Fact sheets provide look at childcare and early learning costs

More than 575,672 children aged 5 and younger (22 percent) were served by federal and state early learning opportunities in California in a recent year, according to data included in 2026 state-level fact sheets on childcare and early learning released July 21 by the First Five Years Fund.

“High-quality childcare and early learning programs support children’s healthy development while giving parents peace of mind as they work or attend school. While several federally funded programs help working families access quality childcare, limited funding leaves many eligible children unserved,” according to the First Five Years Fund. “These challenges not only affect families but also employers and the broader economy. Each year, childcare shortages across the country impose significant economic costs on families, businesses, and state tax revenues.”

Based on data from 2024, just over 2.6 million children needed care from an early learning program and 64 percent of children aged 5 and under had all available parents in the workforce. An assessment from 2026 found a 36 percent gap in the supply of childcare versus the potential need.

California has a mixed delivery system for early education including offerings like state-funded pre-kindergarten and federally funded Head Start, some with no cost for families based on eligibility. State investments cover 59 percent of these programs while federal investments pay for 41 percent. Details on eligibility requirements and children served for various programs are covered by the fact sheet.

For families who pay for care, the annual price of center-based care for children in California was $23,071 and home-based care cost $17,301.

A separate fact sheet gives a national perspective. In a recent year, more than 4,665,379 children aged 5 and younger (20 percent) were served by federal and state early learning opportunities. However, total need was for more than 22.6 million children, with 65 percent of all available parents involved in the workforce. The fact sheet states that there has been a 28 percent gap in the supply of childcare compared to the potential need.

The average annual cost of center-based care has been $15,799 and $11,761 for home-based care.