We know that understanding how your childcare payments are calculated—especially when funding is involved—is important. This guide explains how we work out your Standing Order amount, so you can stay informed and plan ahead with confidence.

🧮 The Standing Order Formula

To provide a consistent monthly payment, we use the following calculation:

Standing Order = (Session Price – Funding) × Weeks Open ÷ 12

Let’s break that down clearly.

🔍 What Each Part Means

1. Session Price
   The full weekly cost of your booked childcare sessions before any funding is applied. You will find this cost in Settings > Session Types > Edit Pencil Next To Used Session

2. Funding
   If you’re eligible for government-funded hours (such as 15 or 30 hours free childcare), this is the value of that funding applied each week. You will find the hourly value that the system is using in  Settings > Session Types > Edit Pencil Next To Used Session > FE Rate 

3. Weeks Open
   The number of weeks your childcare provider is open during the year. You will find this in Finance > Configuration > Weeks Open

   In most cases, this is 52 weeks (year-round care).

4. Divided by 12
   The annual total is divided across 12 months to create a consistent monthly payment—your Standing Order amount.

✅ Example Calculation

Here’s an example using sample figures:

• Session Price = £280/week

• Funding = £100/week

• Weeks Open = 52

Now apply the formula:

(280 - 100) × 52 ÷ 12 = 180 × 52 ÷ 12 = £780/month

Your Standing Order would be £780 per month.

💡 Why We Use This Method

Rather than changing your payment each month to reflect holidays or term dates, we spread your annual childcare cost into 12 equal payments. This means your monthly payment stays the same throughout the year, helping you manage your budget more easily.