How to Make a Daycare Budget
- 1). Figure your budget on a per-child basis. For example, lets say that you can legally have six children in your daycare business. If all daycare costs per child equal $100 per week, then your total cost per week is $600. You will charge each family enough to cover the $100 in business expenses plus your profit. In this example, families may pay $150 per week for your services.
- 2). Make decisions regarding who will pay for diapers and snacks. Some daycare providers require that parents bring in food for their children, others provide meals. If you choose to ask parents to supply meals and snacks, remember that you will still need to budget in some food for the children, because parents might not always bring enough. You cannot care for children without extra food. The same is true for diapers; require parents to supply diapers but have lots of backup.
- 3). Include electricity and water costs in your daycare budget. If you are operating a daycare out of your home, compare the costs of electricity and water on an annual basis before and after opening the business. Divide the additional costs among the number of children you expect to have in your care most of the time.
- 4). Keep all receipts and records so you know how much you are spending and if you need to change your budget. File them in a 12-section accordion folder by month, or file the receipts in manila folders, one for each month.
- 5). Assume it will take at least a year to recoup larger purchases, such as furniture. You may need to invest in cribs or nap cots for toddlers. For example, if you spend $600 on new exersaucers for your daycare, include $50 per month for 12 months in your budget to pay for the exersaucers. If you have six children in the daycare, $50 / 6 = almost $8.33 per month per child.
- 6). Itemize you budget expenses into the following categories: food, diapers, art supplies, toys and furniture, first aid supplies, office supplies, electricity, water, and miscellaneous. A miscellaneous fund is for impromptu expenses, like the ice cream truck going by or a field trip. Optional categories include advertising, insurance, and loan payback if you borrowed money to start your daycare.
