Wrapping Up 2025 and Looking Ahead: A Year-End CWELCC Check-In for Child Care Operators in Peel

As we approach the Christmas holidays, we want to start by wishing all Peel childcare operators a restful and well-deserved break. 2025 has been a demanding year — and for many centres, it was the first full year operating under the CWELCC cost-based funding model.

With the holidays around the corner, most operators are balancing two things at once:

• Closing off 2025 properly, and
• Getting ready for a smooth start to 2026.

This post highlights what we are seeing at year-end and where early planning can make a difference.

Closing Off 2025: Reconciliations, FAIR, and Audit Readiness

As year-end approaches, attention is turning to CWELCC reconciliation and audit requirements.

Key areas operators are actively working through include:

• Finalizing eligible costs and ensuring they align with CWELCC guidelines
• Reviewing wage and benefit totals while planning for 2026
• Ensuring shared costs have been allocated using a reasonable and documented methodology
• Preparing for audits that now require specific CWELCC disclosures, including funding received, funding spent, and amounts potentially repayable to the Region
• Completing the new FAIR (Financial Annual Information Return) alongside audited financial statements

The new FAIR template is particularly useful because it consolidates all types of funding, giving a full picture of financial activity in one document. However, it can also be time-consuming to prepare. That’s where expertise can save operators valuable time and ensure the document is completed correctly, in line with the funding guidelines.

We support operators with one of the following two:

• Bookkeeping and manage CWELCC funds: prepare CWELCC-aligned bookkeeping, budget and track funding, prepare reconciliation schedules, review payroll based on funding guidelines, and submission of document
• Prepare Audited financial statements that meet Peel’s CWELCC disclosure requirements, including review of the FAIR. Our familiarity with the program allows audits and FAIR review to be completed efficiently and accurately.

Looking Ahead to 2026: Starting the Year Strong

While closing 2025 is the immediate priority, many operators are also planning for January.

Early 2026 considerations include:

• First payroll of the year, reflecting updated WEG, GOF, and CWELCC funding meeting the new wage limits
• Confirming wage rates and funding eligibility before payroll is processed
• Ensuring 2026 budgets are prepared and realistic under the cost-based model

Having a clear budget — and tracking it monthly — helps operators understand funding positions early, rather than discovering issues at reconciliation time.

We currently assist few daycares with:

• Preparing CWELCC-based budgets
• Monthly tracking of actual results against budget
• Ongoing funding and wage reconciliation throughout the year

A Final Note Before the Holidays

CWELCC continues to evolve, and with it, the level of financial detail and documentation required. As 2025 comes to a close, this is a good time to pause, take stock, and prepare for a well-organized start to 2026.

We wish all Peel childcare operators a peaceful holiday season and a strong start to the new year.

Chaitali V Patel

Founder
Chaitali Patel Professional Corporation