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4littlemonkeys

Paying almost as much in CC fees as you earn?

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4littlemonkeys

Hi everyone,

 

I am just wondering if anyone else is in the same position as me? I am looking at going back to work after July and have just worked out that after paying CC fees for 3 kids I will get between $50-$100 in the hand a fortnight. There are some savings in that the CCC provides all meals and nappies - for 3 kids that is a fair bit! I know that I will (hopefully if it happens) get 50% rebate every 12 weeks after July so it will be like forced savings..

 

Is anyone in the same predicament? I am really keen on going back to work but am just feeling a bit bewildered about the whole CC situation.

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starz0123

Yep we're in the same boat ... after cc fees I 'earn' $40 a week :wacko:

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brazen

i am. but for me it's a necessity as i need the kids in daycare for my sanity and we can't afford it unless i work. also that small amount extra makes a lot of difference!

 

have you looked at a nanny again instead? i get told all the time that it's cheaper but my dh won't have anyone in the house.

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beachflower

Yes, very tricky. I am a teacher also...going back to work in Term 3, July 2008.

I did a 12 month forecast of all of the expenses for both situations a) staying at home and b) working.

I found this was clearer and my hubby and I could nut it out. You also need to include the costs of travel to work and the differences in family assistance etc etc.

We will be better off about $70.00 a week if I work two days!!!

I lay in bed some nights thinking about it...is it worth it?

I am returning to work but a little voice pops in my head from time to time saying "no it's not worth it"

Good Luck!

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4littlemonkeys

beachflower - We have worked it out and will be a little a bit better off with me working (with the 50% rebate). My DH works at the same place as me so petrol costs etc thankfully don't come into it (as we will drive together). I might work out every single cent to show DH. I think we would get $300 p/fn more me working then what I would get from family assist so that is quite substantial (that is after we get the 50% extra rebate back of course). I do like the idea of the extra 50% rebate as a lump sum every 3 months because there is no way DH & I could save $5k without dipping into it! ;)

 

Brazen - DH & I have ruled out getting a nanny this time around. We think that it will do them the world of good being in CC - especially the boys.

 

Argh.. Good to hear I'm not the only one!

Edited by ~*Rach*~

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Freddie'sMum

*raising my hand here too*

 

Yep, same here. Have two DDs. If I went back to work, would probably only make $10 per week after paid CC, transport, etc etc. I really don't understand how the CC rebate works - the whole system I find really confusing re CC, FTB, tax. Nothing seems straight forward.

 

If you find the answer (or a money tree :lol: ) let me know !!

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Julie3Girls

Well, I'm doing 3 short days a week, so the pay works out as 2 days a week (15hrs), but I'm paying for 3 days preschool and childcare.

 

I'm doing this so I can still do still pickup and after school activities.

 

It means not much money at the end of the fortnight after fees. And I haven't even factored in petrol and work clothes etc. BUT I'm holding onto a really good school hours job, and next year DD2 goes to school, so fees will drop etc. There is an end in sight for the childcare fees!

 

I try not to look at it as simply being ME paying for the childcare. After all, my husband earns a good income, and he is working. It's OUR children, so the childcare costs are OURS not MINE. Helps that we have all joint accounts, so the fees come out of there, not out of a bank account of just my salary.

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Obesa cantavit

Although I am not quite as bed, one whole day of my 2 days a week is taken up just for CC costs (for 2 kids) and thats after CCB. Sure we get 30% out of pocket (soon to be 50%) but that doesnt help with the day to day cost of living. We sat down and worked out what would be the minimum number of days for me to work and still be financially viable. So now basically my wage pays the morgage (just!) and CC and everything else has to come out of DH's. I now knowthe pressure men feel regarding having to bring in a wage. The only thing that makes it worth while for my family is that I work on call once a week and 1 weekend a month. Depending how busy that is, I can double my wage for the fortnight. This is what makes working worthwhile for me. However it is very variable but luckily seems to come along just in the nick of time when we need it.

 

Good luck.

 

Oh and you need to work out why you are going back to work. Is it purely financial or are there othe family/personal benifits to it. Just something to think about.

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4littlemonkeys

DancingPrincesses -

 

Oh and you need to work out why you are going back to work. Is it purely financial or are there othe family/personal benifits to it. Just something to think about.

 

I was just saying this to DH. I actually really miss my old work. We are managing ok without me working but of course more $$ will come in handy! :lol:

 

I try not to look at it as simply being ME paying for the childcare. After all, my husband earns a good income, and he is working.

 

I know I looked at this too! I just wanted to work out that if all of my income plus some of DH's was needed to pay CC then it wasn't worth it. I didn't want to be backwards from working iykwim? Thankfully I won't be.

 

Julie3girls - I can't wait til 2010 when my twins will be at Kindergarten. Yes we will have before & after school care but that is so cheap compared to CC. The year after that I will have all 3 at Primary School so that will be great! :) After that CC will just be a distant memory (oh I can't wait!)

 

Thankfully I have uniforms provided so that is one less cost as well! :) Now just to lose the rest of the weight so I can actually fit into them.. :wacko:

Edited by ~*Rach*~

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njops

If you miss work, then go back. Plus, as you mentioned, it's good for the kids to socialise and share and learn new thigns with others their own age.

 

I went back in Jan. this year and it just made me feel so much like my old self and a person rather than just 'mum'.

 

Financially, it works out better for me to work, but even if it was break even, I think I'd go back for sanity's sake.

 

Good luck,

Nat. :)

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Mumto3cheekyboys

I am another one who has worked for $40 a fortnight after paying childcare.

 

Angela

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~Mummy~Mel~

if thats all i would end up with after CC fees each week i wouldnt be working!! am i understanding correctly that ppl would work and pay CC fees to only end up with such a small amount of money? why? :o

 

i pay $400 a week CC. i still get paid enough to cover my rent and loan, therefore making it worthwhile working.

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Jenno

We draw one income from our business so I don't know how much i actually earn.... but if we had to divide it up, i would probably be behind as well.

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workingmum

Hi

 

Whilst it's still financially beneficial that I work, it's certainly sad that it costs us $30k per annum for daycare fees.

 

The rebate is nice, but it's capped at $4k per child, and at the moment, paid annually.

 

We'd like to get a slightly bigger house, but with that amount going on daycare, we can't afford debt as such.

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troysmum

What about FamilyDayCare? You only pay for the hours your children are in care , and you still get all the benefits.

You also can supply your own food and nappies which helps you save more money.

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4littlemonkeys

troysmum - We have looked at FDC and for us it wouldn't be any cheaper taking in account the hours, plus food, nappies etc. Part of the reason I am considering going back to work is for my kids to have a bit of socialisation and they wouldn't get this at FDC. As for the saving on food & nappies - I have 3 kids in nappies and CC will save me a packet just in them providing the nappies - not to mention the food! ;)

 

princesstalia - I think that others like me are thinking of working not only for the financial benefits (as for some of us there are little!) - but also for the kids to socialise at CC, to pay super for the future and to further our careers. I was just hoping others were in my position. I am willing to work as long as I am not losing money paying CC. I have had people tell me I shouldn't work and I should sit at home and just take the FTB - but I am going a bit nuts tbh and I know 2 days working will do me the world of good!

 

WorkingMum - Do you know what the 50% rebate will be capped at after July per child? I hope they have increased it and it is more than $1k per child every 3 months.

 

njops - Thanks! We have decided I will definitely go back 2 days per week til the end of the year and then next year we will evaluate if I will increase my days or wait til the boys are in kindy the year after.

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jaydee
Do you know what the 50% rebate will be capped at after July per child? I hope they have increased it and it is more than $1k per child every 3 months.

The Government has said that the cap will be increased to $7500 per child.

 

Jo

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howdoyoudoit

I couldnt go to work to pay it all on childcare fees. I just couldnt do it. I then would want someone to clean my house and there would go all the money. I always wonder why some women work fulltime to earn basically nothing (yes I mean fulltime not 3 days a week) I am very busy everyday with housey stuff and social stuff and for us with me earning money we would miss out on any A/B payments so then it would all mean I would be working for nothing..I would rather stay home and watch my kids grow up for nothing IYKWIM (not a dig at anyone)

 

Also "if" it goes up to 50% rebate you will just end up paying more anyway as all the centres will increase their daily fees..like they did last time

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sweetboysofmine

It's a real pain..I would love to go back to work but after paying for FDC X 2 say 3 days a week (DS#1 goes to FDC now 2 days a week) with not as much of a rebate off the Govt. due to me earning more I don't think I'd even break even.

 

DS loves his time with his FDC group and I wouldn't dream of taking him out so I guess I'll have to wait until he is at school until I go back to work so I only have 1 in FDC.

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Julie3Girls
am i understanding correctly that ppl would work and pay CC fees to only end up with such a small amount of money? why?

Depends on your circumstances.

i'm probably ending up with $100 a week, for 3 short days of work (9am-2pm)

Why do I work ...

I look at the long term value ... I'm holding onto a very good job - great people, great flexibility with working hours (not many school hours jobs around) Pay is normally good, just not when I'm paying 3 days of daycare and preschool on 2 days salary. Once the kids are in school, I can increase my days if I want, and have a fantastic, well paid, school hours job.

 

By working, I'm getting superannuation, contributing to our future.

 

I am actually getting more money than I would be if I wasn't working (FTB), so I am ahead financially.

 

I'm part-time, not full time, so I still have plenty of time home with my kids - both on the days I'm off, and the afternoons. And I don't need a housekeeper.

 

Also "if" it goes up to 50% rebate you will just end up paying more anyway as all the centres will increase their daily fees..like they did last time

My centre didn't? I haven't had any big price jump, just the usually $2 or so a day per year.

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Orangedrops

I have a few friends who have used a nanny and I am sure they said once you have more than 2 kids a nanny is cheaper. Of course you wont get a rebate for a nanny so maybe it doesn't work out.

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4littlemonkeys

suzi1973 - I am also looking at working for the reasons Julie is. My boys are 3 and are twins so need to have some time away from me, and my DD is 22 months and I think the socialisation will do her the world of good. The boys love preschool but at $30 per day per child (after the minimum rebate as we are not entitled to anymore than that for preschool) - we are finding it a bit of a struggle to pay that with DH's salary. With me working 2 days per week my salary will cover CCC for the three kids for those 2 days plus I will get a bit of extra for me. We get hardly any FTB anyhow - so won't make any difference there.

 

I have the added bonus of continuing my career by doing on the job courses etc and the flexibility of transferring back to full time once the kids are at school.

 

I know from when I used to work part time that I just managed my time on my days with the kids a bit better and it made me a better Mum. With housework I will manage to do it like I always have - I don't find housework all that difficult to keep on top of (my DH is very helpful though!).

 

puffin - I had a nanny in Canberra and it was heaps cheaper. We have decided not to go down that path now though as our kids need socialisation with other kids. When they were little it was perfect as quite often we would leave for work and they would still be asleep. Our old nanny is still a good friend and we are very fortunate to have met her. My boys still ask after her!

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beccaj

Im another who is bringing in only just a little more than CC fees, im currently working only 2 days - long ones though 7:45am-6pm.

I will soon increase to 3 days. If I didnt work we wouldnt bring in any extra money as with DH's wage we do not qualify for FTB. But if I had the choice of FTB or working I would still want to work.

 

I have a great job, they are flexible and my girls love spending the day with friends at daycare. I also look at it as Im contributing to our family now and in the future with my superannuation.

 

With the 50% (should it come in) we look at that as forced savings. I took this into account when doing all the sums and have to try and make myself remember this when I see the bankstatement

 

Pay in .....

CC fees out.....

 

not much left! :(

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KD7

It's difficult isn't it. I thought long and hard about what to do about work after having #2. After we had #1 I returned to work 3 days a week and DD went into CC.

 

After #2 my thoughts were that I wasn't going back but we've done the sums and we'll be better off by about $115 per week compared to if I stayed at home and got FTB. That's with me working 2 days a week and with the girls in CC.

 

So, in actual fact, after childcare costs and tax I'll clear $200/week for working 2 days - so pretty good really.

 

One of the big reasons for me going back was that we're currently on a fixed rate for our mortgage (6.59%) and in December that ends so our mortgage is going to jump up by heaps. So the extra money per month with me working will help us pay the mortgage. Bit of a bummer that the money will get chewed up by that but certainly worth returning 2 days a week so we can keep paying our house and still have a life :)

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chat

When I had 3 in CC my wage was paying for it. At the time it was a good choice as I had my foot back in the door and I saw it as more of a long term investment in my career, the 3 children LOVE CC so it was a win, win situation all round.

 

Did I mention my sanity too :grin:

 

Of course our circumstances changed with starting a business and having another baby!

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