Childcare Options in Canada: Daycare, Subsidies, and Benefits for Families

Childcare in Canada: What Newcomers Need to Know

Finding affordable, quality childcare is one of the most important tasks for newcomer families with young children. Canada offers a range of childcare options from licensed daycare centres to home-based care, along with government subsidies and benefits designed to help families manage costs. The federal government has committed to building a Canada-wide early learning and child care system, which has already reduced fees significantly in many provinces.

Understanding the childcare landscape before you arrive or soon after helps you secure a spot sooner, as waitlists in major cities can stretch months or even years.

Types of Childcare in Canada

Licensed Daycare Centres

Licensed daycare centres are regulated facilities that must meet provincial standards for staff qualifications, child-to-staff ratios, health and safety, and programming. They accept children from infancy (as young as 6 weeks in some provinces) through age 5 or 6 when children enter kindergarten.

Benefits of licensed centres include structured programming, trained early childhood educators, regular inspections, and compliance with government safety standards. Many centres also provide meals and snacks.

Licensed Home Daycare (Family Childcare)

Licensed home daycares operate from the provider's home and are regulated by the province. They typically care for smaller groups of children, often 5 to 8 depending on the ages of children and provincial regulations. Licensed home daycares must meet many of the same health and safety standards as centres but offer a more home-like environment.

Unlicensed or Informal Care

Some families choose informal arrangements such as care by a relative, nanny, or an unlicensed home daycare. While unlicensed providers may be less expensive, they are not inspected by government authorities and do not have to meet provincial standards. Each province sets rules about unlicensed care, including the maximum number of children an unlicensed provider can care for.

Before and After School Programs

For school-age children (typically ages 6 to 12), before and after school programs provide supervised care during the hours outside the regular school day. These programs may be run by the school, by municipal recreation departments, or by private providers. Many operate within the school building for convenience.

Nannies and Au Pairs

Hiring a nanny or au pair provides in-home care for your children. If you hire a caregiver from outside Canada, you may need to navigate the Temporary Foreign Worker Program and obtain a Labour Market Impact Assessment. Nannies hired within Canada are subject to employment standards regulations in your province.

Canada-Wide Early Learning and Child Care System

The Government of Canada has established agreements with all provinces and territories to create a Canada-wide early learning and child care system. The key goal is to bring regulated childcare fees down to an average of $10 per day across the country.

Many provinces have already achieved significant fee reductions. The timeline and implementation vary by province. To benefit from reduced fees, your child must be enrolled in a participating licensed childcare program.

This system represents the most significant federal investment in childcare in Canadian history. Check with your province or territory for the current status of fee reductions and how to access them.

The Canada Child Benefit (CCB)

The Canada Child Benefit is a tax-free monthly payment made to eligible families to help with the cost of raising children under 18. The CCB is administered by the Canada Revenue Agency (CRA).

Eligibility

To receive the CCB, you must:

Live with a child under 18
Be primarily responsible for the child's care and upbringing
Be a resident of Canada for tax purposes
Be a Canadian citizen, permanent resident, protected person, temporary resident who has lived in Canada for the previous 18 months, or registered under the Indian Act

Newcomers who meet the residency and immigration status requirements can apply as soon as they arrive.

How to Apply

Apply for the CCB through the CRA. You can apply:

When you file your income tax return (recommended for all newcomers to file a return even if you have no income)
Using My Account on the CRA website
By completing Form RC66, Canada Child Benefits Application

Payment Amounts

CCB amounts are based on family net income, the number of children, and the children's ages. For the July 2025 to June 2026 benefit period, the maximum annual amounts are:

Up to $7,787 per child under age 6
Up to $6,570 per child aged 6 to 17

Families with lower incomes receive the maximum benefit. Payments decrease as family income increases above approximately $36,500.

Child Disability Benefit

If your child is eligible for the disability tax credit, you may also receive the Child Disability Benefit, an additional monthly payment on top of the CCB.

Provincial Childcare Subsidies

Each province and territory offers its own childcare subsidy programs based on family income. These subsidies can significantly reduce or eliminate the cost of licensed childcare for eligible families.

How Provincial Subsidies Work

Provincial subsidies typically cover a portion of childcare fees for families below certain income thresholds. Application processes, eligibility criteria, and subsidy amounts vary by province. Generally, you need to:

Be a resident of the province
Use a licensed childcare provider
Demonstrate financial need based on family income
Apply through the provincial ministry responsible for childcare

Childcare Costs and Subsidies by Province

Ontario: Licensed infant care averages $60 to $90 per day before subsidies. Ontario has implemented fee reductions under the Canada-wide system. Subsidies are available through municipal offices based on income.

British Columbia: The province has implemented $10-a-day childcare at participating sites. The BC Child Care Fee Reduction Initiative has reduced fees at most licensed facilities. Additional subsidies are available for lower-income families through the Affordable Child Care Benefit.

Alberta: Childcare fees have been reduced under the federal-provincial agreement. Additional subsidies are available for families earning below certain thresholds. Apply through the Alberta Child Care Subsidy program.

Quebec: Quebec has operated a subsidized childcare system since 1997, with regulated spaces costing $9.10 per day. Unsubsidized spaces are available at market rates, with a provincial tax credit to offset costs.

Manitoba, Saskatchewan, and Atlantic Provinces: Fee reductions under the Canada-wide system are being implemented. Each province maintains its own subsidy application process for families needing additional assistance.

Finding Childcare

Start Early

Waitlists for infant and toddler care in major Canadian cities can be 12 to 24 months long. Register your child on waitlists as soon as possible, ideally before or shortly after arriving in Canada. Many centres allow you to register online or by phone.

Where to Search

Provincial childcare registries: Most provinces maintain online databases of licensed childcare providers. Search your provincial government website for "childcare search" or "childcare registry."
Municipal resources: City websites often have childcare locator tools and information about local subsidies.
211 service: Dial 2-1-1 or visit 211.ca for community and social services referrals, including childcare information.
Settlement agencies: Organizations funded by Immigration, Refugees and Citizenship Canada (IRCC) can help newcomers navigate childcare options.

What to Look For

When evaluating childcare providers, consider:

Licensing status: Confirm the provider is licensed and in good standing with the provincial regulator
Staff qualifications: Ask about the education and training of the early childhood educators
Child-to-staff ratios: These are regulated by province and should be posted or available on request
Program philosophy: Some programs follow specific curricula (Montessori, Reggio Emilia, play-based learning)
Meals and nutrition: Ask about the food provided and whether they accommodate allergies or cultural dietary requirements
Language: Some childcare centres offer programming in French, English, or both. Some offer heritage language programs
Hours of operation: Ensure the hours align with your work or study schedule
Location: Proximity to your home or workplace matters for daily logistics

Tax Benefits for Childcare Expenses

Child Care Expense Deduction

The CRA allows families to deduct childcare expenses on their income tax return. Eligible expenses include fees paid to licensed daycare centres, home daycare providers, day camps, boarding schools, and certain babysitting services.

Deduction limits per child per year:

Up to $8,000 for children under age 7
Up to $5,000 for children aged 7 to 16
Up to $11,000 for children eligible for the disability tax credit

The deduction must generally be claimed by the lower-income spouse or common-law partner.

Parental Leave and Employment Insurance

New parents in Canada may be eligible for Employment Insurance (EI) maternity and parental benefits, which provide income support while you are away from work to care for a newborn or newly adopted child.

Maternity benefits: Up to 15 weeks for the birth parent, available up to 12 weeks before the expected due date
Standard parental benefits: Up to 40 weeks of benefits shared between parents (one parent can receive a maximum of 35 weeks)
Extended parental benefits: Up to 69 weeks shared between parents at a lower payment rate

To qualify, you generally need to have accumulated at least 600 insurable hours of work in the 52 weeks before your claim. Some provinces offer additional parental leave benefits beyond the federal EI program.

Tips for Newcomer Families

File your tax return immediately. Even if you arrived partway through the year and earned no income, filing a tax return triggers eligibility for the CCB and other benefits. The CRA cannot calculate your benefits without a tax return on file.

Apply for the CCB as soon as you are eligible. Payments can be retroactive for up to 11 months, but the sooner you apply, the sooner you begin receiving monthly payments.

Visit local family resource centres. Many communities have free family drop-in programs where children can play and parents can connect with other families and access information about local resources. These programs are often available regardless of immigration status.

Explore co-operative childcare. Some communities have parent co-operative childcare centres where families contribute volunteer hours in exchange for reduced fees.

Ask about multilingual programs. In diverse cities like Toronto, Vancouver, and Montreal, some childcare centres offer programming in multiple languages, which can help children maintain their home language while learning English or French.

Frequently Asked Questions

Can I receive the Canada Child Benefit as a temporary resident? Yes, if you have lived in Canada for at least 18 consecutive months and have a valid temporary resident permit, you may be eligible for the CCB.

Is childcare available for children with special needs? Yes. Most provinces have programs to support children with special needs in childcare settings, including additional funding for one-on-one support workers. Ask your childcare provider and provincial ministry about available supports.

Can I deduct nanny costs on my taxes? Yes, wages paid to a nanny are eligible for the child care expense deduction, provided you report the nanny's income and make the appropriate payroll deductions (CPP, EI).