Child Care Cost Study

Chattanooga 2.0’s Child Care Cost Study provides a local data foundation to inform future solutions, including sustainable funding strategies that support providers, strengthen the workforce, and expand access for families.

Started in the summer of 2025, we launched the Child Care Cost Study to build Hamilton County, TN’s first-ever cost model. The study allows us to identify the true cost to provide child care in Hamilton County, while the model is a tool for estimating costs and identifying gaps based on different funding mechanisms. 

Key Findings in the Study: 

• Child care providers operate under constant financial strain because the true cost of providing care is higher than what providers earn through tuition and public funding.
• It costs providers between $900 to $2,000 per month to care for one child, depending on their age and the size of the program. By comparison, local parents pay anywhere from $600 to $2,100 per month if they don’t have a state certificate that helps cover child care costs.
• Staffing shortages are a major barrier to increasing child care seats, often driven by low wages that make it difficult to recruit and retain teachers.
• The average child care teacher wage in Hamilton County is approximately $15.31 per hour, with some earning as little as $10.38.