Can The Daycare Force Me To Pay For Slot Before We Need It?

[New Dad Dave]

We just had our first child, and my wife and I both work full time. She got the standard 12 weeks of maternity leave, so we would need to utilize daycare when she goes back to work October 3. We were limited to about 3 options for daycare that opened early enough for our schedules, and the one we selected is about $1400/month. They just sent an email saying they are giving us a slot that starts August 18, a full 6 weeks before the end of my wife's maternity leave is over (so paying ~$2100 for service we don't want/need yet).

Is this standard practice? Considered ethical? Why can they dictate that we pay for care that we don't need yet?

I couldn't find any sources for information on this particular topic, so I am seeking input here. Of course, they have us over a barrel, we can't refuse the spot because we need the daycare after october 3, but I feel like I'm being extorted.

[MarinaVanessa]

Pretty much a business can run in any way they wish to and you as a parent can choose which businesses you want to deal with. What they are doing is legal in the sense that they aren't forcing you to do business with them (even if at this time you my feel forced because of your situation).

I think because you are looking at it from a parent's perspective and are expected to pay for 6 weeks of child care that you will not be using and "losing out" on this money you are not really seeing the other side. You must consider it from the standpoint of the daycare as well. If they hold the spot for you they will be "losing" 6 weeks worth of income.

You can always not sign the contract yet and wait until you actually need the spot and take your chances in hopes that they will still have the spot when you need it or you can continue to look for child care elsewhere, perhaps somewhere where they won't require you to pay for saving your spot.

Perhaps you can call and contact the owner/director and negotiate a holding spot fee instead of paying full tuition. Approach it with a positive frame of mind and explain that financially you are not prepared to pay for child care that you are not using and let them know that you will be looking at other options as well and you will contact them with your decision.

[MrsSteinel'sHouse]

Pretty much a business can run in any way they wish to and you as a parent can choose which businesses you want to deal with. What they are doing is legal in the sense that they aren't forcing you to do business with them (even if at this time you my feel forced because of your situation).

I think because you are looking at it from a parent's perspective and are expected to pay for 6 weeks of child care that you will not be using and "losing out" on this money you are not really seeing the other side. You must consider it from the standpoint of the daycare as well. If they hold the spot for you they will be "losing" 6 weeks worth of income.

You can always not sign the contract yet and wait until you actually need the spot and take your chances in hopes that they will still have the spot when you need it or you can continue to look for child care elsewhere, perhaps somewhere where they won't require you to pay for saving your spot.

Perhaps you can call and contact the owner/director and negotiate a holding spot fee instead of paying full tuition. Approach it with a positive frame of mind and explain that financially you are not prepared to pay for child care that you are not using and let them know that you will be looking at other options as well and you will contact them with your decision.

This No, they can not force you to pay for a spot. However, they also then are not obligated to hold a spot open for you. The August 18th is probably the start of their fall enrollment. I would call and ask them.

[Papa]

Holding spot

In my daycare you have to wait for a spot to open. While you wait you are on a waiting list. When a spot opens up say in August, that is when your spot opens if you start paying to use it and save the spot or it is opened to the next waiting child. Most daycares have enough kids waiting that we can't just wait for someone . I have also learned in my 30 years of having a daycare, that if we just "hold" a spot for months, then that person can end up not coming after all! We can't afford that. If you really trust them and like them, I would take it and pay for peace of mind.

[NightOwl]

You are paying for the spot. MV said it best. They do this, as most childcare centers and homes do, to retain your spot. Otherwise, it can be filled.

[lovemykidstoo]

I think that sounds excessive. I can understand having a holding fee, but to charge full tuition I think is a bit much. I charge a holding fee, only to assure that the person is coming when they say they are. I charge $200 to hold the spot and then I take it off their tuition when they come. Congrats on the new baby!!

[NightOwl]

I charge half. You should call the center and negotiate. You want to hold the spot, but they would not incur the cost of having your baby there for those 6 weeks, so they should bend a little.

[Heidi]

Ditto the PP's.

If you do end up taking the spot and paying the tuition, maybe your wife can use at least some of that time to take baby there and rest, clean house, grocery shop, etc.

If you're paying for the spot as of August 18, you should be able to use it as of August 18. You'd probably have to work out some sort of schedule, though. Not just drop-in care without notice.

[Leigh]

I charge full tuition for holding a spot, as well. I'll give 2 weeks free (because I expect someone switching daycares to give a 2 week notice), after that it's full tuition. I can't afford to let a spot sit empty. If you want the spot, you pay for it whether your child attends or not. I don't charge by the hour, but by the space you use. If I am holding the space, you are using it whether your child is there or not. If you don't want to pay for the space, I understand, but I will move on to someone who is willing to pay for it-I still have to pay a mortgage, utilities, etc., whether your child is there or not, so I must have my full, budgeted income to do so. If you rent a hotel room, you don't just pay for the hours you are in your room, do you? You pay for them to hold the space for you when you return. Same here.

I hope this helps you understand a little where we are coming from when requiring full payment for days not used.

[cheerfuldom]

Charging full rate to hold a spot is not at all uncommon. My guess is that this business has a long waiting list and will not negotiate with you. Why would they when the next parent on the list will take this spot in a heartbeat? I understand that it is frustrating but daycare is a business. Yes any good place will have great staff that truly cares about the kids but dont forget, daycare will always be a business first. They have policies and rates in place to maximize their return after all the overhead, staff wages, insurance, etc. is paid. Leaving a spot open and unpaid for 6 weeks when they dont have too would just be a bad business decision on their part. I think it is important for parents to be reminded that daycare is a business.

As for others here saying they dont charge that, just keep in mind that each business is unique. you may find another daycare that wont charge this full rate but there will always be something that doesnt work the best for you. The daycare isn't going to be able to maintain itself if they change rates and rules every time a parent doesnt like the situation so just go into the conversation assuming they aren't going to make an exception, because they probably won't. but you may get lucky, doesnt hurt to put out those feelers and see what the deal is.

It sounds like your schedule really limits your options so you may be stuck working with a daycare that is not your first choice. That is not the daycare's fault though, it is just the way things worked out. A lot of parents are in similar situations. Its just a part of the deal when you are a working parent.

[TwinKristi]

Yeah, it's kinda like use it or lose it. Someone else may be ready to start sooner and you lose the spot. You have to put down a deposit or pay the full rate depending on the business.

[nannyde]

It is ethical and very good business. You have the option to take the child early and my guess is you will.

The slot is open then and they would feel extorted if you got a guarantee that you had it and you changed your mind. Too risky. You are just one family and they have a ton of families who are relying on them.... both staff and other parents. The business needs to be viable and can't be if the slot lays dormant for six weeks. Thats most likely three staff members salary in a week. HUGE loss.

If you don't want to pay it then gamble and try them again when the time is getting closer.