Family Finance

How Much Does Daycare Cost in 2025? Complete State-by-State Breakdown

Comprehensive analysis of daycare costs across the United States, including cost-saving strategies and government assistance programs to help working families afford quality childcare.

By Glen Meade
January 9, 2025
16 min read
Children playing at daycare center

For working parents, childcare is often the largest expense in the family budget—frequently exceeding rent or mortgage payments. According to the latest data from Child Care Aware of America, the average cost of center-based daycare in the United States ranges from $5,000 to $20,000+ per year per child, depending on your state, the child's age, and the type of care. Understanding these costs and knowing where to find financial assistance can make the difference between affording quality care and making difficult compromises.

Quick Answer

National average daycare cost in 2025: $10,600/year for infants, $9,300/year for toddlers, and $8,300/year for preschoolers. However, costs vary dramatically by state—from $5,436/year in Mississippi to $20,913/year in Massachusetts for infant care.

National Average Daycare Costs 2025

According to Child Care Aware of America's 2025 report, the national average annual cost for full-time center-based daycare is:

Age GroupAnnual CostMonthly Cost% of Median Income*
Infant (0-1 year)$10,600$88315.2%
Toddler (1-3 years)$9,300$77513.3%
Preschool (3-5 years)$8,300$69211.9%
*Based on U.S. median household income of $69,717

The Department of Health and Human Services considers childcare "affordable" if it costs no more than 7% of a family's income. By this standard, daycare is unaffordable for the majority of American families, particularly those with infants.

Daycare Costs by State

Where you live dramatically impacts childcare costs. Here are the most and least expensive states for infant daycare in 2025:

Most Expensive States

1. Massachusetts$20,913/year
2. Washington D.C.$19,112/year
3. California$16,945/year
4. New York$15,394/year
5. Oregon$14,144/year

Least Expensive States

1. Mississippi$5,436/year
2. Alabama$5,990/year
3. South Dakota$6,254/year
4. Arkansas$6,416/year
5. Kentucky$6,693/year

Price Difference: Infant daycare in Massachusetts costs nearly 4x more than in Mississippi—that's a $15,000+ annual difference! Within states, urban areas typically cost 25-40% more than rural areas.

Calculate Your Daycare Costs

Get personalized cost estimates based on your location, child's age, and care type with our free daycare cost calculator.

Try Daycare Cost Calculator

Essentials for Daycare Transition

When starting daycare, these products help parents manage the transition and maintain routines between home and childcare:

Pump Hands-Free While Multitasking

Best Hands-Free

Wearable double breast pump with 3 modes and 9 suction levels for comfortable, efficient pumping anywhere.

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Stylish Diaper Bag That Doesn't Look Like One

Most Stylish

Multi-function baby bag with insulated pockets, changing pad, and laptop compartment. Looks like a regular backpack.

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Top-Rated Baby Bottles for Easy Feeding

Best Overall

Natural Response nipples designed to mimic breastfeeding for easy bottle transition. Wide neck for easy cleaning.

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Transition to Big Kid Drinking

Silicone handles and soft sippy spout help toddlers develop independence.

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âś“ Label Everything

Daycare centers recommend labeling all bottles, pacifiers, clothing, and supplies with your child's name. Many parents also send a complete change of clothes in their diaper bag daily.

As an Amazon Associate, we earn from qualifying purchases. These items make the daycare transition smoother for working parents.

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Glen Meade

Founder of ParentCalc

Glen analyzes family finance data to help parents make informed decisions about childcare costs, budgeting, and long-term financial planning for their children.

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