The Child Care Fee Reduction Initiative — BC funding that reduces parent fees at participating licensed facilities, paid to the provider. Participating affects how and when you can change your rates, so factor it into pricing decisions.

How much should I raise rates each year?

Small and predictable beats rare and dramatic: an annual 2–5% adjustment communicated 60+ days ahead, tied to visible costs (wages, food, rent), is widely accepted by families. If you participate in CCFRI, follow its fee-increase rules.

Daycare Tuition Pricing in BC (2026): Setting Rates, CCFRI & Raising Prices

Tuition is your only revenue lever, and most providers underprice — usually because rates were set years ago by copying a neighbour. Here's a better process.

1. Price from costs, not vibes

Work out your true monthly cost per child: staffing (your biggest line — see ratios), rent, food, supplies, insurance, admin. Divide by realistic enrolment (90% occupancy, not 100%). Add the margin you need to be sustainable — 10–20% is healthy for centres. The free profitability calculator does this math for you.

2. Know the BC funding context

BC's childcare funding changes the picture: CCOF (base operating funding), CCFRI (fee reduction paid to you so parents pay less), the ECE Wage Enhancement, and $10-a-day (ChildCareBC) sites. If you participate in CCFRI, fee increases follow program rules — plan rate changes around those windows, and always check current program terms.

3. Raising rates without drama

Annual + predictable — families budget around you; a small yearly adjustment lands better than a 15% surprise after three frozen years.
60+ days notice, in writing — with the reason ("ECE wages increased; we'd rather keep great educators than churn them").
Pair it with visible value — this is the moment to launch daily photo reports or a parent app. "Fees rise $25; here's the new window into your child's day" reframes the entire conversation.

4. Stop revenue leaks

Underpricing is half the problem; the other half is leakage — unfilled spots (see marketing), late payments without policy teeth, and forgotten extra fees. Automated billing with cards on file fixes most of it quietly.

Run your daycare on Mitten — free to start

Mitten does everything in this guide — daily reports, photos, messaging, billing, even payroll prep — free for your first 5 children, then just $20/mo + $2 per child.

Start free — no card needed → See the live demo

Frequently asked questions

What is CCFRI?: The Child Care Fee Reduction Initiative — BC funding that reduces parent fees at participating licensed facilities, paid to the provider. Participating affects how and when you can change your rates, so factor it into pricing decisions.
How much should I raise rates each year?: Small and predictable beats rare and dramatic: an annual 2–5% adjustment communicated 60+ days ahead, tied to visible costs (wages, food, rent), is widely accepted by families. If you participate in CCFRI, follow its fee-increase rules.