatic. It just so happens that it's me automatically adding it.

[Leigh]

How do I make it clear that I want to be paid on time?? I just had every family sign new contracts last month HIGHLIGHTING that payments are due every monday no exceptions! I even gave examples that if they knowingly wont be here monday, they need to pay the friday before and if their child ends up sick monday morning..they still need to drop off the check or put it in my mailbox by 5pm or there will be a $10 late fee each day it is late. DCB has pneumonia, she brought him to the dr monday morning and kept him home today as well. She didnt drop of the check or mention doing so yesterday or today. I want to think that she remembers the contract and $20 extra will be on the check, but I highly doubt it. I shouldnt have to remind parents of the late fee, it shoould be common sense. If payment is due, payment is due. I was even thinking why didnt she drop off the check when she was out taking him to the doctor...
Anyway I feel like if she brings her child tomorrow and I ask her to add the late fees ,im going to seem insensitive considering her child was very sick. But im not a friend, im a business! And normally businesses dont care about your personal problems. I have bills that have automatic payments, so my logic is that late fees cover overdraft fees I may incur because they paid late.
Any advice on how to remind parents of late fees without seeming insensitive and money hungry?

If you had say, a retail store, would you feel insensitive or money hungry by expecting someone to pay before removing merchandise from your store? If you worked for Exxon, would you feel this way if you had to ask for your paycheck every week and chase it down?

I'd simply send a text reminding them that payment was due on XXX date, and if paid today, $XXX is due, and if paid tomorrow, $XXX is due, with $XXX added each additional day. Don't explain yourself. Don't beg. Don't offer alternatives. Just let them know that they're late, and what the consequences are for that. If you require payment before taking the child back into care, let them know that, as well.

[Unregistered]

None.

But the message is easy for parents to "get"

I manually add the fee.

.... but for some reason, the phrase "automatically added" helps with comprehension and swiftly eliminates any attempt to barter, negotiate and/or ask about paying late.

It's like telling a child "the rule is" rather than "I said" don't do this or that.

[renodeb]

I agree with others on the having payment due Friday for the week coming. Way back when I first started doing child care I had payment due Monday for that week. Parents would "forget" the check book (yes I take checks). For some strange reason when I switched to Fridays parents didn't forget at all.
From what you have written you don't sound money hungry at all. Think of it like this: Those parents rely on there pay just like you do. They would be mad if there boss couldn't pay for some reason. I would hang a big notice somewhere that says : Reminder payment due every Monday by this time.
You should not have to remind them of this. Nobody should blame you for wanting to get paid on time. Just be professional and firm. They shouldn't get mad, after all your caring for there kids.
Deb

[Josiegirl]

*sigh* I know I'm a soft touch and have lost $$$ because of it. I feel this is a business but a different kind of business. You can't compare it to buying toilet paper. It involves personal lives, and children. It involves working with your heart, what you can afford, and not getting taken advantage of. If this were a case where the parent screws around with paying you all the time, I could see being extra vigilant about collecting what they owe. But it's a parent who is worried about their own child being very sick and I guess I'm the only one on this forum who would be a bit forgiving of that. I know, I know. Once you give an inch..... And while it's true, I believe there are special circumstances that allow for a little 'grace period'. That's why I added in my contract, that late fees will be added at my discretion. Now if this is a dcp who never pays on time, takes total advantage, then it would be a different reply entirely.

JMO

[daycarediva]

I would switch to requiring payment on Fridays for the upcoming week.

Increase the late payment fee to $25/day effective immediately

Refuse to provide care until bill is paid in full.

I send snapshots of my Handbook polices to parents that are breaking rules. Or text them ditectly: "per the Handbook, payments not made on time will have a $x late payment fee assessed daily. The current amount owed is $x and if paid after 12pm/noon today, will increase to $x".

I've only had one parent pay late a few times and she got mad that I wasn't understanding. But I told her that if she doesn't pay me on time, I can't get groceries for the daycare kids. That changed her tune quickly....

YES! Friday before. That way, no 'forgetting' on Monday.

Definitely make it due by Friday if you're having this issue!

Send her a message today. "Hi June! I would hate for another $__.00 to be added to your tuition payment tomorrow so this is a quick reminder that the tuition was due on Monday. The total is currently $___.00. Thank you so much!"

I do the same thing through Minute Menu Kids/ChildCarePay. :: They do believe it to be automatic. It just so happens that it's me automatically adding it.

I do the same thing through square cc processing, immediately after the payment is late, a new invoice is sent with an updated amount and the old invoice is cancelled out.

For me, it's one rate to pay on Friday, and it's an additional $50 to pay Monday BEFORE drop off. THEN an additional $25/day the payment is late beyond that. No trying to collect money over the weekend. That $50 added at 6:01 Friday HURTS.

[Annalee]

*sigh* I know I'm a soft touch and have lost $$$ because of it. I feel this is a business but a different kind of business. You can't compare it to buying toilet paper. It involves personal lives, and children. It involves working with your heart, what you can afford, and not getting taken advantage of. If this were a case where the parent screws around with paying you all the time, I could see being extra vigilant about collecting what they owe. But it's a parent who is worried about their own child being very sick and I guess I'm the only one on this forum who would be a bit forgiving of that. I know, I know. Once you give an inch..... And while it's true, I believe there are special circumstances that allow for a little 'grace period'. That's why I added in my contract, that late fees will be added at my discretion. Now if this is a dcp who never pays on time, takes total advantage, then it would be a different reply entirely.

JMO

Josie, I use to feel this way but lately I just don't trust or believe some of what clients tell me. I understand there are hardships but I am to the point, I really don't have alot of compassion from a business standpoint. I had a client text Monday morning and ask if she could pay at end of week. (my clients pay Monday morning) I text back "NO"...Funny things is she came and paid me like normal. Just my opinions too!