CM club: payment methods

[KaySamuels]

Just wondered how everyone else gets paid. I cm for four families (6kids), and have

• two pay by standing order (same set hours every week)
• one by cheque (hours differ each week, but have a minimum paid hours)
• and one by cash (different hours each week arranged in advance) all weekly in arrears (yes I know, I know).

Any extra hours in hols or parents overtime are paid by cash. This week I have 3 families paying extra by cash (standing orders not updated yet/ extra hours).
I often think I should be paying my cash payments into the bank to up my credit rating really, but am always desperate for something by the time I am paid, and it gets spent before I get to the bank!

What does everyone else do, and if you get paid in cash, do you bank it?

All mine pay by cheque a month in advance, used to have one that paid cas, it was great used to put it in a pot and then always had cash for the week, now I forget to get any out its a pain when you get to soft play a nd havnt got any , at least I was with other CM's who know just how forgetful I am and lent me the entrace.

Some on childcare vouchers, their balance & others are usually cheque or online bank transfer. 2 are cash.

I've put a list of ways to pay on back of my invoices, which includes paypal & nochex but neither of those have ever been used for childminding. Figured the more ways to pay the fewer excuses to pay late!

I invoice my parents monthly in advance, and add any extra hours (rare) on the following month if they haven;t already paid me in cash for them)

All but one of them pay the money directly into my bank a/c the other gives me a cheque

I'm normally paid by cq or vouchers, but if I do get some cash I do the same as Shosha and keep it instead of thinking that I have to go to the cash point to get it.

2 pay cheque

1 pay cash (which currently 1/2 pays for dd creche, and rest going into my tin for childminding expences such as toddlers, extra bread/milk ect. from local shop)

The thing that made me think I should pay my cash into the bank is so that the bank can see how much I'm earning, in case I ever need their help. Have any of you ever got a mortgage or anything whilst minding? If so how do he bank assess your earnings?
It's a pain going to bank tho as I can't drive so takes up time I don't really have, but went today as dp gave me a lift.

I won't accept cash (normally)

How are you going to justify your income to the Inland Revenue if it hasn't got a bank entry/chq?

I hate cash as i just spend it on nothing things. I dont take cheques, bank in main town and no time in my busy life. all my clients get an invoice mid month for the next month starting the 1st. they then do bank transfers or some use voucher system.

Katymac - I earn so little I doubt inland revenue would ever question it! I use receipts and parents sign attendance book and contracts. Never even thought of the inland revenue aspect. From yesterday though I have and will continue to pay money into the bank, even if I do spend it straight away!

i JUST got a mortgage accepted with Abbey last month and they assessed my earnings via my contracts! It took longer than a normal acceptance for a mortgage because im self employed and for less than 12mths plus we were going over budget by 60k but finally it all got accepted and all happy!

The thing is tho as im relocating if the bank really use there heads they should have realised all those contracts mean nothing when ive moved as I have to start again but luckily i have another job else where!

As per payments - I get paid cash weekly / Bank transfer weekly and monthly. Much prefer Cash over all the rest.

went to Inland Rev meeting last mth-they told me they wouldnt ever ask to look at u paying money into your bank! They understand we are childminders and how we work ??

But they do have to check tax returns - although unlikely, you have to be prepared in case they want to see your accounts; you would have to justify/provide evidence to support the submission you made.

I've often wondered what would happen if your accountant lost your receipt book (i know some people send them thru the post ... If every transaction went thru your bank account you've got back-up proof. And if you had a fire/flood or something and lost your receipt book/invoices BEFORE you'd done your accounts??

although I have a separate business bank account I've yet to make a cash deposit at the bank. Firstly cos the only branch is in middle of town and would waste most of the day getting there, secondly cos I usually need to spend it; although I'm trying to use my business debit card for as many transactions as possible.

Katymac - what do you say when someone offers you cash, they mostly think they're doing you a favour!

I say "I used to work for the Inland Revenue, therefore I have to follow the rules - there is no way I could claim 'well I didin't know/understand' is there?"

There never seems to be a problem after that

The Inland Revenue have checked my accounts, and the only stuff they were interested in were my expenses. They didn't nit-pick over them, accepted that I didn't have receipts for everything (even for things over £10), and were not interested at all in my actual earnings.

I get paid with cheques, with vouchers, and in cash. I post the cheques to the bank, wait for vouchers to be paid in automatically, and spend all the cash!

I have never had a problem getting loans, even though I am self-employed.