Are you thinking to start a daycare business? If so, here's an overview of how much a daycare will cost in 2023 and what does affect pricing.

How Much Does DayCare Cost in 2023? A General Overview

Are you thinking of starting a daycare business in 2023? If so, one of the most important questions you’ll need to answer is, “How much should I charge for my services?” Pricing for daycare services varies depending on certain factors. Location, service quality, age group, and number of children, are some notable factors that affect the cost of daycare services.

This article will provide an overview of how much daycare will cost in 2023 and what elements affect pricing. With this information, you will be able to make an informed decision about how to price your services.

Why Start a Daycare Business?

Before you dive head-first into starting a daycare business, it’s essential to understand the benefits of this type of venture. Daycare can be incredibly rewarding and is a great way to make a living while helping children develop and grow. With that said, here are some of the benefits of starting a daycare business:


Not only can you create meaningful relationships with the families that choose your services, but daycare centers also offer stability—most centers remain open throughout the year and can provide a steady income. Additionally, daycare is an in-demand service, with many parents needing reliable childcare options. 


Daycare can also offer great flexibility—you are in control of your hours, and you can offer part-time or full-time care as needed. You can also stay open for certain hours and holidays, which is ideal if you want to accommodate busy parents.

Make a Difference in Children’s Lives

If you love children and are passionate about teaching, daycare can be an enriching experience. You can shape young minds and develop relationships with the children and their parents that can last a lifetime. As a daycare owner, you can help children develop skills and prepare them for their future. You can teach them basic skills like sharing, communicating, and problem-solving.

Low Startup Costs

Starting a daycare business can be less expensive than many other types of businesses because it can be run out of your own home. Despite the low entry cost, daycare can be quite profitable. You can also leverage tax benefits for childcare businesses.

High Demand

As more parents enter the workforce, the demand for quality daycare services continues to grow. This means that daycare businesses can be incredibly successful—not to mention lucrative. So no matter what the economy is like, the need for daycare centers will always be high.

Sense of Fulfillment

Running a successful daycare business can bring enormous fulfillment and a sense of accomplishment as children grow and develop under your care. There is nothing like watching children thrive in a safe and nurturing environment. So, not only can it be financially rewarding, but also an incredibly satisfying experience. 

How Much Does DayCare Cost in 2023?

Now that you know some benefits of starting a daycare business, it’s time to focus on pricing. The first thing to remember when discussing pricing is knowing the current price for daycare in your state. 

In California, for instance, On average, the monthly cost for daycare services for infants and toddlers is $700, which amounts to a yearly cost of $8,400. In other major markets, like New York, the monthly cost of infant care goes beyond $2,400. You must also factor in any additional fees for registration, supplies, and food.  

According to the Childcare Aware of America, the average cost of daycare centers in the United States is $10,158 per year ($847 per month) for toddlers and $11,896 per year ($991 per month) for infants. 

Knowing these numbers will give you a good starting point when deciding your prices. You can adjust your prices accordingly to be competitive, depending on the quality of services you provide and the demand in your market. 

When setting your prices, one of the most important things to consider is the value you are providing—you want to make sure you are charging enough to cover all of your costs and make a fair profit but not so much that parents could find cheaper alternatives. 

Tips To Start a Daycare Business

Starting a daycare business can be very rewarding and lucrative, but it’s important to remember some essential tips. Here are some key tips to keep in mind when starting your business:

Develop a Business Plan

Developing a solid business plan is crucial to the success of your daycare business. Your business plan should include your mission statement, services you’ll offer, target market, marketing strategy, and financial projections.

Obtain Licenses and Permits

To operate a legitimate daycare business, you will need to obtain licenses and permits according to your state laws. Contact your local government office to find out the requirements and regulations in your area.

Create a Safe and Nurturing Environment

Creating a safe and nurturing environment for children is essential when starting a daycare business. Ensure the environment is clean, free of hazards, and meets all safety regulations.

Hire and Train Qualified Staff

Hiring and training qualified staff members is crucial to a successful daycare business. Ensure each staff member is CPR/First Aid certified and has received proper training in handling emergencies.

Create a Curriculum

A well-thought-out curriculum is essential to a daycare business. Your curriculum should be age-appropriate and provide children various experiences, such as reading, writing, and hands-on learning activities.

Market Your Business

Marketing your daycare business is essential to reach your target audience. Consider creating a website and social media presence and distributing flyers or brochures in your community.

Starting a daycare business requires hard work, dedication, and financial investment, but the rewards can be immeasurable. By following these tips, you can make your daycare business a success.

Why Use Billing Software for Your Daycare Business?

As mentioned earlier, running a daycare business is pretty lucrative. However, not having a billing system in place can cause many headaches—not to mention potentially lost revenue. 

Using billing software can make managing a daycare business much easier by automating tedious tasks such as invoicing and collecting payments. With that said, here are some benefits you can expect from using billing software.

Accurate Billing

The billing software allows you to automate the billing process and ensure that all invoices are accurate, reducing the risk of errors and disputes with parents.


Manual billing and tracking payments take a lot of time and effort. Billing software automates time-consuming tasks, such as invoice generation, tracking payments, and sending reminders for overdue balances.

Integrated Accounting

Billing software can integrate with accounting software, simplifying your bookkeeping tasks, tracking expenses and income, and generating financial reports.

Improved Communication

The billing software allows you to send invoices and reminders automatically; recipients can receive them through email or SMS, ensuring clear and timely communication between the daycare and the parents.

Increased Efficiency

Billing software saves time, energy and reduces errors, helping you focus on your core business activities. In addition, you can also access billing data at any time, from anywhere.

Try ReliaBills!

Choosing the best billing system for your daycare business can be daunting. But the truth is that it doesn’t have to be—only one choice stands out from the rest: ReliaBills.

ReliaBills is a cloud-based invoicing and billing software designed to automate payment processes, reduce administrative overhead, and streamline payment processing duties. ReliaBills’ payment processing features include automated recurring billing, payment tracking, payment reminders, online payment processing, and much more!

ReliaBills also provides valuable tools that help manage customer information, monitor payment records, and create proper billing and collection reports. As a result, invoice and billing management are simple and convenient. You also get access to active customer support, ready to assist you whenever you need help.

Get started with ReliaBills for free today! And if you want more features, you can upgrade your account to ReliaBills PLUS for only $24.95 monthly! Subscribing to ReliaBills PLUS will give you access to advanced features such as automatic payment recovery, SMS notifications, custom invoice creation, advanced reporting, and more!

With ReliaBills, you have an all-in-one solution to your invoicing and payment processing needs. Our convenient solutions will enable you to focus more on running and growing your business. Get started today! Visit to learn more.

Wrapping Up

Daycare businesses are always on the rise. So take advantage of this business opportunity and start paving your way to success in this lucrative field. Also, don’t forget to use the right tools for your daycare business. Billing software, like ReliaBills, can be very useful in managing payments and invoices. With its advanced features, you can streamline your billing and payment processes and make managing payments easier and more efficient! Get started today!

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