Deposits and holding fees

Hey all! There have been many discussions regarding whether or not to charge these, but I know that everyone does it differently.
Currently I (*gasp*) do not charge a deposit. Families pay fees in advance, so I am not going to get stiffed. I have not had to charge a fee to hold a space, because everyone started with a few weeks to a month.
I will be adding this to my contract, though. If it's in there, I can implement it if required.
So can you please give me a quick rundown on what you charge in the way of registration fees, holding fees, and deposits?
Thanks in advance!

I never used to charge a deposit or a fee to hold a spot...but....I held a spot last year for what I thought was an awesome family. Held it for over 3 months and a week before they were supposed to start decided she wasn't going back to work...just couldn't leave her baby...ugh. So now...I ask for one week's fee in advance to hold a spot for ANY length of time. If they chose not to show up for daycare then the money is mine. It by no means comes close to the amount of income I lose by holding the spot though. Just gives me a little something if they decide not to come after everything...

I do not charge a 'registration fee' but do charge a security deposit equal to two weeks fees at the time of 'registration' aka signing the contract and committing to care .... this is non refundable and can only be applied to the last two weeks of care provided proper written notice to terminate is given... I do this for two reasons to ensure that clients have not signed a contract with several providers to 'cover their bases' while choosing whom they 'really want' cause by putting $$$ down on the space that they will not get BACK if they change their mind before starting I feel more confident they serious about starting with me and B) once they have started I want to ensure I have AMPLE notice that they are leaving the program so I can advertize and fill my spot to protect my income.

As for holding fees ... my 'written policy' is that I will not hold a space without fees - if I have a full time space open for August 5th and you do not need care until October and you WANT full time care with me than you sign the contract in July when I am advertizing, you pay the security deposit and start paying for the SPACE you are occupying as of August 5th.

Now that said - in the past I have 'negotiated' a compromise on that policy with the RIGHT client where they paid a 'weaning in fee' for the space and used the time in between when the space opened and they needed it to wean their child in before having to start full time ... this allowed the child to start coming for a couple hours a morning for a while, than for 1/2 days for a week, than for 3/4 days and so forth until they were weaned up to full days.

I charge a deposit equal to the first week of care. It's due at the time they sign the contract and the space is not guarenteed theirs until the cheques cashed and the money's in the bank. I didn't used to do that, but I had one family commit to me on the spot, then I never heard from them again! I lost over 3 weeks of searching for the right family because they couldn't pick up the phone or send an email letting me know they had changed their mind. I simply don't hold spots if I have one open. I take the best family with the best start date. I'm lucky that my area is very low on home daycares and there aren't any daycare centres close... so i always have someone knocking at my door for care.

I have a non-refundable 2-week deposit when they sign on that will become their first 2-weeks of care.

For holding fees, what I've implemented is that they pay $5/day to save their child's spot (that's PER child).

I have a $50 registration fee plus one week's worth of care due on signing and forfeited if care doesn't start. What I am going to implement with new clients is that the payment is due in advance in such as way that the deposit is really the last week of care in the sense of they are paying one week for care the next week. That way I don't have to be as concerned about late payments because no care has been given. That means when they start care they will still give me money for a week but it will be for week 2 - ie care for week 3 will be paid during week 2. That also means that if they fudge around all week and don't bring any money then that is already one week of notice and I have the original deposit for the second week. By week 3 they aren't welcome back anyways.

I have a deposit of one week to hold the spot until start ~ regardless of when they start. This is used for first week of care.
I also held a spot for someone for 2 months and then they decided not to start. I use the deposit if they don't start to help me fill the spots ..advertising fees.

I ask for a deposit of two week's worth of fees, which I hold and use toward the last two weeks of care. This is to ensure that they don't skip out without notice.

If the parents want to start more than two weeks after signing the contract, I charge 20% per week of my full time fees ($55) until they start. They don't get this money back, nor is it used toward any future fees. It is my compensation for holding the spot open. It is mine for keepsies. :) I also won't hold a spot for more than six weeks.

I do a one week deposit which eventually gets used for the child's last week of care. It is a non refundable deposit.

I have held spots 3-6 months with just that fee in place and no weekly fee

Usually we do the one week deposit and then the parent pays at the end of each week. Therefore if worse came to worse and the parent tried to skip out of paying I have 1 weeks of pay regardless and wouldn't be out of pocket

I've been charging $100 as a deposit which is applied to the last week of care if conditions are met and I have been charging $100/month to hold a space (non-refundable).

However, I'm going to start charging a full week's fees for my deposit the next time I have a family start here and I'm going to charge a full week's fees or possibly $200 per month to hold a space from now on.

I charge last week's payment. That's it. That way I get two weeks pay the day they start (which is usually a few weeks after they sign the contract) and it's not so much that it scares the parents away. And they pay it when they sign the contract. A place is not held if they don't pay.

I charge a $200 registration fee and charge a holding fee of $200/month for a space being held for more than 1 month. I've had no issues with people paying this if they want the space for their child and have had people hold a space for 4 months or so. I started charging this after being burnt twice.

Ditto fruitloop .... Except I charge $250/month.

Thanks, everyone!! One more question; since I charge in advance, and will not provide care unless payment has been made, is a deposit necessary in your opinion? I am thinking that it's not. Although, as I type, I realize that I may not be "out" money if someone up and leaves, but if they don't give proper notice, I would be losing "expected" income.
Fruitloop: is the registration fee refundable? Or does it just go to you, and the extra costs of getting a new child started? (new bib, sippy cup, change mat, etc)
I will absolutely be asking for a holding fee, moving forward. I am remembering now that I actually have had people start more than a month later (interviewed in Oct, and didn't start until Dec). I guess I am glad that I didn't get screwed over!!
Thanks again, lots to think about. :)

I charge 2 weeks of deposit which will go to their last week of care. And I just singed up family that want to start in July. I told them to either come a month before the care start or pay a holding fee of $100 for each month and secure the place. They choose to pay $300 holding fee but this $300 won't be going to the future payments.
I don't have registration fee. And to be honest, If I was a parent I wouldn't pay registration fee either.

Hope it helps.

My registration goes towards their last months fee and I do this incase theyleave daycare with no notice. Improper notice or termination by me equals no return of deposit. The holding fee goes towards nothing other than compansation for me for loosing income while I hold their spot.

I get paid on Fridays for the upcoming week, two weeks or month depending on client preference ... I still charge and keep a security deposit though ... because if a client was a weekly pay for example and they paid you on the Friday and you deposited in your bank and it BOUNCED it would be likely Thursday before you find out from your bank longer depending on the bank .... so if you approach them to tell them 'umm your cheque bounced' and instead of being horrified and bringing you cash right away as they should instead they say sucks to be you and they BOLT you have provided 4-5 days of care for FREE and too boot you are now with a space to fill with no notice :( With a two week security deposit on hand you are paid in advance PLUS you have buffer for both bounced payments AND notice period to fill your space of their forfeit their deposit ... it is an added protection for you in a SAD SAD WORLD where this is FAR TO OFTEN NEEDED :(

Yeah, I am thinking a deposit of, say 2 weeks worth of fees would be okay.
THANKS AGAIN!!!!

I charge a whole months deposit which goes to their last month of care.

Thanks for all the info ladies :)