10 States With the Lowest Federal Child Care Subsidies

Beautiful Hispanic female daycare teacher leans on table and helps cute blonde toddler girl with school project.
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The federal government provides financial assistance to low- and moderate-income families for vouchers, certificates and subsidies that help parents and other caretakers pay for child care so they can work or attend school. Federal dollars also support public pre-K, Head Start and Early Head Start, which serve children up to age 5.

However, the Administration for Children and Families noted that the states administer this federal money, which is not distributed evenly among them. Where you live plays a major role in how much assistance you can — or cannot — receive. 

Also see six ways you can create your own “stimulus check” in 2026.

The 10 States That Get the Least Federal Help per Child

A new study from personal finance platform SmartAsset used data from the U.S. Office of Child Care, Department of Labor and Census Bureau to rank all 50 states according to the federal child care subsidies they receive. 

To account for population differences, the study divided each state’s total annual child care subsidy by the number of resident children under 5 to determine the per-child dollar amount, which was lowest in the following 10 states.

1. South Dakota

  • Total federal subsidies: $27,591,155
  • Resident children under 5: 57,246
  • Federal subsidies per resident child: $482

2. Virginia 

  • Total federal subsidies: $263,081,360
  • Resident children under 5: 481,682
  • Federal subsidies per resident child: $546

3. Nevada

  • Total federal subsidies: $97,374,354
  • Resident children under 5: 172,575
  • Federal subsidies per resident child: $564

4. Minnesota

  • Total federal subsidies: $206,510,840
  • Resident children under 5: 328,095
  • Federal subsidies per resident child: $629

5. New Hampshire 

  • Total federal subsidies: $39,825,235
  • Resident children under 5: 62,666
  • Federal subsidies per resident child: $636

6. Nebraska

  • Total federal subsidies: $79,879,421
  • Resident children under 5: 121,107
  • Federal subsidies per resident child: $660

7. Illinois

  • Total federal subsidies: $465,839,492
  • Resident children under 5: 674,211
  • Federal subsidies per resident child: $691

8. Maryland

  • Total federal subsidies: $242,267,667
  • Resident children under 5: 349,193
  • Federal subsidies per resident child: $694

9. California

  • Total federal subsidies: $1,472,877,994
  • Resident children under 5: 2,118,386
  • Federal subsidies per resident child: $695

10. Colorado

  • Total federal subsidies: $221,937,618
  • Resident children under 5: 305,063
  • Federal subsidies per resident child: $728

Every Dollar Counts — but They Count More in Some States Than in Others

Nine of the 10 lowest-subsidy states receive less than $700 per child per year. Conversely, all 15 of the country’s highest-subsidy states receive four figures per child, with No. 1 New Mexico getting $1,782. 

However, the dollar amount per child must be viewed in the context of statewide child care costs — and comparable subsidies can go much, much further in some states than others. 

For example, West Virginia and Massachusetts rank behind New Mexico as the No. 2 and No. 3 highest-subsidy states, receiving $1,651 and $1,424 per child per year, respectively. 

While Massachusetts gets only a negligibly higher amount, it must spread its federal funds much thinner because: 

  • The median weekly cost of infant care is $461.55 in Massachusetts, compared with $167.49 in West Virginia.
  • The median weekly cost of toddler care is $408.50 in Massachusetts, compared with $159.10 in West Virginia.
  • The median weekly cost of preschool care is $310 in Massachusetts, compared with $164.85 in West Virginia.

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