A comprehensive analysis of Child Care costs for working parents, employers, and government agencies in the State of Wisconsin.
Starting this guide with a pun about Wisconsin would be standard practice, but we don’t want to be too cheesy. But while the state is home to incredible fairs, sports culture, and, of course, cheese — Child Care prices aren’t quite as fun:
- According to Child Care Aware of America, the average annual cost of Child Care for a 4-year-old in Wisconsin is $15,039, or $1,253 per month.
- The annual cost of care for an infant is $17,963, or $1,497
The average in-state tuition cost at the University of Wisconsin-Madison? $11,606. The high cost of Child Care is a major concern for many Wisconsin families, especially those with low to moderate incomes. It’s a significant financial burden that can make it difficult for parents to work or further their education. In this article, we’ll take a closer look at the cost of Child Care in Wisconsin:
- A breakdown of the expenses
- Average costs by type, age, and city in
- Wisconsin Grants and subsidies for Child Care in the state
Let’s begin!
Average Cost of Child Care in Wisconsin by Type & Age
| Age Group |
Average Cost of Child Care Center (Monthly / Annually) |
Average Cost of Family Child Care Home (Monthly / Annually) |
| Infant |
$1,497 / $17,963 |
$1,027 / $12,319 |
| Toddler |
$1,520 / $18,239 |
$1,229 / $14,743 |
| 4-Year-Old |
$1,253 / $15,039 |
$924 / $11,088 |
| School-Age (Before/After School) |
$519 / $6,226 |
$547 / $6,568 |
Given that a median-income family of four in the state earns $122,571 per year, infant care can account for up to 11% of household income — well above the federal affordability threshold of 7%.
The Current State of Child Care in Wisconsin
- Statistics: The high cost of care significantly impacts Wisconsin families. It can be a barrier for parents who want to work or pursue education. Also, the Child Care workforce earns an average hourly wage of $16 per hour, depending on the type of program. This wage is below the living wage in many parts of Wisconsin.
- Resources: The Wisconsin Child Care Shares Subsidy program is an important resource for families who need help paying for Child Care. The program, administered by the Department of Children and Families, is funded through the federal Child Care Development Fund (CCDF) and provides financial assistance to eligible families to help cover the cost of care.
In addition to financial assistance, the Department of Children and Families offers numerous resources to help parents choose the best Child Care option for their family. The department also provides a consumer statement parents can use to evaluate different care providers.
Overall, the current state of Childcare in Wisconsin presents several challenges for families and childcare providers. However, the right financial assistance programs can make overcoming those challenges easier.
Wisconsin Child Care Costs Per City
| City |
Child care – hourly |
Child care – weekly |
Child care – monthly |
Infant care – hourly |
Infant care – weekly |
Infant care – monthly |
| Milwaukee |
$18.38 |
$735.20 |
$2,389.40 |
$19.22 |
$768.80 |
$2,498.60 |
| Madison |
$19.21 |
$768.40 |
$2,497.30 |
$19.24 |
$769.60 |
$2,501.20 |
| Green Bay |
$16.62 |
$664.80 |
$2,160.60 |
$19.28 |
$771.20 |
$2,506.40 |
| Kenosha |
$17.22 |
$688.80 |
$2,238.60 |
$17.30 |
$692.00 |
$2,249.00 |
| Racine |
$16.79 |
$671.60 |
$2,182.70 |
$16.91 |
$676.40 |
$2,198.30 |
Below, we use:
- Median household income from US Census QuickFacts (latest available rolling ACS; shown in “2023 dollars” or “2024 dollars” on the pages).
- Average 1BR rent from Zumper rent research.
- Child care (monthly): $2,389.40; infant care: $2,498.60
- Median household income (QuickFacts, 2020–2024): $54,234/yr ≈ $4,519.50/mo
- Zumper avg 1BR rent: $1,099/mo
- Comparison:
- Child care vs rent: ~117% more expensive than rent
- Share of income: child care ~52.9% of median monthly income; infant care ~55.3%
- Child care (monthly): $2,497.30; infant care: $2,501.20
- Median household income (QuickFacts, 2020–2024): $78,050/yr ≈ $6,504.17/mo
- Zumper avg 1BR rent: $1,530/mo
- Comparison:
- Child care vs rent: ~63% more expensive than rent
- Share of income: child care ~38.4%; infant care ~38.5%
- Child care (monthly): $2,160.60; infant care: $2,506.40
- Median household income (QuickFacts, 2019–2023): $62,546/yr ≈ $5,212.17/mo
- Zumper avg 1BR rent: $850/mo
- Comparison:
- Child care vs rent: ~154% more expensive than rent
- Share of income: child care ~41.5%; infant care ~48.1%
- Child care (monthly): $2,238.60; infant care: $2,249.00
- Median household income (QuickFacts, 2019–2023): $68,532/yr ≈ $5,711.00/mo
- Rent: $1,045/mo
- Comparison:
- Child care vs rent: ~114% more expensive than rent
- Share of income: child care ~39.2%; infant care ~39.4%
- Child care (monthly): $2,182.70; infant care: $2,198.30
- Median household income (QuickFacts, 2020–2024): $57,740/yr ≈ $4,811.67/mo
- Rent: $870/mo
- Comparison:
- Child care vs rent: ~151% more expensive than rent
- Share of income: child care ~45.4%; infant care ~45.7%
Grants & Subsidies for Wisconsin Child Care
Here are some key Child Care financial assistance programs available to Wisconsin parents, with funding details and eligibility requirements:
Wisconsin Shares Child Care Subsidy Program
The Wisconsin Shares program is the state’s primary child care subsidy for low-income working families, administered by the Wisconsin Department of Children and Families. It provides direct financial assistance to help eligible families afford quality child care through an EBT card system.
- Amount / Copay: Sliding scale copayments based on family income. Copayments increase by $1 for every $3 that family gross income exceeds 200% of the Federal Poverty Level (FPL). For a family of 4, the initial eligibility threshold is $5,500/month (200% FPL), with continued eligibility up to $8,723/month (85% State Median Income). Subsidy amounts vary based on provider rates and child age.
- Eligibility:
- Family monthly gross income must not exceed 200% of Federal Poverty Level (FPL) to initially qualify; can remain eligible until income reaches 85% of state median income (effective February 1, 2026)
- Parent or caregiver must be engaged in an approved activity such as working, attending education/training, apprenticeships, or participating in Wisconsin Works (W-2) or Tribal TANF programs
- Child must have a Social Security Number and proof of U.S. citizenship; parents do not need to be U.S. citizens
- How to Apply: Apply online through the ACCESS system, call your local Income Maintenance Agency, or visit in person. For Milwaukee County residents, call Milwaukee Enrollment Services (MilES) at 1-888-947-6583 (option 2 for child care).
Get Kids Ready Program
Get Kids Ready is Wisconsin’s first-ever fully state-funded child care program, launched in 2026 by Governor Evers. It provides free school readiness instruction for 4-year-olds at participating licensed and certified child care providers, with the state covering all costs for families.
- Amount / Copay: Completely free for families—the state provides $65 million in direct payments to participating child care providers. Families pay no tuition or copayments for the school readiness component (437 hours per year of instruction).
- Eligibility:
- Child must be 4 years old by September 1, 2026
- Child must be enrolled in a licensed or certified child care provider that participates in Get Kids Ready and meets Wisconsin Model Early Learning Standards
- Provider must have lead teachers with an associate or bachelor’s degree and meet state health, safety, and well-being requirements
- How to Apply: Families can find participating providers through the DCF Get Kids Ready webpage. Parents should contact participating providers directly to enroll their 4-year-old for the 2026-27 school year.
Wisconsin Child and Dependent Care Tax Credit
The Wisconsin Child and Dependent Care Tax Credit (Schedule WI-2441) is a state tax credit for working families who pay for child care expenses, expanded under Wisconsin Act 101 effective for tax year 2024 and beyond. This credit helps reduce tax liability for families with qualifying child care expenses.
- Amount / Copay: Maximum credit of $3,000 for one dependent or $6,000 for two or more dependents. The credit is calculated as a percentage of qualifying expenses (ranging from 20-35% depending on income), with the percentage decreasing as income increases. For tax year 2026, families can claim up to 50% of eligible expenses under federal law changes.
- Eligibility:
- Parent(s) must have earned income from employment or self-employment during the tax year
- Must have paid qualified child care expenses to enable work or active job search
- Must be a full-year Wisconsin resident
- Child care provider must be identified on the tax return (name, address, and tax ID or Social Security Number)
- How to Apply: File Schedule WI-2441 with your Wisconsin state income tax return (Form 1). Complete the form to calculate your credit based on qualifying expenses and income. File through a tax preparation service, use VITA (Volunteer Income Tax Assistance) sites for free preparation, or file electronically through the Wisconsin Department of Revenue.
Child Care Bridge Payments Program
The Child Care Bridge Payments program provides direct monthly payments to regulated child care providers (July 2025 – June 2026) to support operational stability and staff compensation. While primarily a provider program, it indirectly benefits families by helping providers maintain quality care and reduce family copayments.
- Amount / Copay: Program A (Increasing Access): Per-child payments ranging from $14-$50 depending on child age (0-1 years: $50; 2-3 years: $44; 4-5 years: $23; 6+ years: $14), plus Wisconsin Shares add-on amounts for subsidized children. Program B (Workforce): Base per-staff amounts plus quality incentive amounts based on YoungStar ratings. Providers can use funds to reduce family copayments and tuition.
- Eligibility:
- Provider must be regulated (licensed group center, licensed family provider, licensed day camp, certified provider, or license-exempt public school program) and in good standing with DCF
- Provider must be open and actively caring for children ages 0-12 (or under 19 for children with disabilities) during the count week
- Provider must maintain compliance with background check requirements and health/safety administrative rules
- Provider must not have outstanding overpayments from prior DCF programs or must be in active repayment
- How to Apply: Regulated child care providers apply through the Child Care Provider Portal. Providers submit applications during designated Application Weeks and must update child attendance and staff information monthly. For assistance, contact the Child Care Payments Support Center at DCFDECECOVID19CCPayments@wisconsin.gov or 608-535-3650 (Monday-Friday, 8 a.m. – 4:30 p.m.).
Cost of Child Care in Wisconsin vs. Other States
How Wisconsin Child Care Costs Compare to the top 10 States in the United States in 2026:
- Washington, D.C. ($20,981)
- Massachusetts ($20,669)
- New Jersey ($17,503)
- New York ($17,343)
- Illinois ($17,238)
- Washington ($16,908)
- California ($16,665)
- Rhode Island ($16,212)
- Vermont ($15,877)
- Nebraska ($15,738)
(These are annual prices for a 4-year-old).
Get Quality Child Care in Wisconsin
First, let’s quickly go over some key takeaways:
- Child Care in Wisconsin can cost more annually than in-state college tuition. Families can pay up to $13,572 for infant care, surpassing the $9,273 average tuition at the University of Wisconsin–Madison.
- Costs are influenced by provider type, location, and your child’s age. Infant care in major cities like Madison can top $2,400 a month, while home-based programs or smaller towns may offer more budget-friendly options.
- Financial aid can lighten the burden for eligible families. Programs like Wisconsin Shares, the new Get Kids Ready program, and local assistance in Madison all help offset these costs, keeping Wisconsin below only a handful of pricier states nationwide.
Doing research, applying for financial aid, and finding the proper care for your family can all be time-consuming and sometimes overwhelming. However, investing in quality Child Care is crucial for your child’s development and well-being — and with enough patience and the right tools, you can be confident in finding the best care for your family’s needs.
Frequently Asked Questions
What’s the difference between center-based and family-based care?
Center-based care is provided in a licensed facility, such as a daycare center or preschool. On the other hand, family-based care is typically provided by an individual caregiver in their home.
Is center-based care better than family-based care?
Center-based is generally more expensive than family-based providers, but that doesn’t always mean better for your child. Family-based care may provide a more personalized and intimate environment for your child, while center-based care can offer a wider range of resources and activities.
Why are Child Care costs so high?
Several factors contribute to the high cost of Child Care. These include:
- Staff wages and benefits: Child Care providers need to be adequately compensated for their time and work. However, many providers earn low wages and do not receive benefits like health insurance or paid time off.
- Operating expenses: Running a Child Care facility requires rent, utilities, supplies, and other operating costs that can add up quickly.
- Low adult-to-child ratios: To ensure the safety and well-being of children, there are often regulations in place that limit the number of children per adult. This means Child Care providers may need to hire additional staff, increasing costs.
- Quality standards: High-quality Child Care programs require trained and qualified staff, which can also add to the overall cost.
Additionally, some states have quality rating systems that providers may need to meet to receive funding or subsidies.
How much of your budget should go to daycare?
According to the Department of Health and Human Services, families should aim to spend no more than 7% of their household income on Child Care expenses. This percentage can vary depending on your family’s financial situation and regional cost of living but be careful not to overspend in this area. Seek subsidies and grants that make Child Care more affordable.
Are there any programs or initiatives in place to help families with the high cost of Child Care?
Yes, there are various programs and initiatives in place to help families with the high cost of Child Care, such as:
- Child Care Subsidy: Many states offer subsidies for low-income families to help cover the cost of Child Care.
- Head Start and Early Head Start: These are federally funded programs that provide free or low-cost early education and Child Care services for eligible families.
- Tax Credits: Families can claim tax credits such as the Child and Dependent Care Credit to offset some of the costs of Child Care.
- Employer Benefits: Some employers may offer options such as Flexible Spending Accounts or Dependent Care Assistance Programs to help employees cover Child Care expenses.
What are the tax advantages for businesses to offer Child Care support?
Investment in child care isn’t just a benefit for families – it’s a strategic advantage for employers and the economy. When companies support reliable, affordable care, they help reduce absenteeism, improve retention and productivity, and build a more stable, engaged workforce. At the same time, families benefit through increased income for essentials like food, education, and savings, and children gain stronger early learning experiences.
To accelerate these investments, the federal government has significantly enhanced the Employer-Provided Child Care Tax Credit (IRC Section 45F) beginning January 1, 2026. Under the updated rules, eligible businesses can claim:
- 40% of qualified child care expenses, or
- 50% for eligible small businesses,
- With annual credit caps increased to $500,000–$600,000, plus an additional 10% credit for child care resource and referral costs.
Importantly, employers no longer need to operate an on-site center – contracted care, referral services, and third-party platforms may now qualify, making child care support more accessible for businesses of all sizes.
In addition to 45F, employers can stack other tax-advantaged tools — like Dependent Care Assistance Plans (DCAPs) and Dependent Care FSAs (DCFSA) — to lower employee costs and increase overall savings. Combined, these federal incentives can significantly offset the cost of supporting employee child care while strengthening recruitment, retention, and employee well-being.
Learn more in TOOTRiS’ Executive Guide to Leveraging Child Care Tax Incentives to Maximize Workforce ROI.
Beyond federal benefits, a majority of states are now offering tax credits or incentive programs for businesses to stimulate economic growth by providing Child Care solutions to their employees. Here is a state-by-state rundown of available business tax credits, incentives, or current legislation pertaining to potential Child Care tax credits for employers – 2025 State-by-State Guide to Business Child Care Tax Credits & Incentives.
What is the ROI of providing Child Care Benefits?
Return on Investment (ROI) is a measure of how much profit or cost savings a company can expect to receive from an investment. In the context of Child Care Benefits, ROI refers to the financial benefits that a company can expect to receive from offering Child Care Benefits to its employees. But the financial benefits of offering Child Care Benefits can include (as also mentioned above):
- Increased employee retention
- Increased employee productivity
- Reduced absenteeism
- Reduced turnover costs
- Improved recruitment and talent acquisition
- Improved employee health
In looking to calculate the ROI of a Child Care Benefit, employers must carefully evaluate the total saving from the benefit (through reduced turnover costs, health care savings, increased productivity, etc.), and the overall cost of the benefit. To learn more, see our CFO’s Guide to Child Care Benefit ROI: A Statistical Analysis
What are the top Child Care Benefit programs employers can implement?
There are several different types of Child Care Benefits programs that employers can offer. Each one has a different level of commitment, finances, and impact on employees. The different models of implementing Child Care Benefits include:
- On-Site Child Care
- Subsidized Child Care
- Dependent Care Flexible Spending Accounts (DCFSAs)
- Referral Services
- TOOTRiS Child Care Benefits
To understand the benefits and challenges to each, review the section on Choosing Child Care Benefit Programs in the CFO Guide.
Resources for Wisconsin Employers