Deposits?

[KEG123]

Do you ask for a 2 week deposit? If so, how do you make them pay for it? Up front before care starts, a certain amount per week? A different way?

[cillybean83]

i don't ask for a deposit, but i'm thinking i should

[lvt77]

I always ask for it up front, however, I do try my best to be flexible if they cannot afford to pay all of the money out of pocket. I have allowed some people to pay an additional $25.00 each week until it amounts to a two week deposit. In the past, I used to run a special on CL that was no up front deposit to start. I have been very lucky that I have not had any issues, as I wonder if they can't afford it at sign up, they may run into money problems down the road..... It's all up to what you want........

[marniewon]

The only time I charge a deposit is if the family isn't starting right away, and then it's only one week, to be applied to the first week of care. I have them bring that deposit with their signed contract and child info form. They do not have a "spot" with me until the deposit is paid and forms handed in.

[MyAngels]

Originally Posted by marniewon

The only time I charge a deposit is if the family isn't starting right away, and then it's only one week, to be applied to the first week of care. I have them bring that deposit with their signed contract and child info form. They do not have a "spot" with me until the deposit is paid and forms handed in.

I do it this way, too, but I charge two weeks, rather than one, up front, applied to the first two weeks of care.

[littlemonkeys]

Originally Posted by MyAngels

I do it this way, too, but I charge two weeks, rather than one, up front, applied to the first two weeks of care.

I also do it this way.

[Abigail]

Why doesn't anyone use the two week's pay for the last two weeks incase a family decides not to come back or give no notice? Then you would be covered.

[lvt77]

Originally Posted by Abigail

Why doesn't anyone use the two week's pay for the last two weeks incase a family decides not to come back or give no notice? Then you would be covered.

I do, I just dont expect them to pay it up front if they cant afford it... I require them to set a deposit when they start. It depends on how long I have to hold the spot. Usually about $200.00, they can use that as their deposit after they finish the two week trail and if they dont want to stay I give it back. i also require that they pay one week in advance when they start. So thats over $400.00.

Remember I am in Northen Cali, so the cost of living up here is really high. Average in home daycare price is about $50-60.00 a day depending on age.

[Abigail]

Originally Posted by lvt77

I do, I just dont expect them to pay it up front if they cant afford it... I require them to set a deposit when they start. It depends on how long I have to hold the spot. Usually about $200.00, they can use that as their deposit after they finish the two week trail and if they dont want to stay I give it back. i also require that they pay one week in advance when they start. So thats over $400.00.

So, you give the deposit back if they decide during the two week trial they don't want to continue care. I get that, that is what I would do also. If it is after the two weeks though they need to give a two weeks notice which is the safety net for the deposit. Technically though if you charge about $200/week then a $200 deposit is not for the last two weeks because it's not enough to cover your required notice time.

[Abigail]

Originally Posted by KEG123

Do you ask for a 2 week deposit? If so, how do you make them pay for it? Up front before care starts, a certain amount per week? A different way?

I am going to make a change to my contract. I am going to have the option of either paying _______ dollars per week for _______ weeks (8 week maximum) to reach a two-weeks fee OR they can pay it in full prior to starting. This way, they can choose if they want to pay $50 extra each week or only $25 extra each week. This could get expensive for two children because I do not offer discounts. I also added (8 week maximum) because this way they can't say they will pay $5 a week which would never cover them soon enough if they wanted to leave care without notice. KWIM? If I set it up this way then I can always change my weekly rates and not have to re-type the contract since it's fill-in-the-blank. Note: Even with up to 8 weeks to pay the additional amount, they could pay as little as $15.63 a week if the rates were $125/week.

[MyAngels]

Originally Posted by Abigail

Why doesn't anyone use the two week's pay for the last two weeks incase a family decides not to come back or give no notice? Then you would be covered.

I have a couple of reasons for not doing it this way. First, I've never had a problem with someone leaving without proper notice. There have been two occasions when I've had someone leave unexpectedly due to a move and a layoff at work, but both paid the two weeks without a problem. My second reason is because I remember what it was like when my kids were in daycare - at that time in our lives money was always tight and an extra two weeks at the start of daycare would have been difficult to come up with. I'm fortunate to be in a position now that I don't need to worry about those last two weeks if someone did happen to leave without paying, and so I cut a break to my families in this small way.

[lvt77]

Originally Posted by Abigail

So, you give the deposit back if they decide during the two week trial they don't want to continue care. I get that, that is what I would do also. If it is after the two weeks though they need to give a two weeks notice which is the safety net for the deposit. Technically though if you charge about $200/week then a $200 deposit is not for the last two weeks because it's not enough to cover your required notice time.

no, they still have to pay a two week deposit. so aftet the 2 week trail is over and they decide to stay the $200.00 will be put towards their deposit and an additional $200.00 is required to be paid to add towards their deposit as well. So to make this more clear. After trail I require a $400.00 deposit plus one week up front paid that $600.00 or more, depending on their schedule. This is why I allow for some people to pay an extra $25.00 a week instead of having to pay all up front..

[snbauser]

I charge a one week's deposit. Deposit and paperwork are due upfront to secure their spot. I do not stop advertising or interviewing until I receive both. Too many times when I was first starting out that someone would tell me they wanted the spot, I would stop advertising and interviewing and then never hear from them again. The deposit is non-refundable until they start. After they start it can be refunded if we part during the two-week trial. Or it reverts to the last weeks pay ONLY when appropriate termination notice is given.