Quote Originally Posted by SevenwatersDaughter View Post
I get paid two weeks in advance, every second Monday. So this coming Monday is when parents would pay me for the next two weeks. I have a $20/day late fee policy which is very clearly laid out in my Parent's Handbook.
Awesome - This late penalty is just for instances like this - something she agreed to. But a contact is only effective if you enforce it. Absolutely, for this one off time, she can pay you late and as she knows, the penalty for doing so, is $20/day. If she doesn't want to pay the penalty, then she needs to pay on time. Simple.

Well, the boy's mom called me this morning (I don't know why she didn't just ask when she dropped him off an hour ago) from her work, asking me if she can wait until next Friday to pay me (instead of Monday). She said that it's because her power got shut off because she couldn't afford to pay it, and because her son's birthday is tomorrow and she needs to use the money for that.
This is a sob story. She's playing on your heart strings. She hasn't considered that you not being paid might mean your power gets shut off or your child missing out on a birthday gift. It is not your job to financially support your clients. Make that message clear for the beginning or this will be an on-going issues.

"Although I fully empathise with your situation, I too have bills that are due plus I need to buy groceries/supplies for your child as well as my own."

How would she feel if her employer told her that her salary wasn't being paid because the company had an unexpected expense but not to worry, she'll get it later in the week?

A friend of mine who knows her told me she is going through a pretty brutal divorce right now, so I feel for her. It can't be easy, and she's got two other boys in school already. I want to help her out.....
Don't! You have known this woman for 4 weeks. If you had a new neighbour would you work 50+ hours a week for them and also help them out with their bills? No, of course you wouldn't. This isn't your best friend for over 20 years going through a hard time - it's a client trying to pass her financial woes onto you. She is trying to make her lack of funds, your issue. Don't allow that.

Should I a.) allow her to pay me the full payment on Friday and tell her not to worry about the late fees this time,
No, no, no, no, no. If you aren't prepared to respect and enforce your own contract, why would this client respect it. Will she bring a sick child next week because she can't afford a day off? Will payment be late at Christmas because she has that to plan for? If you are crazy enough to permit the late payment - you must apply the late fee as per your contract. But this is not the way I'd go. No fees = no care.

or b.) don't allow it, and if she doesn't pay me on time, charge her the $20/day late fee
Ding, ding, ding - winner, winner. Do not ever allow a client to think that payment on time is optional. Don't allow them to think that a sob story is all it takes to delay your payment. Be clear - fees are always due on due date. And you will charge her the late fee if not paid on time. But don't allow this to go on and on or be a regular occurrence.

or c.) insist that she pay at least half on Monday and the other half on Friday -- and if she doesn't pay by Friday, tell her I won't take her son until she pays the rest?
Don't negotiate for your own fees! Don't offer payment plans! Don't make it easier for someone not to pay you when your fees are due. Every single time she hits a financial issue, you will be the default for non-payment.

I sympathise, I really do. It's clear this client is struggling financially and I know what that's like with a young family. However, there a some bills she won't consider putting off such as mortgage or rent - and you need to ensure you are seen as one of those non-negotiable bills. If she thinks you are willing to wait for fees this time, next time she's struggling, she will expect you to wait again. You can't plan for your own expenses this way so make it clear from the beginning that you will never be one of the bills which are delayed.