How to Write a Great Daycare Contract

Writing a daycare contract that parents will understand and agree with is important. Writing one that will hold up in small claims court is essential! Read on!

Things You'll Need

• Computer
• Document software, such as word perfect, Microsoft Office, etc.

Instructions

1. 

   Decide ahead of time what your hours of operation will be, what your rates will be, which holidays you will close your daycare, etc.
   Don't think that you need to put every detail into the contract; you can write your daycare policy separately, in a "daycare handbook", allowing your contract to just cover the critical details, which you would repeat and elaborate on in your policy.

2. 

   Start your document with your letterhead. If you don't have one, make one. Make it look professional.

3. 

   Keep it simple. In the event that you have a parent that breaks a contract, and doesn't pay as agreed, you want your contract to be simple to understand by the parent as well as the judge. You want the judge to agree that the parent understood the contract, and knowingly violated the agreement, assuring you a quick ruling in your favor.

4. 

   Rates
   ---list your rates
   ---include when they are due, and what the consequence will be if they are late
   ---list specifics, for example: "the parent and the daycare provider agree that this specific rate of pay will be paid on Monday morning for the following week. It will include pay for the holidays listed below, when the daycare will be closed. The parent understands and agrees that no credit will be issued for sick days or for absent days."

5. 

   Payment
   ---include when should parents will pay you...in the morning, on Monday, for the rest of the week, or on Friday afternoon, at the end of the week? Be specific.
   ---late pay...what will be the consequence? ($10/day, or maybe, after two weeks of non-payment, this contract will become void and I will take legal action, etc.)
   ---Bounced check fee- how much of a fee will be assessed, and if parent will be required to pay in cash in the future, etc.

6. 

   Holidays--If your parents are paying you for holidays, you need to state this in your contract, and be specific about which holidays are paid holidays. You can elaborate about this again in your daycare handbook.

7. 

   Vacations--if you require that your daycare parents pay you a partial rate or a full rate during their vacations, state this policy in the contract, as well as the length of notice you need for their vacations.

8. 

   Probation--if you want to have a getting used to period for you, the daycare parents, and their children, include this in your contract, along with the length of the probationary period, for example "The provider, parent and child have a probationary period of ten business days. During this time, either party may end this contract without penalty."

9. 

   Termination of services--include your policy for terminating services, for whatever reason the other party would end them....discipline reasons, they are going to move, whatever.
   For example, "the parent, upon deciding to terminate daycare services, will give the daycare provider two weeks notice. Termination without notice will require full payment for two weeks daycare.

10. 

    Make signature lines for two parents, and for yourself, and a place for the date, and print a copy for the parents (separate if they are separated) and another copy for you.
    You need original signatures on your copy. If you change your policy, you need to print a new contract, and get the parent to sign and date it.

Tips & Warnings

• Always give credit where credit is due...some ideas are paraphrased from Childcarelink.com .

Resources

• Daycare Info
• Darling Daycare