Start from a full week of costs, then divide by the children you care for. ProfitDrawer's home daycare guide works an example for 6 full-time children: $1,375 of pay (55 hours at $25), $168 of food, $60 of supplies, $45 of insurance and licensing and $40 of utilities, for $1,688. Adding 15% gives $1,941.20, or $325 per child per week. These are example numbers, not local rates.
Check your license first: the example assumes your license allows 6 children of those ages.
Why the numbers look like this:
- Hours: 50 open hours plus prep and cleaning makes 55 hours a week.
- Food: $28 per child, so 6 x $28 = $168.
- The 15% covers taxes, sick days and empty spots.
- Per child: $1,941.20 / 6 = $323.53, rounded to $325.
If only 4 spots are filled at first, the same costs are shared by fewer children, so plan savings for that period.
Common policies to decide:
- A higher rate for infants and separate part-time rates.
- Payment ahead, and whether families pay to hold a spot during vacations.
- Late pickup fees and a holiday policy, written in a parent handbook.
Test different numbers in the free price per job calculator and compare your result with local rates.
Source: How to Start a Home Daycare Business (Licensing, Costs and Pricing) · Updated
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General information, not tax, legal or financial advice. Check the rules for your state and your situation.