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What's new - illumine Subsidy Calculator

Varun avatar
Written by Varun
Updated over 2 weeks ago

Subsidy management is a critical operational requirement for childcare providers in the US, particularly in the Florida market, where over 65% of providers utilize subsidies. The Coalition mandates providers to maintain accurate monthly records and reconciliations, with clear separation of subsidy reimbursements and parent co-pays.

To support compliance, reduce billing friction, and enable confident billing launches, illumine has introduced a Subsidy Calculator that seamlessly integrates subsidy logic into student billing and invoicing.


Problem We’re Solving

Providers today face:

  • Manual and inconsistent subsidy calculations

  • Difficulty aligning per-day subsidy reimbursements with full tuition plans

  • Errors during invoice generation and monthly reconciliation

  • Limited ability to manage subsidies at a student, program, or tuition-plan level

These challenges are amplified in subsidy-heavy markets like Florida and often delay or block billing launches.


Solution: illumine Subsidy Calculator

The illumine Subsidy Calculator enables providers to configure, calculate, and automatically apply subsidies at a per-student level, fully aligned with the student’s program and tuition plan.


How It Works

1. Subsidy Configuration at the Student Level

  • Subsidy details are saved per student

  • Linked directly to the student’s program and respective tuition plan

  • Ensures accuracy even when a school has multiple programs or tuition structures

2. Customizable Billing Cycle Working Days

  • Schools can define the number of working days per billing cycle.

3. Per-Day Tuition Calculation

  • Total tuition from the selected tuition plan is divided by the configured working days

  • Establishes a consistent per-day tuition rate

4. Flexible Subsidy Input Options

Since subsidy providers vary in how they share data, Illumine supports both workflows:

  • Option A: Enter subsidy reimbursement per day

  • Option B: Enter parent co-pay per day

Users can use either input, and Illumine will calculate the rest automatically.

5. Automatic Subsidy & Co-Pay Calculation

Using:

  • Per-day tuition

  • Number of working days

  • Subsidy or co-pay per day

Illumine calculates:

  • Total subsidy reimbursement for the billing cycle

  • Total parent co-pay on the full tuition amount


Key Benefits

  • ✅ Student-level accuracy tied to program and tuition plan

  • ✅ Automatic, error-free subsidy application on invoices

  • ✅ Coalition-ready monthly records and reconciliations

  • ✅ Flexible to different subsidy provider models

  • ✅ Faster, more confident billing launches


Impact

With the Subsidy Calculator, Illumine enables providers to:

  • Scale subsidy management across programs and students

  • Reduce operational overhead and reconciliation time

  • Improve billing transparency for parents and Coalitions

  • Confidently support subsidy-heavy markets like Florida

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