It is now September of 2022, and the daycare center has been successfully operating for 8 months. The demand for daycare has been as strong as anticipated, with enrollment growing by 10 percent per month from Feb. to May and 5 percent per month since June 2022. There is also significant unmet demand. While most of the parameters used to construct the 2022 budget were correct, there are a few adjustments that must be made to personnel scheduling and other cost factors for 2023.

Budget Adjustments: 1) Tiny Tots, Inc. will start providing paid vacation/personal days to their full-time employees in 2023. Daycare full-time workers get two weeks (or 80 hours) of paid time for their leaves. The daycare center will open 249 days in 2023 (except weekends and federal holidays), whereas in 2022 it only opened 240 days (i.e., 20 days every month). Staff vacation and sick leaves will be covered by additional full-time staff hired for this purpose