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We only need go to the supermarket or pick up a newspaper to be reminded that budgets are tight for both music teachers and their students’ families right now. While there's lots of advice out there for bargains and budgeting, for private music teachers, robust contracts and good processes can help you save money and help avoid unexpected drops in income.
Setting up a contract
Having a good contract in place will ensure that teachers and students know what is expected of them and give you peace of mind that you have some clear legal protection in the event of a dispute over fees. ISM members have access to various template contracts for private music teaching, which you can adapt to suit your teaching needs.
It's worth remembering that people don't always read the full terms and conditions, so it's a good idea to draw attention to any clauses which specify aspects like payment deadlines and cancellation policies in the email when you send over the contract. Many disputes can arise, for example, when students or their parents don't realise that they need to give a full term's notice to stop lessons – especially after the long summer break. Being clear with your communication about these policies from the beginning can save a lot of headaches later.
It's also important to understand that contracts are a two-way agreement, with clauses in place to protect both parties. Make sure you understand all the terms of the contract, so you know what your obligations are as the teacher, as well as what is expected of the student or parent. Keep on top of your admin so you know if any lessons need to be made up, and make sure to send invoices far enough in advance so that students or their parents have time to pay promptly.
Raising your fees
Many businesses have increased prices as a response to inflation in the past few months as they try to mitigate increased costs to deliver the same services as they were in the summer.
If you feel it's time to raise your teaching fees, handling this well will ensure you maintain a good relationship with your students and keep your business going.
Whenever you make a change to your teaching agreement – whether it's price, cancellation terms, or any other change – you always need to give the other person plenty of notice. This ensures that they are given a fair opportunity to either agree or disagree to the suggested changes and adapt accordingly, or to validly terminate the agreement if they can't accept the change.
If you have a signed contract in place which specifies a notice period for increasing fees, then make sure you stick to this. It can be tempting to send out a generic message in the last week of the holidays saying that fees are going up this term; but remember that the signed contract is in place to protect both you and the customer. If a student can't afford the new higher fees announced at short notice, and decides to stop lessons immediately on that basis, then you won't be able to charge the customer a short-notice cancellation fee if you haven't respected all the contractual notice periods yourself.
So, read your contract, plan ahead, and let your students know what to expect in advance. If this leads to some students giving notice to terminate lessons the following term, you will at least have time on your side and a better chance of replacing the work and maintaining your income.
What to do if you're not paid
If a student or their parent is in a situation where they can't pay you, don't panic. There are several sensible steps you can take.
In the first instance, see if you can come to an agreement to pay the outstanding fees in instalments, rather than all in one go. For a family under financial pressure, £75 a month may be much more manageable than finding a lump sum of £300 to pay up-front at the start of term. Make sure that what you've agreed to is written down.
If this isn't possible and you find yourself facing a loss of earnings, you may need legal support. ISM members can get in touch with the ISM's in-house legal team. They can assess your case and, where necessary, communicate with the customer on your behalf to explain the legal position and arrange a payment plan. If your case needs escalating further, then the legal expenses insurance available to ISM members cover proceedings for valid claims over £100, making it less likely you'll be left out of pocket.
Peris and VMTs
If you're a peripatetic or visiting music teacher working in a school, and your contract is with the school rather than with students directly, then any changes to fees or terms and conditions will need to be negotiated with the school.
It's also worth having a look at your contract to make sure you're receiving everything you're entitled to. The recent Brazel v Harpur Trust ruling has confirmed the way that holiday pay should be calculated for workers, so check whether this applies to you and whether you're receiving the full amount owed. If you're not sure, seek legal advice.
Find out more about the Brazel v Harpur Trust case.