North Carolina
Working families in North Carolina need accessible, affordable, quality child care and early learning opportunities for their children.
Currently, federal and state early learning programs reach thousands of young children and their families in North Carolina. But too many working families in North Carolina are missing out. As a direct result of child care issues, the North Carolina economy loses millions of dollars each year in the form of lost earnings, productivity, and revenue.
In the state, 64% of children have all available parents participating in the workforce, while the average cost of care is $12,370 a year (or $1,031 per month).
More than 27,500 children ages 5 and under have child care costs subsidized through the Child Care and Development Block Grant (CCDBG), or 15% of those eligible. The average copay with a CCDBG subsidy is $414 a month.
19.5K children receive care, learning, nutrition, and other services at no cost through Early Head Start/Head Start (or 8% of those eligible for Early Head Start and 20% of those eligible for Head Start).
And 197.1K working families have the cost of their child care offset through the Child + Dependent Care Tax Credit (CDCTC).
However, many working parents still struggle to access affordable, quality child care, which costs the state’s economy an estimated $5.0 billion each year in lost earnings and productivity.
North Carolina: In The Headlines
Opinion: North Carolina childcare is in crisis — and a business issue
Business North Carolina | May 1, 2026
A full-blown child care crisis in North Carolina has the full attention of business leaders.
Business leaders: NC childcare crisis a workforce issue, with $5.65B economic loss
Triad Business Journal | June 4, 2026
Lost business activity totals $450.6 million in the region. Business leaders say delayed project openings are a direct result of workforce gaps.
Data Point: Finding Childcare in Rural Communities
Border Belt Independent | July 14, 2026
The number of so-called childcare deserts are increasing in rural communities across the United States, according to a new report.
North Carolina Resources & News
Subscribe to FFYF First Look
Every morning, FFYF reports on the latest child care & early learning news from across the country. Subscribe and take 5 minutes to know what's happening in early childhood education.
The Child and Dependent Care Tax Credit: How It Works
The Child and Dependent Care Tax Credit (CDCTC) is the only tax credit specifically designed to help families offset the costs of child care while they work, attend school, or look for work.
























