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Daycare Contract Checklist 2026: What to Know Before You Sign

Complete guide to daycare contracts in 2026. What to look for, red flags, negotiation tips, and understanding your rights and obligations before signing.

DRT
DaycarePath Research Team
Family Legal Specialists
December 26, 2025
7 min read
Daycare Contract Checklist 2026: What to Know Before You Sign

Before you sign a daycare contract, you should understand exactly what you're agreeing to. Daycare contracts include tuition, policies, notice requirements, and other terms that affect your family for months or years.

This guide covers everything about daycare contracts in 2026: what to look for, common terms, red flags, and how to protect yourself.

Table of Contents


Why Contracts Matter

Understanding what you're signing.

Signing daycare contract

What Contracts Cover

Typical daycare contracts include:

  • Tuition and payment terms
  • Hours of operation
  • Policies and procedures
  • Notice requirements
  • Termination conditions
  • Parent responsibilities
  • Daycare responsibilities

Read Before Signing

Why it matters:

  • You're legally bound
  • Policies affect daily life
  • Financial obligations are real
  • Prevents misunderstandings
  • Protects both parties

Types of Agreements

You may sign:

  • Enrollment agreement
  • Parent handbook acknowledgment
  • Financial agreement
  • Authorization forms
  • Health and emergency forms

Essential Contract Terms

What every contract should include.

Contract documents

Basic Information

Must include:

  • [ ] Child's name and information
  • [ ] Parent/guardian contact information
  • [ ] Authorized pickup persons
  • [ ] Emergency contacts
  • [ ] Enrollment start date
  • [ ] Schedule (days and hours)

Hours and Schedule

Look for clarity on:

  • Operating hours
  • Your child's specific schedule
  • Drop-off and pickup times
  • Flexibility (early drop-off, late pickup)
  • Changing schedule process

Program Information

Should specify:

  • Age group/classroom
  • Teacher-to-child ratio
  • Curriculum or approach
  • Daily schedule
  • Meals and snacks included

Financial Terms

The money matters.

Financial contract terms

Tuition and Fees

Understand these costs:

| Fee Type | What It Is | Typical Amount | |----------|-----------|----------------| | Registration | One-time enrollment fee | $50-250 | | Deposit | Holds spot, may apply to last month | 1-2 weeks tuition | | Weekly/monthly tuition | Regular payment | Varies | | Supply fee | Materials and supplies | $50-200/year | | Activity fee | Field trips, special events | Varies |

Payment Terms

Know:

  • Payment due date
  • Payment methods accepted
  • Late payment penalties
  • When payments are due (weekly, monthly)
  • Auto-pay requirements

Late Fees

Common policies:

  • Late pickup: $1/minute after grace period
  • Late payment: $25-50 flat fee or percentage
  • Grace period: 5-15 minutes typically
  • When fees are charged

Tuition During Absences

Understand:

  • Vacation days (if any credited)
  • Sick days (usually still charged)
  • Daycare closures (usually no credit)
  • Extended absences
  • Holiday weeks

Rate Increases

Look for:

  • How much notice required
  • How often increases happen
  • Typical increase amount
  • Whether locked in for term

Policies to Understand

Key policies in the contract.

Policy handbook

Sick Child Policy

Should include:

  • When child must stay home
  • Required symptom-free period
  • Return requirements (doctor's note?)
  • How you'll be notified
  • Medication administration policy

Termination and Withdrawal

Critical terms:

  • Notice period required (typically 2-4 weeks)
  • Notice format (written?)
  • Financial obligations if you leave early
  • Deposit return conditions
  • Immediate termination conditions

Daycare's Right to Terminate

Understand when they can:

  • End enrollment
  • Reasons they can terminate
  • Notice they must give you
  • Process for behavioral issues
  • Financial non-payment terms

Closures and Holidays

Know:

  • Which holidays closed
  • Weather/emergency closures
  • Tuition during closures
  • Notice requirements
  • Make-up days (if any)

Communication Policies

Should specify:

  • How they communicate (app, email, phone)
  • Daily report expectations
  • Parent-teacher conferences
  • How to raise concerns
  • Emergency communication

Red Flags in Contracts

What should concern you.

Warning signs in contract

Financial Red Flags

Be cautious of:

  • Excessive non-refundable deposits
  • No written fee schedule
  • Unclear about what's included
  • Unreasonable late fees
  • No refund under any circumstances
  • Hidden fees not discussed

Policy Red Flags

Watch for:

  • No written sick policy
  • Vague discipline policies
  • No clear communication procedures
  • Resistance to parent visits
  • Excessive restrictions on pickup
  • Unusual liability waivers

Termination Red Flags

Concerning terms:

  • Daycare can terminate with no notice
  • You must give excessive notice (6+ weeks)
  • No refund even if daycare closes
  • Penalty fees for early termination
  • No appeal process for dismissal

Missing Information

Should not be absent:

  • Teacher qualifications
  • Safety procedures
  • Allergy/medical policies
  • Emergency protocols
  • Licensing information

Negotiation Tips

You can sometimes negotiate.

Negotiating contract terms

What's Negotiable

Sometimes flexible:

  • Registration fee waived
  • Deposit amount
  • Start date
  • Payment schedule
  • Sibling discounts
  • Notice period

What's Usually Fixed

Typically non-negotiable:

  • Daily tuition rate
  • Late pickup fees
  • Operating hours
  • Policies (for consistency)
  • Required forms

How to Negotiate

Approach:

  1. Ask politely
  2. Explain your situation
  3. Offer alternatives
  4. Be prepared for "no"
  5. Get changes in writing

Scripts:

  • "Is there any flexibility on the registration fee?"
  • "Would you consider a sibling discount?"
  • "Can we discuss the notice period?"

Get Everything in Writing

Important:

  • Verbal promises aren't binding
  • If they agree to changes, get it written
  • Amendment should be signed
  • Keep copies of everything

Your Rights and Obligations

Understanding the legal relationship.

Legal rights document

Your Rights as a Parent

You are entitled to:

  • Visit at any time (in most states)
  • Access your child's records
  • Be notified of incidents
  • Information about who cares for your child
  • Written policies
  • Licensed, safe care

Daycare's Rights

They are entitled to:

  • Timely payment
  • Accurate information from you
  • Proper notice of schedule changes
  • Respect for policies
  • Communication about your child

Your Obligations

You must:

  • Pay on time
  • Keep information current
  • Follow policies
  • Give required notice
  • Pick up on time
  • Communicate health issues

Daycare's Obligations

They must:

  • Provide licensed, safe care
  • Follow their stated policies
  • Communicate with you
  • Protect your child
  • Maintain ratios
  • Follow regulations

Before You Sign

Final checklist.

Questions to Ask

  1. "Can I take this home to review?"
  2. "Is the handbook part of the contract?"
  3. "What happens if I need to leave early?"
  4. "How much notice do you give for rate changes?"
  5. "What's not included in tuition?"

Review Checklist

  • [ ] Read entire contract
  • [ ] Read parent handbook
  • [ ] Understand all fees
  • [ ] Know termination terms
  • [ ] Clarify any questions
  • [ ] Get changes in writing
  • [ ] Keep signed copy

Things to Keep

Save copies of:

  • Signed contract
  • Parent handbook
  • Fee schedule
  • All communications
  • Receipts/payment records
  • Incident reports

Contract Terms Quick Reference

Common Terms Defined

| Term | Meaning | |------|---------| | Registration fee | One-time enrollment cost | | Deposit | Refundable (usually) spot holder | | Tuition | Regular payment for care | | Notice period | Time required before leaving | | Grace period | Time before late fees start | | Pro-rated | Partial payment for partial month |

Typical Timelines

| Action | Typical Requirement | |--------|-------------------| | Give notice to leave | 2-4 weeks | | Rate increase notice | 30 days | | Pick up after closing | $1/minute | | Returned check fee | $25-50 | | Re-enrollment after drop | New registration fee |


Resources


Last updated: December 2025

#daycare contract#daycare agreement#daycare enrollment#daycare policies#childcare contract
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