Even when parents choose a more affordable option for child care such as family dayhome care, whether licensed or unlicensed, there is still the concern that they are paying too much. So just where does the money go and how can the caregiver justify her charges?
A Breakdown Of Expenses
Private child care providers operating a dayhome are small business owners with daily, monthly, and yearly expenses. Unlike their larger counterpart, the daycare centre, they do not have have a large intake of children, and are, by law, whether or not they are licensed, only allowed a certain number of children in their home at any given time. Hence their income is limited by this number, as well as the availability of children in their area. As a business owner, a caregiver is hoping to earn a decent income from her business once the expenses are deducted.
Taking all things into account, a dayhome operator’s expenses fall into such categories as:
Accounting
Advertising and Promotion
Association Dues
Auto Expenses
Bank Charges
Equipment
Field Trip Expenses
Food
Household Supplies
Insurance
Office Supplies
Building and Equipment Repairs and Maintenance
Research and Development
Salaries
Supplies: Toys, Craft Supplies, Teaching Supplies, Books
Telephone
Training
Other Items – Birthday Gifts, Party Supplies
Business Use of Home Expenses
Even More Expenses
To break it down even further they’ve got: accountant’s fees, flyer and advertising costs, professional dues, car, house, and liability insurance, crayons, glue, markers, paper, art paper, meals and snacks, admission to children’s events, games, puzzles, books, movies, sand, upkeep of indoor and outdoor play equipment, tricycles, strollers, cribs, bedding, changing tables, CPR rectification, child care training, seasonal parties, gifts and treats, theme supplies, sanitation products for toys and all play surfaces, electricity, Kleenex by the truckload, paper towels, heat, air conditioning, water, garbage, gas, cleaning supplies for mopping the floor, vacuuming, and so on. Finally, when all the bills are paid, the caregiver can actually pay herself with what little may be left at the end of the month.
When a child leaves care, that leaves a giant hole in a caregiver’s earnings, particularly if the child held a full time position. Hence the need for ongoing marketing expenses in order to maintain capacity. Many small business owners
are now protecting their business with contracts and policy manuals to ensure
they receive their hard earned pay on schedule. Which also means expenses for receipt books, attendance payment schedules, printing costs………and the expenses continue.
Resources
Business Forms, childcare.net
