How to Determine Reimbursement Rate, Family Fee, and Program Fee Amounts (California)
When you enroll a child receiving subsidized care, you will need to consider three items to determine the total amount you will be paid monthly. Read about these items below and then see example documents at the bottom of the article.
If you’d like to learn more about subsidized care in general, read our Introduction to Subsidized Care ».
Family Fee
When you accept a family receiving subsidized care, you will receive a statement outlining the child’s plan of care. This plan may include a Family Fee. In some counties, this fee is paid directly to the provider; in other counties, it is paid to the administering agency. Call your local agency to find out where this payment should go. If you collect the payment, you will need to provide a monthly receipt to the agency. These payments should be collected at the beginning of the month.
Please note that this Family Fee is sometimes referred to as a Parent fee. In states outside of California, it is sometimes referred to as a Co-pay.
Reimbursement Rate
This is the amount that the local administering agency will pay you monthly for the child’s care. This amount will also be stated on the child's plan of care, or it may arrive in a separate document from the administering agency.
If you’re curious, you can find your county’s maximum reimbursement rates here: http://www3.cde.ca.gov/rcscc/ Make sure to look at the chart for Family Child Care Homes.
If you anticipate that you will provide less than 130 hours of care for this child every month, use the “Part-time Monthly” rate. If you anticipate that you will provide more than 130 hours of care for this child every month, use the “Full-time Monthly” rate. Make sure to look at the correct row for the child’s age! It’s important to note that these rates are not prorated based on hours; if you provide 129 hours or less of care you will be paid the part-time amount; if you provider 130 hours or more of care you will be paid the full-time amount.
It’s also important to note that if the family is responsible for paying a Family Fee directly to you, this dollar amount will be deducted from your Reimbursement Rate. For example, let’s say the Reimbursement Rate (as stated in the plan of care) is $800/mo. The family is responsible a Family Fee of $100/mo. This means that the family will pay you $100 directly each month, and then the agency will pay you $700.
Please note thatReimbursement Rate are paid the month after care is given. At the beginning of every month, the R&R (or other agency) will mail you an attendance sheet for the child. At the end of the month, the parent must sign the attendance sheet to confirm its accuracy before you mail it back to the R&R.
The R&R will review the attendance sheet and then pay you. Make sure to check with your local agency to find out when attendance sheets are due to make sure you are paid in a timely manner.
Program Fee
The Program Fee is any additional charge you have chosen to charge the family each month. This fee is completely separate from your local agency and is handled entirely by you. Some providers choose to add this fee if the county’s reimbursement rate is well below their normal tuition rates. Make sure to discuss this with the family before sending the enrollment invitation. This fee should be paid at the beginning of the month.
Please note that this additional charge is allowed in California, but is not allowed in some other states. In California, you may hear this referred to as a Co-pay.
Examples of Paperwork
Please note that we have covered all personal information in the examples below.
This example from San Francisco shows both the Family Fee and the Reimbursement Rate on the same sheet.
This example from Los Angeles shows the Family Fee and Reimbursement Rate on two separate sheets (for the same family):
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