Learning & Development
Research Report
Licensed Center-Based Child Care Providers in New Jersey: Revenues and Expenses
Rutgers Child Care Research Collaborative
Date
October 15, 2026
In a new Rutgers Child Care Research Collaborative report, Milagros Nores, Christina Stephens, Allison Friedman-Krauss, Andrea Kent and Karin Garver analyze revenue sources and operating costs for New Jersey child care centers. The findings offer insights into licensed center-based providers in NJ that may be useful for identifying supports and policies to strengthen and improve access to the state’s ECE system:
- Most centers received tuition payments from families (80%), about 2 out of 3 responding centers reported receiving funding from the Child Care and Assistance Program (CCAP; 61%), and 18% received state pre-k funding.
- The NJ provider landscape appears largely divided (with some overlap) between those receiving mostly CCAP and a smaller share receiving state pre-K funding. That is, CCAP and state pre-K mostly support different segments of the ECE market, functioning as complementary policy levers.
- Staff salaries represented the largest share of centers’ total operating expenditures, accounting for two-thirds of total expenses (66%).
“It’s critical that we understand the financial structure of child care,” said the report’s lead author Milagros Nores. “We should be reviewing the fiscal state of the child care system regularly to understand how its doing and inform policy decisions accordingly.”
The Rutgers Child Care Research Collaborative is a partnership between NIEER, the Center for Women and Work, and the Heldrich Center for Workforce Development, made possible through funding and support from the New Jersey Department of Children and Families.
The Authors
Dr. Milagros Nores is the Co-Director for Research and Research Professor at the National Institute for Early Education Research (NIEER). With a profound expertise in early childhood evaluation, informing data-driven policy and programming, cost and benefits of early interventions, evaluation design, equity, and English language learners, she has established herself as a leading researcher in the field of early care and education.
Christina Stephens, Ph.D. is an Assistant Research Professor at the National Institute for Early Education Research (NIEER) at Rutgers University. Her research investigates early care and education (ECE) impacts on families and children among historically marginalized populations, including dual language learners. These interests are focused on (1) policies and factors that shape families’ equitable ECE access, and (2) elements of programs and classrooms that promote early development. Dr. Stephens’s work aims to translate into applied decision-making, policies, and practices across multiple levels of ECE systems that benefit children and families.
Allison Friedman-Krauss is an Associate Research Professor at NIEER where she is also the Associate Director for Policy Research and Director of the Infant and Toddler Policy Research Center.
Karin Garver is an Early Childhood Education Policy Specialist at NIEER. Her research interests are in national and state early education policy trends, inclusive opportunities for preschool children with disabilities, data systems, systems integration, and public program finance.
About NIEER
The National Institute for Early Education Research (NIEER) at the Graduate School of Education, Rutgers University, New Brunswick, NJ, conducts and disseminates independent research and analysis to inform early childhood education policy.
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