 The Clarinet BBoard
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Author: fredackerman
Date: 2005-06-16 23:20
How do you pay for your private lessons? Is it cash after the lesson is over or a check? I'm guessing this is handled differently depending on the instructor and the situation, what is acceptable these days? Thank you..
Fred
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Author: Pam H.
Date: 2005-06-16 23:24
I normally pay by check, but you might ask if your teacher has a preference if it is a real concern.
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Author: Meri
Date: 2005-06-16 23:30
Paying for my own lessons, I prefer paying cash, and my teacher prefers cash. For receiving payments for lessons, I'm okay with either, but I prefer cheques, as that way I am not inclined to spend the money immediately...
Meri
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Author: LeeB
Date: 2005-06-17 00:25
I wonder if anybody considers the tax ramifications. It would be interesting to know what percentage of teachers paid in cash fully declare their income for tax purposes.
Also, in the U.S., if your teacher is independently self-employed, if you pay him/her more than $600 in a calendar year, you're obligated to send them a Form 1099-Misc stating what you paid them that year.
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Author: Mark Charette
Date: 2005-06-17 00:31
I've always paid by check; it protects both parties if there's ever a dispute on whether or not payment was made.
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Author: jbutler ★2017
Date: 2005-06-17 00:38
My oldest son's percussion teacher hands out a coupon book at the beginning of each year. Payments are due by the 5th of every month or a $10 late fee is charged.
My youngest son's guitar teacher is a little more relaxed, but is payed once a month. Both teachers take checks.
jbutler
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Author: diz
Date: 2005-06-17 01:29
My golden rule (as a teacher) any payment is OK (cheque/check or cash) but I always give a receipt ... which means I'm accountable to the Australian Taxation Office ... which is both a) fine and b) the correct and legal thing to do.
Any teacher wanting only cash - MUST give you a receipt. As Mark Charette points out, this is good if you have a disput.
I had a troublesome student once who was slack with payment, I ended up saying to person concerned: pay 10 lessons in advance or I don't teach you.
Without music, the world would be grey, very grey.
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Author: fredackerman
Date: 2005-06-17 01:29
In my line of work all I know is payment by check and for some reason the handing over of currency seems to be tackily. On the other hand cash is well.. Cash! I guess the best thing to do is just ask and abide by the instructors wishes.
Fred
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Author: pewd
Date: 2005-06-17 02:48
I've never received a 1099-misc, I suppose its technically required, but I've never heard of a U.S. based private teacher receiving one. I imagine most student's parents would say 'stuff it' if you asked for a 1099.
I accept check, cash, or paypal, due in advance at the first lesson of the month. E.G. the students prepay me for the coming month. No pay, no play Get too far behind, I drop the student. Occassionally I get paid in coins and small bills, or sometimes money orders. Whatever converts to beer and peanut money is fine Most of the private teachers I work with require a check up front at the first lesson of the month.
Seems to me most teachers requesting cash are cheating on their taxes. I'd suspect a large percentage of private teachers do not report their cash income.
- Paul Dods
Dallas, Texas
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Author: allencole
Date: 2005-06-17 05:48
Tax ramifications are VERY important. The IRS already assumes that each of us is pocketing a fortune while declaring the minimum credible amount. For this and other reasons, I like getting checks.
I xerox all my checks and keep them with my receipts. A very easy way for a busy teacher to keep books.
Cash business is great, but it can be hard to keep track of delinquent accounts, and it also can look suspicious to Uncle Sam.
Allen Cole
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Author: contragirl
Date: 2005-06-17 06:07
I remember a few years ago a flyer that was going around the school of music that says that musicians get some tax benefit, or something. I forgot what it all said cuz I don't understand taxes, but I guess the IRS pities us musicians that don't make much. I know you can write off instruments and accessories as a business expense. I wonder what this other thing was though.
--CG
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Author: SueSmith
Date: 2005-06-17 06:43
contragirl wrote:
> I remember a few years ago a flyer that was going around the
> school of music that says that musicians get some tax benefit,
> or something. I forgot what it all said cuz I don't understand
> taxes, but I guess the IRS pities us musicians that don't make
> much. I know you can write off instruments and accessories as a
> business expense. I wonder what this other thing was though.
>
> --CG
I don't know anything about a "tax benefit" for musicians but if you are a "professional musician" - meaning the majority of your income stems from performing - equipment, maintainence, music and even the costs of dry cleaning concert attire can be counted as deductions.
Perhaps this tax deduction flyer had to do with freelancers claiming self-employment. But, this is only a guess. I'm not aware of any musician specific tax benefit...
Trust me, the IRS pities no one...my mother is a claims adjuster - so I know this first hand.
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Author: Markael
Date: 2005-06-17 11:35
Though I’m self employed, I work at a music instruction place that has a set fee for lessons and a set amount of rent I pay for studio space.
When people pay me for lessons and for books, reeds, etc., I write the amount in my DayTimer. When the payment is by check, which most are, I write down the check number. When payment is by cash I write it down immediately so I won’t forget. That is not only for sake of tax records, but also so I won’t forget and dun the person again.
Later I copy each payment into a Works data base. Since lesson payments are usually in multiples of the same number, it is easy to see the pattern. I try to add notes about the books and materials that students buy from me, but I’m not a music store, so it would not be possible to track each individual item as a retail store could do.
From the data base I print monthly summaries. In case of audit the auditor could review each month and see patterns. Income is usually down in summer months, for instance.
For the IRS, just try to keep good records. Usually when they audit they are just looking at one part of your return. I was audited once, many years before I started teaching. Our child was born with some medical issues and had to have surgeries during his first year of life. The computer kicked out our return because of the medical expense. The auditor was courteous and pleasant, and when we produced the receipts there was no problem.
I just wonder what would happen in case of fire destroying all the records.
Post Edited (2005-06-17 11:37)
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Author: Brenda
Date: 2005-06-17 11:38
I work in Canadian taxes, and we hear the craziest things that "my neighbor told me." I don't even ask my clients to believe me since it'll be just my word against the neighbor. So I'll give clients official booklets or internet printouts of the income tax act so they have it straight from the horse's mouth.
As far as preparation for audits goes, documentation is paramount. In Canada, so far, the only time the payer has to provide a document to the government for non-employee payments is for construction services. Cash is fine, as long as you have careful records of your income (i.e. a grocery store - they have cash register documents). Cheques get absorbed into your personal bank account anyway so who's to come along and say that this deposit was from a student and that deposit was from your other job?
So keep a small book of receipts or at the very least a notebook/calendar with a running record of dates and amounts of payments. Jot it down in front of the student especially if he didn't pay that week, so the student knows he can't argue with you. If the student skipped a lesson, mark it down. I've seen lots of audits, but records like that will wash with auditors. It never hurts to photocopy the cheques, that's more of a proof to the student whether or not he paid for the month in question.
As far as paying for lessons, I've always paid cash before each lesson, but the teacher was OK with that. Younger students pay by cheque at the beginning of each month, but older students can pay however they like.
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Author: DavidBlumberg
Date: 2005-06-17 12:28
If the student doesn't pay you at the lesson (forgets the checkbook, etc) you should write the amount and the date owed right in the students book. That way they can't forget about the debt and you have a record that they know about it too.
Back about 10 years ago I was called by my dry cleaner that there was about $400 of checks in my suit pants pocket (still dry)
Imagine washing that in the washer!!!
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Author: Markael
Date: 2005-06-17 13:06
E-mail is a wonderful tool. I have e-mail addresses for the parents of a majority of my students.
Payment is due at the beginning of the month. I like to send out bills by e-mail two or three days before the first lesson, perfect for a timely reminder.
E-mail is also a great way to give little progress reports and otherwise keep in touch with parents. I am a much better teacher that I would be without electronic communication.
Of course, it is good to know something of people’s computer habits. Some people hardly ever check e-mail. Usually it doesn’t take long to discover who they are.
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Author: clarinetwife
Date: 2005-06-17 13:18
Markael wrote: Later I copy each payment into a Works data base.
That is why I LOVE my PDA. I can enter it into my quicksheet program on the PDA on the spot, and then it automatically transfers to Excel when I hook up to the computer. I even have a metronome, circle of 5ths and an mp3 player on it that I can use when I am teaching.
I'm not sure I'd be comfortable knowing my kid's private teacher photocopies my checks. Why does a private teacher need a parent's bank account info hanging around his or her paperwork?
Post Edited (2005-06-17 13:24)
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Author: Markael
Date: 2005-06-17 13:36
Each individual has to find the system that works best for him/her.
Clarinetwife, you have made a good case for the PDA because it streamlines your work and cuts down on duplication of effort.
I still prefer the paper DayTimer because I can jot notes and keep various kinds of information on the same page. I know it is possible now to write in a PDA, but it still is awkward to write in any detail. On the two page per day reference DayTimer I can keep attendance records, payment records, notes about the lesson, and other details about my life in general.
My attendance record keeping system is somewhat labor intensive but it works well. I keep my lesson appointments in pencil in the DayTimer. What with absences and rescheduling, there is always a need to erase and re-write. Then I have monthly charts for the Monday students, Tuesday students, etc., where I track attendance records for the month, absences year to date, and who has paid.
The IRS also places some value on records in a paper planner.
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Author: archer1960
Date: 2005-06-17 13:54
Re the 1099 issue:
I don't think private individuals are expected to provide 1099's to independent contractors they hire, such as music instructors, house repairs, etc. I believe 1099's are only required from companies.
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Author: Ron Jr.
Date: 2005-06-17 14:10
I pay my teacher in cash. As for his tax status, I am unsure.
Ron Jr.
Post Edited (2006-03-06 17:26)
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Author: clarinetwife
Date: 2005-06-17 14:51
Ron Jr. wrote:
> I pay my teacher in cash. This way he doesn't have to pay
> taxes.
>
> Ron Jr.
You know, from the beginning I was uncumfortable trying to do this. If I market myself as a teacher, being on the teacher list at the music store, giving out business cards, etc., then my business activity is fairly public, and the taxman could certainly find out in the long term. I have been teaching for 10 years now, and although I truly don't know how likely it is the IRS would have found out in this time, the possibliity would have been in the back of my mind for 10 years by now.
Markael, it is true that it is a little cumbersome to write on the PDA, although short notes aren't too bad.
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Author: Mark Charette
Date: 2005-06-17 15:27
Ron Jr. wrote:
> I pay my teacher in cash. This way he doesn't have to pay
> taxes.
Your paying the teacher in cash (or check or gold or diamonds) has nothing to do with whether or not they have pay taxes.
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Author: Mark Charette
Date: 2005-06-17 15:30
clarinetwife wrote:
> I'm not sure I'd be comfortable knowing my kid's private
> teacher photocopies my checks.
Why? That check gets passed around to a lot of people you don't know, never mind the ones you do know.
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Author: Mark Charette
Date: 2005-06-17 15:36
archer1960 wrote:
> I don't think private individuals are expected to provide
> 1099's to independent contractors they hire, such as music
> instructors, house repairs, etc. I believe 1099's are only
> required from companies.
Or employers, including households, in the USA.
Generally you are not the employer of a teacher - they are self-employed or employees of a business - therefore there's no requirement for you to provide 1099s.
Your tax status may vary.
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Author: Markael
Date: 2005-06-17 15:52
Regarding qualms about photocopying checks, Mark Charette wrote:
“Why?”
Because, in the information age, it is important for one’s sense of well-being to maintain some illusions that there still exists this thing called “privacy.”
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Author: Katrina
Date: 2005-06-17 16:21
I have a receipt book that I got from the local office supply store to record payments of my students at home. I don't bother with it for the students I teach at a music store or at a music school, since both of those locations have other ways of recording the payments, and indeed, both of those locations issue me 1099's every year.
If a student pays in cash but does not want a receipt I write the info down and just don't give them "their" copy. This is important for tax info! I have found since beginning to teach at home last fall that this book works the best for me. Plus, I could write the expense of the book (about $6-7?) off on my taxes!
Katrina
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Author: Markael
Date: 2005-06-17 17:22
Music schools vary in their policies.
My wife has taught piano lessons at music schools. Everywhere she taught the students paid the school for lessons, and she was issued a 1099.
Now I’m the one teaching at a music school. Students have to pay an annual registration fee to the school, but lesson payments go directly to the teachers.
So, the school doesn’t have records of lesson payments. But the school does have established polices, including pricing for lessons, and records of which students are officially registered.
Certainly, the cost of music books is deductible. The people who teach with me call my studio the "music store" because I always have plenty of piano and clarinet music on the shelves. I do that for a couple reasons: it seems professional to have music books available for those who need them. It is convenient to be well-stocked and (usually) saves unscheduled last minute trips to the music store.
I was trying to make a point about that earlier in the thread. I buy a lot of music, some of which is for my own use, and some of which I re-sell to students. All of it is deductible. Theoretically it might be a good idea to keep records of exactly which books were actually resold, but you would have to have the sophistication of a retail store to keep up with all of that.
Teachers typically get a discount on music and thus make some profit on it. What profit we get is basically compensation for the time and expense of having a stock of music available for students.
Post Edited (2005-06-17 17:37)
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Author: vin
Date: 2005-06-17 17:35
David Blumberg- If those checks had been dry cleaned, I suppose they could have gotten you for money laundering!
Sorry...I had to take it.
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Author: clarinetwife
Date: 2005-06-17 20:29
Markael wrote:
Because, in the information age, it is important for one’s sense of well-being to maintain some illusions that there still exists this thing called “privacy.”
Mark has a point, and the illusion of privacy is indeed an illusion. Checks go through more hands than you wants to even think about, but do they keep a paper photocopy of your check at your local grocery store?
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Author: DavidBlumberg
Date: 2005-06-17 20:58
What to do is to write down the
Name of the Student, the payment and the Check # used. That is plenty for the IRS.
What they would do is to give you a "means test" which would analyze what you spend compared to what you have and report.
Spend like a $80K earner and report like a $20K earner and you have problems instantly. They also compare what you "make" or say you make to the others in your field and also the area that you live.
With the IRS you are "guilty till proven innocent" or at least that used to be somewhat of their attitude. I remember in the past few years they have tried to change that image, but document, document, document everything.
It can save you a world of grief later on.
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Author: Kelly Riccio-Chapman
Date: 2005-06-17 21:54
"With the IRS you are "guilty till proven innocent" or at least that used to be somewhat of their attitude. I remember in the past few years they have tried to change that image..."
the IRS isn't all that bad. My mother-in-law fought them and won....
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Author: Camanda
Date: 2005-06-17 22:04
I pay my teacher by check every two weeks.
Amanda Cournoyer
URI Clarinet Ensemble, Bass Clarinet
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Author: LeeB
Date: 2005-06-17 22:24
<<<Generally you are not the employer of a teacher - they are self-employed or employees of a business - therefore there's no requirement for you to provide 1099s.>>>
If they're employees of an incorporated business, or incorporated themselves, you wouldn't need to send them a 1099. If they're not incorporated, I'm quite sure you're supposed to send a 1099. Whether or not people follow the law on this is another matter.
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Author: DavidBlumberg
Date: 2005-06-17 22:42
So Lee, you goona ask them to pay 1/2 the social security too? Cause that's what is supposed to happen for Baby Sitters, and housecleaners too.....
(doesn't apply to Clarinet Lessons)
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Author: Katrina
Date: 2005-06-17 23:03
Wow...this thread turned into something other than what the original poster asked about, and I know my earlier response did not answer his question either...
In response to that question, I do not mind either checks or cash from my students at home. At both the music store and at the school where I teach, they may pay by check, cash, or credit card.
Katrina
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Author: clarinetmaniac101
Date: 2005-06-18 04:22
yeah It realy depends on the teacher now my teacher takes both from like college kids but like younger kids who lives with their parents they perfer to pay with cash like I do my lessons are $30 a week $120 a month $360 a year so that is the common prices for realy serious students and professional teachers such as mine. but yeah those are about right.
Rashad
*clarinet
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Author: GBK
Date: 2005-06-18 04:42
clarinetmaniac101 wrote:
> my lessons
> are $30 a week $120 a month $360 a year
$120 a month / $360 a year?
It sounds like a bargain rate for a year ...GBK
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Author: SueSmith
Date: 2005-06-18 05:13
Clarinetmaniac101 wrote:
>$30 a week $120 a month $360 a year so that is the common prices for >realy serious students and professional teachers such as mine.
Wow, that is some interesting math...
But, most of the professionals I know (including BSO and NYPhil members) charge between $80-120 per 1 hour lesson. Of course, when you buy into a brand - you pay!
A former college professor of mine (no major symphony affiliation) was still charging $25 for an hour lesson in late 90's...now I hear he's giving away free lessons. Now, that's a bargain!
I was charging my first beginner student (her mom actually) $35 for an hour lesson - and I didn't even have my BM at the time.
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Author: DavidBlumberg
Date: 2005-06-18 14:15
So Rashad, the price is 1st 3 months you pay for, and the rest of the year is free???
Lesson prices for the top players are more like $100-$160 now, not $80-120 as those prices are for about 10 years ago.
There are teachers who aren't making a living at all doing it and just give lessons still for the love of the instrument and something to do to pass down their knowlege.
There are plenty of teachers out there who aren't keeping up with the cost of living increases and charging what they charged 10 years ago. And sometimes you settle into a comfortable (even) number and don't want to bother changing it for the hassle of making change, multiplying by 4, etc.
$22.50 is rough, and $23 isn't much better......
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Author: SueSmith
Date: 2005-06-18 19:40
DavidBlumberg wrote:
> Lesson prices for the top players are more like $100-$160 now,
> not $80-120 as those prices are for about 10 years ago.
Perhaps I was quoted "special" rates then? I wont name names but: A member of BSO - 2 years ago charged me $8O per lesson. A member of Pops Esplanade/Pro Arte charges $75-85. A Member of NYPhil currently charges $100 as does a member of Baltimore SO.
Two of the above are principles, one is an assistant principle, and one is a 2nd clarinet. These are current rates quoted from within the past 2 years, not 10 years ago.
I know a certain member of NYPhil charges an arm and a leg...but I wouldn't take a lesson from them. You don't always get what you pay for.
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Author: DavidBlumberg
Date: 2005-06-18 21:01
rest of my quote
"There are plenty of teachers out there who aren't keeping up with the cost of living increases and charging what they charged 10 years ago. And sometimes you settle into a comfortable (even) number and don't want to bother changing it for the hassle of making change, multiplying by 4, etc."
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Author: GBK
Date: 2005-06-18 21:26
DavidBlumberg wrote:
> "There are plenty of teachers out there who aren't keeping up
> with the cost of living increases and charging what they
> charged 10 years ago.
Cost of living increases?
Come on let's get reasonable.
I've been giving private lessons for more than 30 years and charge a fee which is substantial, but reasonable for my area. But quite honestly, it doesn't cost me any more to give a lesson to a student today, than it did 30 years ago.
Unfortunately, most fees charged by private music teachers are driven by 3 factors:
1. Ego
2. Greed
2. What other competing teachers are charging ( The "if he charges x, then I must charge x+1 because I'm a better teacher/performer" philosophy)
I've seen some private teachers raise their rates in one year 25% or more.
The last time I checked, the CPI hasn't risen 25% in one year during the entire history of the USA.
A word to the wise: If private teachers are not careful, they will soon price themselves out of the range of affordability for most students.
You heard it here first...GBK
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Author: SueSmith
Date: 2005-06-18 22:08
David -
It seems "plenty of players" indeed charge between $80-120...and my point was that in my experience with high level pro's - I have never taken, or have wanted to take, a lesson from someone who charges over $100. Just because someone is a member of NYPhil, BSO or Philly does not mean that they feel the need to feed their ego by overcharging students who are already at the mercy of higher education costs that increases yearly between 6-8%. Considering most pro's rake in over $100K annually - to imply that they are hurting for cash and raising their prices to cover cost of living is ridiculous...when their average student comes out of school with at least $30K in student loans.
ITA with GBK's assessment of the teacher/price situation.
Anyone daft enough to spend $160+ on a lesson does not get my sympathy - although props to the teacher who rakes in that kind of dough.
Post Edited (2005-06-18 22:10)
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Author: Mark Charette
Date: 2005-06-18 22:59
SueSmith wrote:
> Just because
> someone is a member of NYPhil, BSO or Philly does not mean that
> they feel the need to feed their ego by overcharging students
> who are already at the mercy of higher education costs that
> increases yearly between 6-8%.
And you know they're "feeding their egos" exactly how?
Hell, I charge those rates when I bill an hour or two in my profession.
Sometimes you get what you pay for. Sometimes you don't.
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Author: SueSmith
Date: 2005-06-19 01:55
Mark Charette wrote:
> SueSmith wrote:
>
> > Just because
> > someone is a member of NYPhil, BSO or Philly does not mean
> that
> > they feel the need to feed their ego by overcharging students
> > who are already at the mercy of higher education costs that
> > increases yearly between 6-8%.
>
> And you know they're "feeding their egos" exactly how?
>
> Hell, I charge those rates when I bill an hour or two in
> my profession.
>
> Sometimes you get what you pay for. Sometimes you don't.
I was playing off GBK's post, of which I am in total agreement.
Mark, I have no idea what your profession is , but not all professions are created equal. For example, I'd rather spend money on a good dentist than a good hairstylist. But, there are people out there who buy into the concept that a $500+ cut/style is the ONLY way to go. Not that a hairstylist is less of a person than a dentist, but for myself, oral health is higher on the priority list than covering my roots.
GBK is quite correct with his description on how many professionals compare notes and adjust their rates accordingly for reasons other than "making ends meet". As a poor student not too long ago, I know about this fact of life all too well. Unfortunately, classical music's elitist reputation has put off the public and will soon alienate the younger generation who are hungry to learn. Soon enough, many students will be priced out of the market if lesson prices continue to skyrocket. Even $100 is a huge chunk of change for a student or young professional, whose income can barely cover the rent most months. Tales of living off of ramen noodles are not urban legend.
During the music strike in the late 70's, George Balanchine - famous founder and choreographer of NYCB - couldn't understand why musicians wanted more money. Someone mentioned to him that musicians (at that time) made less than garbage men...to which Balanchine replied, "Of course, garbage STINKS!"
On average, the professional clarinetists I've met with can best be described as "down to earth"...and perhaps that's why I've purposefully chosen to study with them. Yes, there are "diva's" out there, who will smoke cigars in your lessons and charge you $200 an hour for it...but I certainly would not waste my time or money.
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Author: DavidBlumberg
Date: 2005-06-19 03:00
-------------------------------
Cost of living increases?
Come on let's get reasonable.
I've been giving private lessons for more than 30 years and charge a fee which is substantial, but reasonable for my area. But quite honestly, it doesn't cost me any more to give a lesson to a student today, than it did 30 years ago.
--------------------------------
Ok GBK, than sell me your house that you maybe paid $70,000 for 20 years ago for the same $70K.
And send in payment for the same Electric Bill which may have been o' say $125 back 20 years ago, and also send in a payment for a $13,000 car which was possibly what you paid back in 1985 for a decent car.
I know I did, except now that house is costing about $350,000, the car is over $40,000, and the electric bill is over $350.
Plus that College education which could have been $8500 a year back 20 years ago, except now it is $45,000 a year.
So yeah, I think my time does cost a lot more than it did 22 years ago when I started teaching, and that doesn't even include the additional experience I got from doing it.
And yes, the cost must be affordable for the students which you seek to get and keep. I don't charge $90 a hour as I know that parents/ students wouldn't be able to afford that for a younger student, etc - but I could.
And also if you go to a therapist ask them why they now are charging $160 for what they charged $80 for 15 years ago.
Maybe it's just ego....
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Author: DavidBlumberg
Date: 2005-06-19 03:12
btw, often it even works in the other direction where a teacher who was charging $25 for a lesson suddenly gets a lot more busy when they raise their price to $30 due to the impression by the public that they are somehow more qualified or exclusive.
Silly but true!
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Author: GBK
Date: 2005-06-19 03:22
Actually the house I paid $78,000 for in 1977, is now worth close to $1,000,000, but that has to do with the unique geographic area I'm in.
That aside, I see teachers raising their rates all the time - some by 25% or more in a single year.
There is no justification for that.
BTW - Once I start a new student, whether in 4th grade or in 12th grade, the rate they initially pay is "locked in" until they graduate high school.
The extra $10 or $15 dollars which I could have additionally charged during their Junior High/High School years is not going to change my life, thus I do not raise their fee.
I don't need the money that badly...GBK
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Author: DavidBlumberg
Date: 2005-06-19 04:03
I agree on that! I only raise mine about every 5 years. Even then I don't like doing it, but my wife likes it less keeping it the same.
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Author: Katrina
Date: 2005-06-19 05:35
The only times I've raised any of my rates have been when the "studio fee" at the music store where I teach has increased. I have no control over the fees at the school, and have set my rates at my house I bought last year (for $178,500) at the same as at the store.
I like having a rate of $20 at home cause the math is easy! At the store I couldn't care less, but will increase it there again if the studio fees go up.
Katrina
Post Edited (2005-06-19 12:56)
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Author: stevensfo
Date: 2005-06-19 16:16
>>>btw, often it even works in the other direction where a teacher who was charging $25 for a lesson suddenly gets a lot more busy when they raise their price to $30 due to the impression by the public that they are somehow more qualified or exclusive.
Silly but true!
David, that's absolutely correct. It's called 'marketing the product'. The price of merchandise has often nothing to do with the cost of production, but everything to do with what the market will bear.
Steve
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Author: allencole
Date: 2005-06-19 19:41
I'd like to weigh in on two issues:
1 - Photocopying checks. I teach full-time at multiple locations, and I spend my lesson time TEACHING. Photocopying checks is an easy way for me positively track who has and hasn't paid, and to extra contact data if I lose it or don't have time to take it down elsewhere.
I have no need for peoples' bank data and do not disseminate it elsewhere. But I need to streamline admininstrative duties when I am being paid to provide service. This helps tremendously. Ditto for expense receipts.
2 - Rising rates. Generally I raise my rates very infrequently, and only for certain reasons:
a. Expenses/cost-of-living are increasing. (note that my current rate is only $17 per half-hour. For example, I move between different locations during the day and that involves energy costs, vehicle wear & tear etc. Also, those locations which charge me for the use of the studio give themselves raises thus increasing my costs of doing business.
b. I do try to stay somewhat in line with other local teachers. This is partly to keep competition on a non-price basis (i.e., I don't want to get students by underselling) and partly because there are two psychological effects inherent in comparative lesson prices. First is a perception that cheaper teachers may be poor or inferior teachers. Second is that lesson price invokes something of a sweat equity in the customer. My best students pay more money, drive farther and enjoy less convenience than my poorer performers. And I have seen performance change--in both directions--along with the changes in conditions described.
I know many teachers who want to weed out all but serious inquiries, and pricing seems like a great tool in doing that.
3 - Price as an expression of teacher egotism. It does exist in theory, I'm sure. But it is only practical when a teacher can afford to risk--either through a huge loyal studio or a lucrative performing career--losing all the customers who can get a better deal elsewhere.
A person who wants to make real money teaching music is going to have to confront the issue of affordability in order to have a sufficiently large pool of potential customers. The more folks you run away with your prices, the less of a talent pool you have to pick and choose students from.
As for really major names charging major money...well, they ARE major names. And often people are taking lessons with them for the purpose of making professional connections. Would you rather pay them a high fee for lessons, or just give them 15% of all the income you dervive over the years because of their connections and recommondations?
Allen Cole
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Author: Clarinetgirl06
Date: 2005-06-19 20:07
I pay my clarinet teacher in checks every lesson for $25 and hour (which actually run over 15-50 minutes).
I pay my voice teacher 4 times a year and she is very flexible about when I give her the check, although she prefers ASAP. She has a 2 major studios and has a lot of driving to do. She sets up lots of masterclasses and recitals. She's not too expensive either-I think $20-25 and hour which is 30 mins of 1 on 1 attention and teaching and then 30 mins of theory/diction/listening to our performances and professionals/movies which relate to what we are sing so we can get the background to the songs we are singing.
I'm in high school and I charge $8 a half hour lesson and I don't give many lessons, so I won't make more than $600 a year so I don't need to worry about if it's cash or check because I won't have taxes on it.
I have had 3 free lessons with a perspective college professor which was extremely nice of him.
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The Clarinet Pages
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