California Ranked 5th Least Affordable Child Care in U.S.
CAMBRIDGE, MA, March 15, 2011 — With child care costs for two children representing the single largest household expenditure nationally, more families are seeking options to finance this expense. Child care fees outrank annual food costs and exceed median monthly rent costs and mortgage payments according to a recent study published by NACCRRA, the National Association of Child Care Resource and Referral Agencies. The study ranks California as the 5th least-affordable state for full-time infant care in a daycare center.
In response to the need for flexible payment options fueled by the recession and rising child care costs, Cultural Care Au Pair is piloting an innovative financing plan for families in California to allow them to pay month by month during their year of live-in childcare. This program is the first of its kind in the au pair industry where it is standard for families to pay for the bulk of or the entire program fee shortly after they apply. Agencies have traditionally operated this way to ensure their upfront costs—like those associated with recruitment, screening, matching, training, health insurance and transportation of the international au pairs—are covered.
Cultural Care’s new plan puts paying for an au pair on par with other forms of childcare and makes it even more affordable than daycare for many families. Now, families can make a down payment of $1500 on the program fee when they apply and then make eight monthly payments of $760 after their au pair arrives. For the remaining four months of the one-year program, no payment would be due. This is a total of $7580 per family for up to 45 hours per week of live-in childcare compared to with the average annual cost of full time care in a center in California for an infant which is $11,580 per child per year. Even when you consider the $195.75 stipend paid to the au pair each week, the au pair program is significantly more affordable for a family with more than one child.
“We heard from families, both through our on-line community and our biannual host family survey, that parents were looking for an option that worked better with their monthly budgets and cafeteria plan reimbursements given the uncertainty of the current economic situation,” says Melissa Fredette, Executive Vice President of Cultural Care Au Pair. “We understand that every family’s financial situation is unique to them and Cultural Care is pleased to have the ability and strength within our industry to provide our families with as much choice and flexibility as possible. Families in California have already started enrolling in the program that was introduced on February 1st and we hope to launch it nationwide in the coming months.”
Fredette explains, “Parents who may have been frustrated with daycare hours or high turnover of child care workers, which is17-45% in California, can now take advantage of the many benefits of the au pair program, such as the flexible scheduling, one-to-one customized care and cultural enrichment, with less of a financial commitment and relief on their family budget.”
Families interested in learning more about au pair child care can call 1-800-333-6056 or visit www.culturalcare.com for additional information on the Cultural Care Au Pair program.
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