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Discuss everything related to paid childcare here, including childminders, nannies, nurseries and au pairs.

CM-Increases fees by 22% and adds 3 extra days bank holidays

35 replies

westendmum · 15/08/2009 21:47

Our Chilminder , whom we really like and rate, has inc fees by 22% and has said she has added 3 days extra BH which are not actually BH in this area but in an adjoining area. I thinbk 22% is too much and this means she is asking for 14 days BH when most parents get 9 or 10 and neither my OH or I get any paid BH.

I don't want to fall out but she has said that she is doing the rate inc in conjunction with the other childminders in the area so that is it ie no room for any comment or negotiation.

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danthe4th · 18/08/2009 23:41

Ok £4 an hour is what I have always charged, I was going to increase but felt my rate was fair but I do not charge BHs or my holidays, I do term time contracts and do not charge a retainer. I think she is being foolish and unprofessional, check your contract to see when the review is due and read the small print as i'm sure she has to give you warning on any changes. Like you say she's got you and you sound like a good parent to work for so its her loss if you move.

westendmum · 18/08/2009 22:37

Thanks for your message atworking not working - I am holding off for a month to see if the relationship recovers. I think
been able to talk it out on here helped me be measured but there is as you say some uncomfortableness. I am prepared and always have been to treat her well-she looks after my most precious people. So I will try and see how it goes. If it doesn't work out I have worked out the alternatives and obviously they save a fare bit every month.

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Ripeberry · 18/08/2009 17:52

I'm a CM and I think if CMs did seperate contracts for term-time and holiday times then there would be less messing around.
I'm term-time only but I am flexible and will cover a couple of days each holiday time BUT I don't work BHs and don't expect to be paid for them even if mindees were due that day.
I just expect to be paid on time and I will work for the hours required.

atworknotworking · 18/08/2009 17:16

I must admit as a CM I am often told by my association that I'm too cheap, reasoning at the moment is that if minders offer their service at to cheap a rate it devalues what we do, I understand their point of view as we now have to provide education as part of our service, do a huge amount of paperwork and training which generally has to be carried out in our own time and we work awfully long hours a typical day for me is 7 - 6pm sometimes longer and we don't have a lunch break as we have to be with the mindees all the time, I often get up at 5 and can still be updating the childrens records, doing accounts, planning etc till gone 9/10 at night, I dread to think what my actual hourly rate would be if I factored every hour that I work into my rate's.

But, and I feel that this is the point your cm is missing it is not up to the association to set charges, they can suggest, advise and guide but a cm is self employed and ultimately is responsible for the running / financing of the business and I have to disagree with her that she is not entitled to bank holidays, I use a lot of s/emp tradespeople not one of them has insisted that I pay them for a bank holiday, and I wouldn't use them if they did.

I think that you now need to decide if your relationship with this cm will be amicable, it's sometimes hard to get over disputes like these and resentment can set in especially as it seems that you have been pretty fair in the past with regard to paying in advance as is a bonus at x'mas. You are right to consider your childs feelings, but from the other side of the fence I would find it hard to work with a parent if I knew as yours does that you were a very unhappy bunny, parent partnership with a minder is very important you should have mutual respect and understanding if you feel that you have lost some of that I would seriously consider changing.

westendmum · 18/08/2009 09:51

PS

Thanks for all you help and messages. It helped to enable me to have a rationale conversation with her without getting annoyed.

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westendmum · 18/08/2009 09:50

Update

I spoke to her and explained I thought it was too steep in this climate but she has had her head turned by a forceful woman in the CM association. I don't think she is that comfortable with money nor understands that I am paying already 30% extra in holidays on a Monday. She basically says she is entitled to BH as that is what these other CM are doing? Nor does she appreciate that I have happily paid all the holidays as well rather than seek a term time contract.

I feel quite hurt and upset by it as last year she did not put prices up but I delibrately gave her a sum of money a Christmas which would have equated to about a 4% increase.

I have explained that I would have understood if it she had said she missed a rise last year which was her first year and so she was doing a double inc this year say 10%? ie 2x5%.

She is now charging £4 an hour which is above the other childminders in adjoing villages. Her original rate was exactly what the other CM were charging -a few were a bit cheaper. There are now 2 CM who are not in her group who are continuing to charge the original prices whom I can change to . It is the fact that you have settled your children and they were happy and she said she was happy. I paid 6 months in advance in order to give in some ways an added bonus and I just feel I have now been pushed wrongly into a situation that is unfair and is effectively them forming a cartel.

Basically she has me over a Barrel as the childrens' happiness comes first. I gave her a glowing report to the inspector as she wanted to get a good grade. We had a really good relationship but it has soured that in some ways and I now doubt feel there is not genuine interest for the children but it's about money and nothing else. It was not in some ways the rise that bothered me but the complete lack of interest or concern that there should be any justification or rationale to the raise or any thought to how it might effect us.

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Ripeberry · 16/08/2009 20:01

Maybe she was charging too little in the past and has just realised it? You need to check with other local childminders.
Many don't charge for holidays as they do term-time only.
Each CM has their own business rates and methods and you just need to find the right one for you.

Laquitar · 16/08/2009 19:33

I think that llareggub might be spot on. I would check with the other parents to find out.

DoIreallywantanotherbaby · 16/08/2009 19:09

I do charge for BH but I'm available for work on these days if I was not, I wouldnt make them pay. They do not pay me for any day off I take. 22% is a massive increase, I wouldnt dare doing that in this climate !

sporadicname · 16/08/2009 18:52

It really does depend on what she was charging before. For instance if she was £2.50 an hour before then she would be £3.05 an hour now, which isn't out of the way, though I understand it would build up for you over the month.

The bank holidays seem very strange though.

HappyMummyOfOne · 16/08/2009 18:41

I'd look at nurseries or other forms of childcare, 22% rise is OTT in this climate and cant possibly be justified.

However I wouldn't be paying for hols, BH's or sickness either as being S/E means you dont get the perks of employed people.

welshdeb · 16/08/2009 12:35

I do think that this is excessive, when most of us who are luck to be in job are facing zero or even negtive pay rises.
There may be other expanations if possibly she was newly set up and had been charging a low rate as an introductary rate, however she should have been upfront about it if this was the case. How do her rates compare to others in the area? If they are now in comparison with other then its only fair that she brings her rates up to a market rate.

With regards to bank holidays it does irk me that child minders expect to be paid for BH, and other holidays or absences when they are not employeees in any other regards. I have no problem with childminders charging a fair rate btw in order to earn a decent income.

In my view they should do what other self employed people do and charge a hourly rate high enough to cover these instances. Its then transparent to parents what they pay and when, so that if they need to find alternative childcare they have the money to do so.

AtheneNoctua · 16/08/2009 12:20

22% rise is outrageous. I would definitely start talking to other parents and see if they were informed of the same hike.

What the CMA advises on the matter is neither here not there. You as a parent are not bound by the childminders professional/trade organisation. Id they want to advise childminders to take parents for a ride they can. But, that in no way obligates you to be taken for a ride. I think I'll start an organisation for parents who use childminders and encourage them all to ask for a 30% reduction in fees and refust pay any bank holidays, sick pay, CM holiday's etc. as these are perks reseverd for employees. And if the CM wants to be an employee then she should show at my house at 7:00 am and be prepared to organise her day as precribed by me. Oh, and I will tell her when she can or can't have holiday.

Seriously, industry standard and fair practise are somewhere in the middle. But a 22% hike is outrageous and I certainly would not pay it.

atworknotworking · 16/08/2009 09:16

I don't work bank hoidays but I take them as holiday's out of the 3wks a year I have off, I only do before and after school anyway on Mondays during term time, but work mondays during holiday club to cover the older childrens needs, so its not been much of an issue with us. I dont charge parents when I am on holidays though anyway.

The way I work out fees is as follows, I plan a year in advance when I am off, I work out how many days a year I would have a particular child (not including bank / hols / my holidays or parents hols) add it together then ./. by 52 wks. This way parents pay for the care they actually recieve and its spread over the year so I still get something when I'm not working even though they don't pay me for holidays, which helps me budget and the cost is spread out more for parents so during holiday clubs the bill doesnt shoot up for them.

A 22% rise is pretty hefty and its a bit strange if all of the minders in the area are doing the same thing, I havn't put my prices up for 4yrs, I should but I know some of my parents are struggling as it is and have had shifts / wage cuts so I can't see the point of increasing atm, I'd rather get 100% of fees on time than 60% of fees late and have to chase around for payments. I do wonder though how my parents will feel when I do have to increase as it will probably be quite a change for some.

Can you ask the cm if she can provide childcare for an alternative day when it's bank hol's as you have paid anyway?

thirtypence · 16/08/2009 00:44

Ds's nursery wondered why they were finding the Mondays and Fridays hard to fill when they opened. I pointed out that it was maybe because they charged for days they were shut and these were much more likely to be a Monday or a Friday, and they opened just as all the bank holidays were likely to happen. Many of the mums worked in retail and so were unlikely to actually have the bank holiday off anyway and would have to pay twice for child care.

Ds was there when Christmas and New Year fell on his days both years - just unlucky!

I have put my teaching fees up when I wanted to reduce my evening teaching - and not lost anyone (though I have never gone above 6%!) so now if I want to reduce I just give them a term or two terms notice that I will not be teaching on a certain night.

westendmum · 16/08/2009 00:33

Ooh! I never thought of that -maybe she does not want to mind mine anymore? MrAnchovy hit the nail on the head-they are p/t but we have every mon and fri so we get evey bh. so i worked out that I pay an extra 30% to have a Monday?

I'm not sure the powers that be thought that out!

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danthe4th · 16/08/2009 00:32

How much was her rate and what has it risen to. The information on its own is meaningless it may be she was very cheap and has only just realised.How much warning did she give you as effectively she is in breach of her contract if she has not done this at an agreed contract review. and where do you live as I haven't heard of any extra bank holidays? You do not have to agree you can negotiate if she is not prepared too you have to decide if she is worth paying extra for, it depends how much you value her. Have you gone on the childcare local website and checked rates of the other minders, you could ask her who the other minders are that have these rates and all these extra bh

MrAnchovy · 16/08/2009 00:21

'I have just finished training to be a childminder and they suggested you either have paid holidays or build it into your daily rate.'

Well that might work if you use the childminder 5 days a week 52 weeks a year, but they really haven't thought that through have they.

What if you only use the childminder on Fridays, and the childminder likes long weekends so takes Friday off 10 times a year? What if you only use the childminder for three months and she takes two weeks of that off?

The only way that it works fairly is for the childminder to only charge for days she actually has your children: this might require the CM to do some sums to work out how many days a year she is not going to be paid for and adjust her rates accordingly, and it might require the NCMA to stop gazeing at their navels and consider how it should best help their members to provide a professional service.

Perhaps if they thought things through and presented reasoned, professional arguments they might not have been completely ignored by the Government over EYFS. Childminders, you need a better organisation than NCMA.

navyeyelasH · 15/08/2009 23:42

can I ask what she has raised the pirce to? I mean if she charged £1 before and is now charging £1.22 for eg. Also is she proposing to offer you more things in return for more money? Outings, better food

llareggub · 15/08/2009 23:36

My childminder increased her rate significantly and in the end I decided it was because she no longer wished to look after my DS, so I gave notice. I can understand small increases but 22% is outrageous.

westendmum · 15/08/2009 23:31

No she was charging what all the childminders in the area were charging -there are only maybe 6 childminders in the area.

The other parents who go to her don't seem a if they could afford such a rise either so I am tempted to call them and arrange for us all to object but that seems a bit underhand.

Thee is a new chilminder very near us so I will call her in the morning and ask what she would charge and then I guess have some discussion-not that I really want to in case it all goes wrong.

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Heated · 15/08/2009 23:29

How much is she going to be charging? Surely it must be in line with everyone else, or she'll price herself out of the market?

westendmum · 15/08/2009 23:25

I had a look at the NCMA contract page and that is very interesting as we both work on BH but the childminder is definately not available so we work it through relatives and work from home if necessary.

I guess the real problem is I feel I am being taking advantage of so I will have to asl her to justify the rise.

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navyeyelasH · 15/08/2009 23:18

I have just finished training to be a childminder and they suggested you either have paid holidays or build it into your daily rate.

Seems weird but I suppose if enough parents refused it then CMs couldn't do it. 22% is a lot, was she charging you a lot less than the going rate in the first instance?

westendmum · 15/08/2009 23:15

Thanks for your comments. The bank holidays are the normal ones =9 plus 2 local holidays in city next door and 3 that are not actually holidays as such but the local libraries etc shut on them.

I only use the service in term time but pay 1/2 fees for the other weeks of the year for a 31 week need I pay 46.5 weeks full fees .

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