What information must a provider share to a parent in their invoices?
Parent invoices should include (if taken) itemisation of:
- the funded entitlement.
- additional private paid hours,
- food,
- non-food consumable, (i.e. nappies, wipes)
- trips, activities and events or any other services.
The DFE guidance states: 'This is to allow parents to see that they have received their child’s "free" entitlement hours completely free of charge and understand that any fees paid are for additional hours or optional services. Invoices and receipts should include the provider’s full details so that they can be identified as coming from a specific provider'.
Ideally, chargeable items should be set out as a unit cost, quantity and total.
Parents should be able to see they have received the funded hours as agreed (as "free" per government guidance). Providers should not just put ‘0’ hours for funded hours as this is not transparent to what parents have received.
Examples on how to do this could be show what the deduction (value) of the funded hours i.e. (example for illustration purposes only)
- Total cost of childcare for Month: £500.00
- Funded hours: -£300.00
- Payment due: £200.00
Or,
- Show on the invoice the cost of the childcare place for the invoice period before funded hours, followed by the payment due.
Itemisation of additional charges and number of funded hours in the invoice period is still required.
Providers should discuss with their vendors for invoice software to look into this so it aligns with the government requirements regarding funded places.
