Automation & child care businesses
How can I use technology to be more efficient?
Mileage tracking
One of the easiest ways to start saving time is by using a mileage tracking app for the miles you drive for your business. These are simple programs you install on your phone that track the miles you drive in your car. After tracking your mileage, you can easily mark each trip as either personal or work use. At the end of the year, you'll have an easy-to-read log to share with your tax preparer. This log will show exactly when you were traveling for business, how many miles you traveled, and how much you can deduct from your taxes.
This is great for tracking trips you know are for work, such as transporting children. It's also helpful for remembering trips that you may forget about, like a trip to the store to buy snacks for the kids.
To keep your log of expenses clear, it is a good idea to track each vehicle that you use for your business. For example, if you have a van for transporting children and sometimes use your personal car to buy supplies, you can record the trips made in each vehicle and mark them as work or personal in the app . If you need help figuring out how much of your mileage is a business expenses, you can filter your trips by work-related and personal use if you log each trip .
Payroll
Another common area for automation is payroll. Even if you're only paying yourself, using a payroll company can save you time and make sure everything is accurate. Most payroll services will let you to easily enter your employee's hours and pay them. They also handle all your federal and state tax filings, saving you a lot of time. Automating your payroll is also an easy way to keep track of payments for your records. Additionally, many payroll companies are adding human resources features to make onboarding and transitioning out employees easier.
App payments
One of the most challenging aspects of running a child care business is cash flow. You want to make sure that families are paying you faster than you have to spend money. That’s why collecting tuition is a critical aspect of any child care business. One way to get paid faster is to use app-based payment systems. These apps are easy to use and allow parents to pay you directly from their phone. These apps do charge service fees, and tax laws require you to report the cash you receive. However, the speed and ease of making payments are can be appealing to families and can cut down on the time it takes you to get paid.
Web presence and sites
Like most businesses nowadays, child care businesses need some sort of online presence. This could be a business website, but it doesn't have to be. Many child care businesses are gaining attention by using Google My Business, Yelp, or other online business directories. These directories are easy to start up and use. You can also ask current or former families to write reviews, which will make your business more attractive to potential customers.
You might also want a full website, but that doesn't necessarily mean you have to hire a web designer. Both Wix.com and Squarespace.com are simple website-building sites that include hosting and have easy-to-use templates. This allows you to have a nice-looking website in just a few hours. You can also update your website yourself if you want, making it even more efficient.
Graphic design
Another important part of marketing and sales is having visually appealing materials. This could be rack cards to hand out at events, brochures explaining your services, or well-designed pages on your website. You don't have to hire an expensive graphic designer to get high-quality graphic design. There are many online services and apps that can help you quickly design attractive materials yourself.
Improving productivity
Whether your child care business is just you or 100 employees, you probably use a lot of documents and spreadsheets. You might also need presentation software from time to time as well. In the past, this office software was expensive, but now there are many good, free options. Some systems also include online storage, which allows you to have access to and store your documents in the cloud.
Bookkeeping and accounting software
It can be a daunting task having to keep an eye on all the money coming in and out of your business. A good bookkeeping system can help you at tax time and help you understand how much you're making and where your money is going throughout the year. Most bookkeeping systems are easy to use. They connect automatically to your bank or your credit card and payment systems to import transactions, so you don't have to enter everything manually. Many also work with payroll and other services to make it a one-stop shop.
QuickBooks is probably the most well-known accounting software but is complex and may be beyond the needs of many providers. Some child care businesses use Wave or FreshBooks, which are simpler, more affordable programs that have some of the same features as QuickBooks without the complexity.
Disclaimer
The information contained here is for educational purposes only and is not intended to constitute legal, tax, or financial advice.