As the end of the year approaches, child care providers have a lot on their minds, including managing enrollment, schedules, and budgeting for the coming year. However, in addition to making these preparations, caregivers are also likely working on distributing daycare invoices for each family they served throughout the year.
Preparing these invoices can be a daunting task, as providers sift through a year’s worth of data and bills to provide an accurate list of each family’s yearly expenses. As they prepare these year-end receipts, child care providers should also be aware of several tax forms that will be required to track their finances.
Addressing FAQs About Year-End Daycare Invoices
To this end, Procare has compiled this list of frequently asked questions surrounding year-end daycare invoices to help providers navigate this complicated process.
Are Daycare Invoices Required?
While child care providers give this information on a weekly or monthly basis as they are paid, they are not required to provide a year-end receipt to parents.
Though year-end receipts are not required, it is still prudent and professional to prepare and distribute invoices for parents.
What Are the Benefits of Daycare Invoices?
While time consuming, creating these invoices will provide a host of benefits down the road.
First, it is courteous to provide this record to parents, as many of the families your center serves may qualify for tax credits in accordance with the 2441 form from the IRS. As parents seek to take advantage of this credit, care providers should be prepared to give them a comprehensive list of services in a timely manner.
Additionally, preparing the year-end receipt will help to ensure that you and the family are on the same page with how much they owe and have been charged. This will be valuable in the event of an audit, allowing your center to clearly demonstrate exactly how much you made, and that your records match how much each family says they paid you.
What Should Be Included in a Daycare Invoice?
When building out your year-end invoice, you will want to include your name and contact information, as well as the name and contact information of the specific family.
You will then want to include a line that describes what each expense accrued by the child was for, as well as the price. This might include:
- Child care tuition
- Special equipment
- Transportation fees
- Late pickup fees
Once all of these charges are accounted for, you will want to include when the parent paid, and how they paid. For example, did they pay by cash or card, etc.? This will make it easy for parents to confirm each charge by consulting payment confirmation emails, or their checkbooks.
Gathering all of this information can be time consuming. It might take some time to locate each monthly receipt. Providers that use Procare’s child care management software can easily print or email year-end statements to parents based on the data stored in the Family Data and Family Accounting modules.
Who Should Receive an Invoice?
The family of each child you cared for throughout the year should receive an invoice. It can be easy to overlook children that only attended a few times, or who left in the middle of the year; however, accounting for this revenue is equally as important to your financial records.
With Procare, providers can send invoices to families with currently enrolled children, as well as those who had children attend at some point during the year.
Extra Year-End Forms to Be Aware Of
In addition to the statements providers send out, there are also some common tax forms associated with year-end that daycare owners should be aware of.
- 2441 Form: Again, this is the form parents must fill out in order to receive child care credits and deductions.
- W10: Parents are required to have this form filled out by caregivers in order to be considered for child care tax deductions. Providers are required to fill out this form if requested by a parent, and must provide their Employer Identification Number (EIN). The W10 form is accessible within Procare Software.
With the end of the year approaching, we hope these answers and tips help child care providers to create organized daycare invoices in an efficient way.
Learn more about how Procare helps providers track invoices and billing here.
Interested in learning more about tracking your child care expenses? Check out these related blog posts:
Professionals seeking to pursue a career in child care or daycare management are motivated by their passion to improve the lives of their students. In order to do this, it is important that these individuals have a strong understanding of the developmental needs of children, how to communicate with their families, and how to ensure kids’ health and safety while in their care. This understanding helps child care professionals establish an integral trust between themselves and the children they care for, which ultimately fosters stability in kids’ lives.
There are several qualifications that aspiring professionals in the child care field must meet. These requirements can vary based on state licensing regulations, or the requirements of the school or daycare center. In order to be successful in this field and reach the level of responsibility desired – whether a teacher, daycare director, or daycare owner – candidates must complete various courses and trainings that qualify them to provide and contribute to:
- A safe, healthy learning environment
- Quality curriculums that promote child development and parent involvement
- Business operations and administrative tasks.
Typically, to acquire accreditation in these areas, child care professionals will have completed degrees in early education or elementary education, or pursue continued education degrees in daycare management.
In addition to these classes and course work, daycare management professionals are often required to have their Child Development Associate (CDA) credential, or Child Care Professional (CCP) certification – these are two of the most commonly recognized and required daycare management certifications. These programs can be rigorous. The CDA requires prospective candidates to have completed 480 hours of experience working with children within the last five years, as well as 120 hours of formalized child care. CCP certification requires 720 hours of experience, and 180 hours of training in nine specific areas of care.
Successful Daycare Management: Training, Courses, & More
These certifications, as well as many daycare management education courses and programs, focus on providing enrolled care professionals with the following core competencies.
Create a Safe, Nurturing Learning Environment
It is essential that daycare providers have the skills to keep children safe and healthy, while still encouraging curiosity and exploration. While pursuing daycare management education, providers will learn how to create this environment.
Care providers should assess the space from a child’s perspective, looking for hazards or items that might cause accidents, such as sharp edges, or uncovered electrical outlets. Caregivers must also be careful with how they store food and medications. If children require medicine, caregivers should store it up high, behind a lock. If there are any allergies, food will have to be stored accordingly to ensure there is no cross contamination.
In addition to safety measures, daycare providers must create welcoming centers that encourage early childhood development with age appropriate games and toys, as well as child sized chairs and tables, natural light, and ideally an outdoor area.
Promote Development Through Curriculum
The primary goal of any child care provider is to educate their students. Courses in daycare management teach providers how to build out programs that promote development across all core functions such as cognitive, physical, emotional and social skills. This will include creating customized plans by age group, from infants, to toddlers, to preschoolers.
In addition to teaching daycare providers how to plan these nurturing curriculums, a strong daycare management program will also help to develop the skills needed to observe and evaluate each child’s developmental progress. This ensures the highest quality, individualized care, as instructors observe and alter plans based on the pace of each child’s growth. Furthermore, these trainings will help daycare instructors create plans for parent engagement, for how to best communicate and build relationships with families to align learning.
Business and Administrative Operations
In addition to preparing child care professionals for day-to-day child needs, daycare management training will also prepare professionals with the business and administrative knowledge to direct a daycare, or to open their own daycare. Individuals in these management positions are in charge of the administrative tasks that keep daycare centers running.
This means tracking employee training and licensing requirements, billing and payroll, scheduling, expenses, and more, to ensure that that center is profitable. Daycare management courses will often include sessions on how to automate these processes with daycare software, and how to choose the best child care software for your center.
To achieve a well-rounded daycare management education that informs high quality care, caregivers need training in three core areas of operating a successful child care business. When searching for the program to get this training, child care providers should maintain the three core areas listed above as a basis for their continued daycare education and training.
Learn about how Procare’s child care management software supports daycare administrative tasks.
Interested in learning more about child care and daycare management? Check out these related articles.
How much time will you save in your child care center?
Procare Software® helps child care professionals across the country save 40+ hours per month of administrative duties they were doing manually. With quicker access to information, point-and-click reporting and built-in processing, Procare helps you easily manage your center and analyze important staff and child information in seconds—giving you the time to develop your business and focus on the children.
- Succinct tracking of enrollment and schedules
- Immunization updates
- Quickly post child tuition fees
- Automatically collect tuition payments
- Print/email statements and balance notifications
- Communicate with parents and employees via messages at check-in, email or text blasts
- Maintain logs for incident reports and milestones
- Deposit reports and end-of-year tax statements
- Roll call and sign in/out sheets, birthday reports, waiting lists, classroom ratios
- Automated check-in for parents and employees
- Accurate time card records and calculations
- Let parents pay at check-in or online
- And so much more!
The new school year is coming!
With the new school year coming up soon, now is the best opportunity to get going with your new system.. Financing is available to work easily within your budget. Please contact Procare at 800-338-3884 or visit us online.
Hugging a teddy bear can help kids feel braver when it comes to getting a shot. And while they may have to endure a brief moment of pain in the name of good health, at least they don’t have to deal with the hassle of keeping track of immunization records and paperwork. Truth be told, neither should you.
As a child care professional, chances are you’re familiar with the recommended immunizations for young children and you’re careful to make sure every family brings in the child care immunization records for their children before they can attend. Next on your list is the question of how to efficiently keep track of all the immunization requirements, due dates and child history.
How to Track Child Care Immunizations
To help you simplify the paperwork, here are some essential features to look for in immunization tracking software to keep your immunization records up-to-date.
Flexible Immunization Schedule
In order to track when the next immunization is due, you’ll need a way to define the schedule of required vaccinations. Since each shot requires a different schedule, you’ll want the child care database you choose to be flexible. For example, one immunization may have multiple doses due at specific ages, another may be due every 12 months, and a third may be due so many months after the last one, rather than at a specific age—such as when children are on a make-up schedule.
Allow for Exemptions
Children may be exempt from certain vaccinations for a variety of reasons.
- If they’ve already had an illness, like chickenpox, the immunization (such as varicella) may no longer be necessary.
- A child might have an exemption due to family philosophical or religious reasons.
- Combo-vaccinations are another reason for exemptions. Families might choose (or their pediatrician might recommend) individual shots or a vaccine that combines multiple immunizations into one. Therefore, you’d need a way to exempt children from the “individual” shots or vice-versa.
- An age exemption is another possibility. For school-age children you may not be required to track immunizations that apply to younger children.
One final thought on exemptions: you’ll also want a way to indicate the reason why a child is exempt.
Alerts When Immunizations are Due
It’s good to know when an immunization or other requirement (physical, etc.) is due, but it’s even better to get advanced notice of when it’s coming due. In other words, you’d like the parents to know ahead of time, so they’re able to make sure they have the necessary doctor’s appointments arranged.
You may also want a way to:
- Easily see on your director’s screen when immunizations are due or coming due.
- Let parents see immunizations that will be needed soon, at the time they check their children in.
- Generate reports and lists showing immunization information.
Beyond knowing what’s coming due, you’ll also want an efficient way to track the history for each child. In other words, what dates did a child receive each vaccination in the sequence? Typically, this information should be available on an immunization history report.
Making sure the kids attending your child care center are up to date with their immunizations is necessary to ensure the health of every child in your care. However, when the year gets underway and your schedule fills up, it can be easy to lose track of the multitudes of paperwork that go along with immunizations records. To mitigate these challenges and manage health records, child care centers should employ immunization tracking software with a degree of flexibility and customization that allows them to account for each child’s needs.
Learn how Procare can help you better keep track of family health information at your child care center.
Interested in learning more about managing health information at your child care center? Check out these related articles.
- Immunization Tracking – Looking Forward
- Tracking Child Allergies – Part One
- Move Daycare Records to Your Smartphone, iPad, etc.
ProCare Software recently received five stars, the best rating, from ChildCareSoftwareStore.com
Carla Snuggs, Day Care feature writer for Suite101.com and a reviewer for ChildCareSoftwareStore.com conducted an independant review of our software. Read what she has to say about ProCare
We’d like to know what you think of our software though. We encourage you to leave a comment on this blog post or on the ProCare review page.
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