Rate increases

[mickyc]

I wouldn't say anything. Do you parents actually care what their kids are being fed everyday? Mine don't. I don't post it, they never ask and I never say. Some days we eat healthier than other's, some days we don't have milk etc.

[Fun&care]

I would for sure let the parents know. Just a heads up, you don't have to make a big deal of it but if all your current clients signed on while you were offering all organic meals, I think they deserve to know that you are changing that. If they find out somehow through another source they might feel it was deceitful of you not to say anything.

I seem to have mostly families who like to know what their kids eat so if it were me I would for sure have to say something.

[bright sparks]

Some ideas:

You are in it for the long haul? (Or at least have been, I think I remember you saying that you were going back to school...) Regardless, play up your experience. "Established in home daycare providing experienced, reliable and high quality programming blah blah blah"

It is frustrating. I charge $5 more than everyone else for FT and $10 more for PT. My prices did turn away a lot of potential clients but I did manage to fill my spots, just took some extra time. I kept thinking that this is how I want to run my program, this is what I want to offer, I deserve to be fairly compensated AND want parents who appreciate what I am offering. I don't want clients who think I charge too much ~ they are the ones who don't care what I offer. I want parents who appreciate my hard work and I also think we DO deserve to make a living just like anyone else. Venting with you I guess.

I really don't have any concrete advice other than keep playing up what makes you stand apart and above the competition. Play up the quality of food you are offering, your experience, your reliability, etc. Those that care will notice.

I am applying to school right now. Initially I was going to start full time till September 2015 but may just do two years of part time studies to start so I can get into things gradually and keep working my M-Th week with just school on Fridays. Yes I could just suck it up, and likely will but it is frustrating to say the least.

[bright sparks]

I would for sure let the parents know. Just a heads up, you don't have to make a big deal of it but if all your current clients signed on while you were offering all organic meals, I think they deserve to know that you are changing that. If they find out somehow through another source they might feel it was deceitful of you not to say anything.

I seem to have mostly families who like to know what their kids eat so if it were me I would for sure have to say something.

I agree. I signed them up with a promise of certain things and for me to go back on that is one thing but to lie about it is deceitful and really says a lot about my character. Any suggestions on how to justify it and/or explain it to them?

[5 Little Monkeys]

I would let them know that in an effort to cut costs and be able to make a profit that you will be decreasing the amount of organic food but still offering as much as you can. Explain that you are taking this approach instead of raising fee's so that you are able to stay open.

I'm not huge on the organic bandwagon but I've read a handful of articles that go into detail on what items you can save money on and not buy organic. Some food just tastes better organically so I do buy a bit of those items. See if you can find a happy medium that keeps parents happy and doesn't bankrupt you.

Cutting down on other expenses will help too. For all of us that means different things. If you don't already, have you considered making your own laundry soap, hand soap, body wash, cleaning supplies? Can you cut down on cell plans, cancel tv for the summer, things like that. Keeping lights off is a good idea!

Use coupons for things you do use like condiments, toilet paper, cleaning supplies, hygiene items. If you shop at Costco know your prices, some things are awesome at Costco and some are more money. I compare to sale prices.

[bright sparks]

I would let them know that in an effort to cut costs and be able to make a profit that you will be decreasing the amount of organic food but still offering as much as you can. Explain that you are taking this approach instead of raising fee's so that you are able to stay open.

I'm not huge on the organic bandwagon but I've read a handful of articles that go into detail on what items you can save money on and not buy organic. Some food just tastes better organically so I do buy a bit of those items. See if you can find a happy medium that keeps parents happy and doesn't bankrupt you.

Cutting down on other expenses will help too. For all of us that means different things. If you don't already, have you considered making your own laundry soap, hand soap, body wash, cleaning supplies? Can you cut down on cell plans, cancel tv for the summer, things like that. Keeping lights off is a good idea!

Use coupons for things you do use like condiments, toilet paper, cleaning supplies, hygiene items. If you shop at Costco know your prices, some things are awesome at Costco and some are more money. I compare to sale prices.

I have started price matching with an app called "flip" It is so much better than paper flyers as it is very quick and something I can check if I ever go back to the store in the week for top ups or extras. In addition I have been going to superstore for everything as they price match and I also get pc points. I have 85 dollars racked up since March which makes me very happy. I have also been buying items in bulk when on sale.

I think for me this is not specifically about me being financially short, but that I feel a bit entitled, please don't judge lol. I feel I am entitled to a pay rise, let alone a rate increase just to cover inflation. I know I can cut back to make my outgoings balance this but it kinda sucks that I have to do that to make sure it doesn't end up costing me more annually to run my daycare but shouldn't that really be an added expense of the parents that childcare costs increase and that I annually make more money?? I feel like I am penny pinching and cutting back on things in my life so they can keep their pockets fuller even though their wage goes up. I am trying hard to cut back anyway to set myself up for being a one income household in the next year or two, but my ego feels very hard done to haha...there is always something though right, such is life.

[5 Little Monkeys]

We're self employed so the only time we get a raise is when we give ourselves one. Nothing wrong with that.

For me, I don't feel entitled to a yearly raise. However, that could be because I know not all my parents are at jobs that receive annual raises either. I am lucky that my expenses don't increase each year so I also don't feel the pinch as hard as some others. I grew up with a family run business and know that being self employed is hard work, long hours and can sometimes bring in less money than working for someone else. I am lucky though that my hdc is profitable and makes me more money now than at my last few jobs. It's all relative though and for each of us it will be different.

I have decided that the only time I will increase fee's is for new families and it won't be every time. Right now I increased it by $2 and it will likely stay at this rate for at least 2-5 years. However, if things ever changed and I needed more income, I would consider raising fee's or more likely, decreasing costs. Do what you feel is best for you and your business. When the market is at it's best for us, it would only make sense to increase. When the market won't allow for an increase, we have to deal with it in other ways. Owning our own business means we will always be weighing the pros and cons of staying open vs finding work out of the home.

Good luck to you in whatever decision you decide to go with!

[AmandaKDT]

Agree with 5 Little Monkeys - your market is not allowing for you to increase your rates so you must adjust your business to accommodate. That is one of the down sides to having your own business, but that is just how it is sometimes.

[Lee-Bee]

The thing with Organic is that just because someone thinks it isn't necessary doesn't make it so....I understand that you stated this as your opinion. It is personal preference and there will for sure be parents looking specifically for this and those who don't care about what food their child is fed. Upon research and education, most people end up coming around to it once they understand the importance of it, while for others it isn't an option due to the added cost. Organic groceries are not overly expensive anymore contrary to what you may think. I buy most of my produce in bulk too which gets my costs down a lot but obviously the elimination of organic produce all together would have a much more significant effect on my purse strings. My bulk grains cost similar to those bought from the grocery store with the added benefit of being whole grains not refined and organic. My cost of food alone is not the only issue. Fuel, Gas, hydro and water have gone up phenomenally which I can't do anything about. Obviously I know then I have to cut back wherever I can to make up for the places where I have no influence. I have a bright daycare room which means I don't need any lights on during the day and right now I don't even have big eaters.

I have such a touchy group of little ones right now who don't even like crafts apart from one. It's not even that they don't do anything but simply that they kick off screaming and crying every time. As a result I now only do crafts for monthly themes and instead do treasure baskets, sensory tubs and malleable play. Loads cheaper and I honestly haven't bought craft supplies in years.

I would mention it o the families, present your case as to why you are not going to do organic...if they see it is to prevent THEIR daily fees from rising I suspect most will be fine. The family that was keen for organic will likely be fine with their child having non-organic food for the remaining months of care. I have a vegetarian family here that is fine with their child eating meat while in my care (daily) because they realize the trade off of having their child eat meat is that their child is in a daycare that both child and family are happy with. Surely they could find a vegetarian daycare but they would just be trading off for something else. I would find it surprising if they left care so close to the start of school because of a change in food, especially if you explain the reasoning.

[bright sparks]

I would mention it o the families, present your case as to why you are not going to do organic...if they see it is to prevent THEIR daily fees from rising I suspect most will be fine. The family that was keen for organic will likely be fine with their child having non-organic food for the remaining months of care. I have a vegetarian family here that is fine with their child eating meat while in my care (daily) because they realize the trade off of having their child eat meat is that their child is in a daycare that both child and family are happy with. Surely they could find a vegetarian daycare but they would just be trading off for something else. I would find it surprising if they left care so close to the start of school because of a change in food, especially if you explain the reasoning.

Wow! There is a significant difference in eating organic or conventionally grown versus being a vegetarian and eating meat at daycare. Why would they need an exclusively vegetarian daycare to accommodate vegetarian meals? It's not hard to accommodate that in the slightest or have the parent send food. Sorry going off topic but I just find that alarming!!