Help With Determining Tuition

[maitia]

Hello, I'm new here and I'm starting a daycare center in Pa. I do not know how to determine my rates. My center will accept chidren from weeks to 5 yrs. I was thinking about visiting local childcare centers in my area, but I was'nt sure If the owners would be helpful. Can someone please help:confused:

[pinkbunny85]

I'm in PA too. I don't have daycare yet. However, in my area centers/in home aren't very forward with telling prices. Though I have a lot of friends with kids in different daycares around here so they helped me out with prices.

[Cat Herder]

The way I figured my rates was by adding up all my personal monthly financial obligations. Ex. $2500.00

I took that number and divided it by the number of children I am legally allowed to keep. Ex. $2500.00 divided by 6 = $416.67

I then took that number and divided by 4 to get my weekly rate. Ex. $417.00 (rounded up) divided by 4 = $104.25

I then rounded up to a whole number....$105.00 per week/per child

I then checked around to be sure I could be competitive with that rate and adjusted as needed, this year I got to go up.

Everyones rates would be a bit different.

[pinkbunny85]

Cat,

I know that you said you added up all your personal obligations. Did you also factor in your pay. I mean in your example of $2500.00 does that factor your pay as well?

[Cat Herder]

Cat,

I know that you said you added up all your personal obligations. Did you also factor in your pay. I mean in your example of $2500.00 does that factor your pay as well?

I may not be understanding your question. I have seen me do it before. I meant it as what I needed to earn as my pay. I have no assistants.

The $2500 a month is what I have to earn to pay my bills and be able to stay home with my kids. Because of my market area I was able to charge more. I also have the flexibility to lower my rates if times get tough here without losing my quality of life (all my extra goes to retirement so I don't get used to having it, )

I am also very fortunate to have such a low number as I paid off all credit and auto debt before opening AND I am married so our obligations are cut down the middle (we used to be co-workers and earned the same with same job title prior That makes things less complicated, IMHO, as nobody is "The bread earner".).

Some providers monthly financial responsibilities are much higher, some lower. YKWIM?

Edit... It just occurred to me you probably meant cost of the daycare.... That number was calculated into my initial $2500. I opened in 1994 when things were MUCH cheaper and have been paid off for a very long time. It would be horribly difficult for me to start my program today without yard sales, discount stores, and resales from the church families classifieds.

[pinkbunny85]

you definitely answered my question plus some. thank you!

[Unregistered]

PA Daycares

You can always mystery shop pricing from other centers or home daycares. I work at a PA center and every spring there are a bunch of women that come in asking about daycare prices, etc. There are several centers that put pricing on their websites as well. I don't know if you can get pricing from Child Care Information Services (CCIS) or not. You could always ask. Worst they can say is no.

[MyAngels]

My resource and referral network office keeps track of the rates in my area, and will give out the "average" rate for both centers and home daycare providers, which at least gives a ballpark as to what the going rates are in this area.