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What information must a provider share to a parent in their invoices?

Question:
What information must a provider share to a parent in their invoices?
Answer:

Providers must itemise the total number of funded hours supplied to the child and their total monetary value (saving) for the invoice period. Providers must not just put ‘0’ hours for funded hours, this is not transparent to what parents have received.

Parent invoices should also include (if taken) itemisation of the charges for:

  • additional private paid hours,
  • food,
  • nappies,
  • trips or any other non-food consumable,
  • other services that the child has accessed and that the provision charges for example: activities, trips, language lessons.

Ideally this should be as a unit cost, quantity and total. This is so parents can clearly see that they have received their funded entitlement as agreed and claimed by the provider, and so the council can easily distinguish what a parent has received against the funded hours claimed in any provider/ parent dispute or audit and there are no 'top ups' or hidden charges.

Providers can show the monetary value or deduction/ saving of the funded hours by the following:

  • As advised in the agreement and above - the value or total deduction of the funded hours shown in the invoice. (This is the most logical as in a provider/ parent dispute this is what a local authority will review).
  • Another option, but also applicable to invoicing is the provider clearly shows the amount it costs a parent for a place (before funded hours are deducted), then a breakdown of the chargeables parents pay if applicable.

Providers should discuss with their vendors for invoice software to look into this so it aligns with the government requirements regarding funded places.

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