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Child Care Aware of America reported average U.S. childcare costs of $13,184 per child in 2025, with center-based infant care averaging $15,636. Families may lower costs by comparing care settings and schedules, using eligible employer benefits or tax credits, and checking public assistance; eligibility and savings vary.
Childcare averaged $13,184 per child in the United States in 2025, while center-based infant care averaged $15,636 a year, according to Child Care Aware of America figures cited in the report. The figures help explain why care can take a large share of household income, and the report points to changes in 2026 employer benefits and assistance rules that could affect some families’ costs.
Prices vary by a child’s age and the type of care. Child Care Aware of America’s 2025 figures put infant care at $15,636 annually in a center and $11,673 in a family child care home. For a 4-year-old, the reported averages were $12,555 at a center and $10,572 in a family child care home. These are national averages, not quotes for a particular location or provider.
The report also cites Care.com’s survey of parents, who said childcare took an average of 20% of household income; 78% said it accounted for at least 10%. Those are self-reported survey results, not a government estimate. Care.com’s posted 2025 rates put a nanny caring for one infant at $870 a week for a 40-hour week, compared with $332 a week for daycare. The two services differ, so the figures are not a like-for-like quote.
One 2026 change concerns employer dependent-care assistance accounts. The report says the annual limit rose to $7,500, or $3,750 for married employees filing separately, from $5,000 and $2,500. Eligible contributions are taken from pay before income tax, but the value depends on a household’s tax situation and plan rules. The report also says a 2026 federal rule removed the mandatory 7% cap on copayments for families receiving childcare assistance, returning those decisions to states.
How Care Costs Affect Work Decisions
For families weighing a job against care costs, the bill is not just a monthly expense: it can shape work hours, job choices and household income. The report frames the high-cost period as a bridge from infancy to the point when public pre-K or kindergarten may cover some care. That is a useful planning lens, but the length and cost of that period depend on a child’s age, local availability, school schedules and family circumstances.
Leaving work can also have effects beyond the immediate childcare bill. A cited study of U.S. households from April to July 2021 found that, among adults with children who reported employment effects from disrupted care, 26.9% cut their hours and 15.9% left a job. The study concerned pandemic-related disruptions, not childcare prices, so it does not establish how many people leave work because of cost. It does show that access to care and employment can be closely connected.
Prices rose 23% from 2021 to 2025, according to Child Care Aware of America, while overall prices rose 24% over that period. Its reported national average moved from $13,128 in 2024 to $13,184 in 2025. Those comparisons suggest the childcare bill remains high, even as the recent annual change was much smaller than the cumulative increase since 2021.
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What the 7% Benchmark Covered
The 7% figure often used in discussions of childcare affordability has a specific policy history. The report says the U.S. Department of Health and Human Services introduced it in a 2016 rule as an optional benchmark for state copayments under the Child Care and Development Fund. A March 2024 rule made the cap mandatory for families receiving assistance. According to the report, a final rule in May 2026 removed that mandate and returned copayment decisions to states.
That benchmark was not a limit on what private providers could charge, nor a guarantee that every family would pay no more than 7% of income. Changes to the assistance rule apply to copayments within the program; families paying privately should not assume the rule controls their bill. State policy and household eligibility matter.
The report’s cost-cutting suggestions begin with comparing care arrangements and schedules. It recommends asking providers about part-week pricing, sibling discounts, hours that match a parent’s shift and when rates change as a child moves into another age group. A state licensing or childcare referral agency may also list licensed family child care homes. Availability and rates are local, so national averages can only serve as a starting point for questions.
“The average cost of child care was $13,184 per child in 2025.”
— Child Care Aware of America, as cited in the report
Local Prices and Eligibility Vary
National averages do not show what a family will actually pay. Costs depend on location, provider, hours, child age and whether a spot is available. The source does not provide a state-by-state comparison or confirm that any particular family qualifies for an employer benefit, tax credit or public assistance.
The report says employer dependent-care limits changed for 2026, but the amount a household saves depends on its tax rate, plan terms and eligible expenses. It also warns that employer pre-tax benefits and the federal child and dependent care tax credit cannot be used on the same dollars. The source material does not spell out every interaction or eligibility rule, so families should check current IRS guidance and their employer plan before choosing how to claim expenses.
It is also not yet clear how every state will set copayments after the federal 7% mandate was removed. State rules, implementation dates and assistance availability may differ. The pandemic-era employment study cited in the report should not be treated as a measure of how many parents leave jobs because of current prices.
Check Benefits Before Enrolling
Families considering a change can begin by requesting full rates and schedules from nearby providers, then comparing the cost of the hours they actually need. Before paying a deposit, ask when rates change, what happens during holidays or absences, and whether a part-week option is available. A state childcare referral agency can provide information on licensed providers, while availability must be confirmed directly with each program.
Employees should ask their benefits administrator whether a dependent-care account is offered for 2026, how the new limit applies to their plan and which expenses qualify. They should compare that option with the federal tax credit rather than assume both can cover the same expenses. Families seeking subsidized care can contact their state or local administering agency for eligibility rules and current copayment policies. Further state guidance and individual provider quotes will determine how much the reported changes matter for each household.
Key Questions
What was the average U.S. childcare cost in 2025?
Child Care Aware of America reported an average of $13,184 per child in 2025. Costs varied by age, setting and location, so this is not an estimate for every family.
How much did infant care cost on average?
The report cites 2025 averages of $15,636 a year at a childcare center and $11,673 in a family child care home. Local prices and available hours may differ.
Does the 7% childcare rule limit what providers can charge?
No. The benchmark concerned copayments for families receiving assistance, not private provider prices. The report says a 2026 rule removed the federal mandatory cap and returned those decisions to states.
What changed for dependent-care accounts in 2026?
The report says the annual employer dependent-care assistance limit rose to $7,500, or $3,750 for married employees filing separately. Whether an employee can use the full amount depends on the employer plan and applicable tax rules.
Can families use an employer account and the federal care tax credit for the same expenses?
The report says the same expenses cannot be used for both benefits. Families should check current IRS guidance and their employer plan to understand which expenses qualify and which option fits their situation.
Source: rss
