Child Care Cost Overview in Mississippi
Mississippi is the most affordable state for child care in the United States. The Mississippi Department of Human Services (MDHS) manages the Child Care Payment Program through offices of Early Childhood Education and Family-Based Services.
Compared to the national average annual infant care cost of $13,184/yr, Mississippi’s center-based infant care is approximately 48% below the national average.
Average Annual Child Care Costs in Mississippi
| Age Group | Center-Based (Annual) | Family Care (Annual) | Nanny (Annual est.) |
|---|---|---|---|
| Infant (0–12 mo) | $6,880/yr | $5,755/yr | $42,240/yr |
| Toddler (12–24 mo) | $6,330/yr | $5,295/yr | $42,240/yr |
| Preschool (3–5 yr) | $5,366/yr | $4,489/yr | $42,240/yr |
| School-age (6–12 yr) | $4,472/yr | $0/yr | — |
* Nanny annual cost estimated at experienced nanny rate × 40 hrs/wk × 48 wks/yr. Actual costs vary.
Monthly Child Care Cost Calculator
Use the calculator below to estimate your family’s monthly child care costs in Mississippi.
Your Monthly Cost in Mississippi
Nanny Cost in Mississippi
Typical nanny pay rates in Mississippi range from $16/hour for entry-level to $22/hour for experienced nannies. A full-time experienced nanny (40 hrs/wk, 48 wks/yr) costs approximately $42,240/year in gross wages, plus employer taxes (Social Security 6.2%, Medicare 1.45%, FUTA 0.6%, and state UI). The minimum wage for nannies in Mississippi is $7/hour. (federal rate applies).
Child Care Tax Savings for Mississippi Families
Families can reduce their child care costs through two federal tax mechanisms:
- Child and Dependent Care Credit: A tax credit worth 20-35% of up to $3,000 in qualifying expenses for one child or $6,000 for two or more children.
- Dependent Care FSA: Pre-tax savings of up to $5,000 through an employer-sponsored account.
CCDF Child Care Subsidy in Mississippi
The Child Care and Development Fund (CCDF) subsidizes child care costs for low to moderate income families in Mississippi. Income eligibility limits are approximately $66,922 for a family of 4, based on 75% of the state median income. Families with incomes at or below 150% of the Federal Poverty Level may have copayments waived entirely. Copays for other families are capped at 7% of gross monthly income under federal rules.