Working out monthly payments

[chloemegjess]

Hello. I am a new Childminder and hopefully getting my certificate next week.

Meeting with some parents on monday and one thing they have asked is about payment.

How do you work out what they need to pay monthly? They had hoped to set up a monthly direct debit but surely the amount isn't the same each month? SO what do you do?

They would be paying £4.25 per hour for 9 hours a week. So how the hell do I work this out on a monthly basis? Just can't figure it out and said I would let them know monday.

What does anybody else do?

Chloe if you email me i will send you a example of how i invoice parents monthly, all mine pay thet way.

nanny 475 at hot mail dot com

Ahh, that is really suppotive.

This is what I like about this site, I was not being sarcastic if that was how it was taken. The fact that a person takes time ou to help another, who has knowledge to help someone is really nice.

Thank you. I emailed but it came back unsent.

My eamil address is [email protected]

Would be grateful if you could email it to me, thank you

monthly payments:

£4.25 x 9hr= 38.25 per week
38.25 x 52 weeks= 1989 per annumn
1989/ 12 months=
£165.75 monthly

i would work it out the same as active c BUT gen cm dont charge for holidays, so you might need to take off 4 weeks

might be easier to get her to do a weekly one and then pay for each week you use

I do mine Jan-Dec and like ActiveC said but with hols and bank hols taken off.

So if it was me, if they were starting tomorrow, this year I'd be charging:

£4.25 x 9hr = £38.25 per week
£38.25 x 9 weeks = £344.25 for remainder of the year (if you have any time off between now and end of year, you'd need to deduct that from the number of weeks you're charging for, unless you are paid for your hols)
£344.25/2 months = £172.25 per month

Then for 2009 I'd be charging:

£4.25 x 9hr = £38.25 per week
£38.25 x 48 weeks (as I have 4 weeks hols UNpaid) = £1836.00
£1836/12 months = £153.00 per month

Now, if the hours are not on a Monday or Friday then bank hols don't have to be included. If they do come on a Monday and/or Friday, you need to think about those days. Will you be charging? If so, will it be normal or double? I personally don't charge for bank hols so I deduct these as if they are extra odd days holiday.

HTH

also you

as there are 52.14 weeks per year
(52.29 for a leapyear)

not sure what happened there...

shiould have saud You NEED TO MULTIPLY BY 52.14.... as there are 52.14 weeks per year
(52.29 for a leapyear

To get this accurate I think you need to calculate costs hourly, by looking at say the entire of 2009 and working out how many hours in total the child will be attending that particular year. Then dividing into 12 chunks.
Initially you could charge a deposit, to offset any additional expenses incurred - such as extra hour here and there. Also arranging that payment is made in advance, not in arrears, so should they terminate part-way through a year they are not left owing you too much money. Any extras such as chargeable outings could then be charged on the monthly invoice in arrears, with the parents paying for that separately to the standing order.

I am still confused, Sorry. I hate numbers and maths!

So if they say started tomorrow, How much per week would it be for the rest of the year? I don't want to deduct holiday yet really as I probably won't use all 4 weeks. And I am having a baby in April so will need to give money back for that when the time comes.

Do you have a spreadsheet?

OK very basic method

Get a dairy/calendar for the end of this year & next year

Put a red cross on each day the child will attend (remembering bank holidays & time off at Christmas) between when child starts and when you intend to start your maternity leave.

Count the red crosses

Divide by the number of months (eg Nov, dec, Jan, feb, mar & Apr - means divide by 6)

That is your monthly fee

Oops then times the answer by your daily rate......sorry I forgot that

Thank you so much for all your help guys! I worked out it all today and typed it up on the pc to give out.

Thanks again, really helpful