Comparison pricing is the first place to start when setting your price: evaluating the competitive market price for the service. Such information can be gained by surveys, calling other institutions, or simple networking.
Alternately, pricing can be calculated by calculating demonstrative or overhead costs that gives you the cost per child per year added to which are taxes, benefits and salaries for each of the teachers, the total divided by the number of children in that age group at the center.
A third method of calculating follows the "full cost of quality care" where quality and target goal are taken into account and parents are charged a premium.
Chapter 3: Staffing: A guide to recruitment and retention
Staff compensation is essential to providing a positive atmosphere. Determine your needed quantity of staff and work out wages as per competitive pricing (by surveying similar companies, community database, or the U.S. Department's "Occupational Outlook Handbook").
Wages should be accorded according to experience and education. Benefits may replace part of the wages, and are essential to attracting quality candidates. The minimal three benefits should...
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In addition, given its bureaucratic and restricted nature, budgets become out of date within a few months. This challenge is associated with the frequent changes to assumptions arising from changes in the market like commodity prices, demand, exchange, and interest rates. A tight budget presents a challenge to an organization and management today in terms of loss of competitive edge (Steele, 2008). This is associated with the current driver's
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