That's 22% of the median household income in MI — before taxes, rent, food, or health insurance.
daycarecalc.com • 2026 data
How $1,270/Month Compares
Context makes the number real. Here's what else $1,270/month buys — or doesn't.
Cost by Age in Ann Arbor, MI (2026)
The good news: costs drop significantly as kids get older
| Age Group | Monthly | Annual |
|---|---|---|
| Infant (0–12 months) | $1,270 | $15,240 |
| Toddler (1–2 years) | $1,120 | $13,440 |
| Preschool (3–4 years) | $950 | $11,400 |
| School-age (5–12) | $790 | $9,480 |
Center-based care. Full-time (5 days/week). National averages for comparison: infant $1,230, toddler $1,080, preschool $920, school-age $770.
What Happened Between 2024 and 2026
Childcare costs in Ann Arbor, MI have risen approximately 15% since 2024 — from roughly $1,100/month to $1,270/month for infant center care. The primary driver is labor: childcare workers earn $14–$18/hour, and as minimum wages rise in MI and surrounding states, centers pass those costs on. The $24 billion in federal ARPA stabilization grants that held prices steady through 2023 have expired with no replacement.
You May Qualify for Help
The Child Care and Development Fund (CCDF) provides subsidies to families earning below 85% of the MI median income. Many families who qualify have never applied — either because they didn't know they were eligible or because the application process wasn't clear.
Is a Nanny Cheaper in Ann Arbor, MI?
A full-time nanny in the Ann Arbor, MI area runs approximately $2,760/month — compared to $1,270/month for infant center care. For one child, a nanny costs $1,490/month more. The calculation changes with a second child: two kids at a center costs $2,240/month, while one nanny watching both is still $2,760/month.
Full daycare vs nanny breakdown for Ann Arbor, MI →Other Cities in MI
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Data Sources
Childcare cost data: U.S. Department of Health and Human Services, ACF Child Care Market Rate Survey (annual). Year-over-year estimates: BLS Child Care CPI, Economic Policy Institute. National averages: Child Care Aware of America The US and the High Price of Child Care (2025 edition). Cost comparisons: Federal Reserve, NCES IPEDS.