Upfront childminder costs & protection

dizzybuff

Paying advance is normal practice and protects the childminder and the client. meaning if you give notice you will not have to pay notice for that month , if that makes sense.

What I would do is make sure the contact is read througherly and the payment in advance is recorded on the contract . She should also provide a receipt for this due to her having to keep records for her tax return .

My childminder of 6 years had advance payment for both my children up front. its more of a retainable deposit so to speak .

what ever agreement you come to make sure its recorded on the contract. she may just be following what other childminders in the area put as a pre requisite. Some ask in advance some in arrears. At the end of the day she is running a buisness regardless if she is a freind she has to think about protecting her livlyhood if you suddenly decide not to use her anymore. meaning you wont just remove your child and ride out your advance payment , if that makes sense


If she is registered make sure you check to see if your employer offers childcare voucher scheme. Also remember to deduct this scheme from your pay if claiming tax credits before declaring if it is paid pre tax.
Why do they make it so complicated

susancs

In our area all childcare settings (childminders, nurseries, pre-schools, afterschool clubs) charge in advance and I don't know any that charge in arrears and they take deposits before the child starts which are kept until the child leaves. Childminders pay for insurances, registration, food and activity materials for the children they care for in advance, so would be out of pocket if parents paid in arrears all the time.

Childminders are self employed and set their own terms and conditions and if you are not happy with this childminders contract terms before you start, it may be better to look elsewhere.

In regard to protecting yourself you need to ensure that you fully read the terms of the childminding contract and agree with it before signing it or handing over any money. Both of you will be legally bound by the terms of the contract and can take the other party to small claims court in the event of a dispute about money. There may be clauses in the contract about paying (or not) for childminder and your holidays, bank holidays, sickness etc, termination of services notice periods for you and the childminder.

If you are claiming the childcare element of working tax credits don't forget to average it out over the year as you will pay more for school holidays than after school care. e.g. you work out 38 weeks at the after school rate and 14 weeks at full day rate, add it together and divide by 52 for the average weekly rate. This will mean you will be paid more during term time every month and have to save that to pay for holidays. You will have to adjust that down if your childminder does not charge for holidays or bank holidays.

JPS99

Thank you all for your replies.

She has become registered this week, previously we have had an informal arrangment which has included me taking care of her children when needed rather than any financial commitment.

Please don't get me wrong, I understand this is her business and she has upfront costs to pay and I am fully on board with paying her for my childcare. I have helped and supported her through the whole process of getting registered.

I was shocked when she asked for so much money up front because I have used other childminders in the area all of whom charge in arrears and my work colleagues all pay their childminders in arrears.

We are sitting down over the weekend to look at a contract and agree charges and I have already mentioned to her that I just can't afford that much at the drop of a hat so we will need to work something out.

I just wanted to gauge what other people's experiences are of childminder charges etc and can now see that there is no real standard and much variation from region to region.

My honest opinion on the matter is that 2 months upfront is too much to ask for childminding, but I also understand the security it gives. So I will be suggesting a reasonable deposit plus paying in advance rather than arrears and thoroughly checking all the clauses in the contract.

Thank you everyone

iammumtoone

I pay in advance, it doesn't matter if my child doesn't go due to illness as I would have to pay for the space anyway. Its a company so slightly different I don't get the problem if the childminder is ill as there is more than one member of staff.

The contract also stated that I have to give 4 weeks notice to end, therefore once I give this notice, I wont pay for the final four weeks as that will come form my advance payment at the beginning iyswim. When the prices rise I also have to pay the addition costs for the 4 weeks up front as well.

I do work different hours so in addition to my set hours (which I pay as above) I also pay for any extra required, this payment is due on booking.

4 weeks/month in advance is acceptable but as a newly registered childminder that has yet to build up a repetition I don't think your friend is going to get many clients if she is asking for two months

fru-girl

Our childminder charged me a retainer fee (deposit) to hold the place - but that's because I spoke with her in July and we needed the place starting September. The retainer fee was something like 2 weeks worth of childminding fees, she said her rule was 1 week for each month while she holds the place for us.

However, that retainer fee was credited towards the first month fees, apparently that's how many childminders operate. Also, all childminders in our area (and all after-school childcare providers) charge 1 month in advance.

If you start right away with her, she has no reason to charge a deposit at all, in my opinion. The contract stipulates a notice period so you can't leave the next day, and she has time to look for someone else to fill that gap.

fru-girl

PS. In our area only babysitters are paid at the end - after looking after children, but that's each session.