Unpaid childcare fees can quickly become a source of stress for Centre Directors, administrators, and families alike. When left unmanaged, they don’t just impact your centre’s cash flow—they put pressure on staff, damage relationships with families, and take time away from delivering quality care.
But following up doesn’t have to mean confrontation.
With the right systems, tone, and processes, you can maintain professional and positive relationships while addressing overdue fees with confidence. For practical tools that support this process, explore our Childcare Debt Management Resource.
Here’s how:
1. Start with clear communication from day one
One of the best ways to avoid tension later is by setting expectations early. Ensure all families receive a clear fee policy during enrolment that outlines:
- Payment schedules
- Accepted payment methods
- What happens when payments are missed
- Who to contact for support
Need help building a robust accounts process? Visit our Accounts Management page to see how we can support your systems.
2. Use friendly, timely reminders
Life gets busy for families. A simple reminder a few days before a due date can help them stay on track. Consider:
- Sending email or SMS reminders
- Including reminders in centre newsletters
- Using your parent communication app, if available
Tone is everything. Keep reminders friendly, helpful, and non-judgemental. You can streamline this step using templates from our Childcare Debt Management Resource.
3. Follow up personally when needed
When a payment is overdue, a personalised message goes a long way. A quick phone call or one-on-one conversation allows you to:
- Check in on the family’s circumstances
- Offer support or flexibility if appropriate
- Reiterate the payment process and expectations
Approach these conversations with empathy. Many families dealing with late payments are also facing financial or personal stress. For more on this, read our guide to streamlining family accounts.
4. Offer support through CCS and financial guidance
Unpaid fees are often tied to confusion about the Child Care Subsidy (CCS). Make it part of your process to:
- Check if families are receiving their full entitlements
- Offer help completing or reviewing CCS applications
- Direct families to external financial support if needed
Being proactive about support shows you care and may prevent future delays.
5. Put structured systems in place
Managing follow-ups becomes much easier when you have a system to support it. That includes:
- A consistent follow-up schedule for late payments (e.g. reminder at 3 days, call at 7 days, letter at 14 days)
- Templates for communication that your team can personalise
- Escalation steps if a payment remains unresolved (e.g. meeting with management or involving a debt collection agency as a last resort)
A structured approach removes the emotion and makes your process feel fair and transparent. For support setting this up, check out our Accounts Management services.
6. Keep your admin team supported
Debt follow-up is emotionally taxing. Make sure your admin team feels supported by:
- Providing training in conflict-free communication
- Sharing clear internal procedures
- Offering help from external specialists if needed
Your team is often the first point of contact—and how they handle follow-ups sets the tone for the entire centre. Consider sharing our debt management resource with your team as part of professional development.
Get the Free Resource!
Our downloadable checklist, “Practical Tips for Childcare Debt Management,” includes templates, scripts and system suggestions to help you follow up on unpaid fees with professionalism and care.
Download it here or visit www.enrolmenthub.com.au
Want to improve your debt management systems without sacrificing relationships? Let Enrolment Hub support your centre with tailored advice and resources that work.
Contact us at 02 8123 2300 or visit www.enrolmenthub.com.au.
