How to Start Your Own Family Day Care

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How to Start Your Own Family Day Care

Do You Like Caring for Children, but Want to Work From Home?

Start your own family day care business and do both!

Child care is now one of Australia’s biggest and most important industries, with more than 1.3 million children attending child care services.  That’s a 1.6% increase in attendance since 2018!

There has been rapid growth in the number of child care services to meet the growing demand from parents. The cost of quality early childhood education and support services has also increased significantly.

Despite the growing number of places and increases in cost, many centre-based child care services still have long waiting lists.

Setting up your own business in Family Day Care can be a way to offer parents home-based care as an alternative to centre-based care. At the same time, you can operate your own business, from home, working with children.

If you’re keen to know how to set up your own home day care scheme, then you need to know about family day care requirements, the proper family day care set up, and how to start a family day care scheme.

Step 1: Get Qualified!

education and care service classroom

First, make sure that you’re qualified to become family day care educators.

The minimum qualification required to operate and work in your own family day care business is the Certificate III in Early Childhood Education and Care or any equivalent qualification.

You don’t actually need to complete your training before you get started. You simply need to be enrolled and actively working towards your qualification. Of course, it is still best to complete your training as soon as possible!

You can also continue your training with diploma-level qualifications like the Diploma of Early Childhood Education and Care. This will help you develop additional skills like establishing a safe environment for children and how to facilitate your day care’s compliance with Australian regulations.

It is not essential to run your own family day care service, but it will allow you to pursue jobs such as Family Day Care Coordinator in the future. Family Day Care Coordinators monitor, support and train other in-home care providers.

First aid is another skill that an early childhood educator and even assistants in family day care must have. You will complete the first aid unit HLTAID004Provide an emergency first aid response in an education and care setting as part of your Certificate III or Diploma qualification, but you also need additional training in anaphylaxis and emergency asthma management. These courses can be taken through any RTO in Australia like Australia Wide First Aid.

All these qualifications are sought after by the entire child care industry, not just in family daycare. This means that you will have the flexibility to work and start your own family day care services OR work in a centre-based child care service and become a competent and qualified family day care educator.

Eventually, you can even become a Family Day Care Coordinator or Child Care Centre Manager once you gain experience and earn your diploma-level qualification.

Step 2: Understand the Family Day Care Requirements and Regulations

day care worker attending to children and acquiring experience to learn how to start a family day care

When you start a Family Day Care business, you will be teaching and caring for children in your own home. Therefore your family home needs to be an approved child care setting. It must be checked for child protection and suitability every year. Some examples of the resources and regulations your facility should have or follow are:

  • Indoor rooms that are well ventilated with natural light and a safe temperature
  • Outdoor areas enclosed with a barrier to keep children from leaving unsupervised
  • Glassed areas must be glazed or blocked to prevent injury from shattering
  • A first aid kit accessible to adults present
  • A telephone or any other immediate communication method to contact parents and emergency services
  • Additional precautions must be taken to remove potential hazards to children
  • Everyone 18 years or older who lives at your home must be fit and proper to be around children

While starting your own family day care services, you must make sure that:

  • You only care for a maximum of 7 children at a time, with a maximum of 4 children preschool age or under in the group
  • Children have enough supervision and are not left alone with visitors or leave your home without an authorised person
  • Children are not exposed to tobacco, illicit drugs, or alcohol and have access to nutritious food and safe drinking water
  • Corporal punishment or other unreasonable discipline methods are not used
  • You follow sound health and hygiene practices

Your family day care set up must have policies, procedures, and records, including:

  • Evacuation and medical emergency procedures
  • Records of each child’s enrolment, attendance, and medication
  • Documentation of child assessments under your educational program
  • Log of all visitors to your home and any incidents, illnesses, or injuries that happen

A list of these requirements, named the Education and Care Services National Law and Regulations can be found online at the Australian Children’s Education and Care Quality Authority (ACECQA) website. You can check if you have everything you need by downloading the official regulatory requirements for family day care.

Step 3: Apply for a License to Offer Approved Child Care Services

happy woman in early childhood education showing a thumbs up

To get government approval to open and manage your own family day care service, you will need to apply for approval from your state regulator. Each state and territory may have its own set of requirements and criteria, but applications are all done online through ACECQA’s NQA IT System.

View the locally-specific requirements for your area by visiting your state childhood education and care regulator below:

How Much is the Salary of Family Day Care Operators?

Based on the latest Government reports, the median cost of having a child attend family daycare for 50 hours a week is $375. That works out to between $7 and $8 per hour per child. Actual rates may vary from $6 to $10 depending on your location. This means if you have a maximum of 7 children in your care for 50 hours per week you can gross approximately $2625 in salaries per week.

However, there are expenses to consider:

  • Administration costs
  • Bookkeeping & accounting fees
  • Cleaning & laundry
  • Maintenance
  • Electricity & gas
  • Home inspections by Family Day Care Coordinators
  • Insurance policies
  • Alterations of your home required to provide a safe environment for children
  • Nutritious food & drink
  • Nappies for babies and young children
  • Play equipment and other stimulating activities
  • Pest control
  • Rent (if you rent and a specific portion of your property is set aside for family day care activities)
  • Telephone & internet
  • Wages for relief educators
  • Professional development activities like workshops, conferences and seminars
  • Don’t forget, you need to pay yourself superannuation and factor in your sick days and holidays!

Plus, there are many other factors to think about. For example, some parents may require less than 50 hours per week of care. You may not feel comfortable caring for 7 children and choose to work with a smaller group. You may choose to only provide care on a part-time basis to enjoy a better work-life balance.

However, starting your own family day care business is a great way to work from home, have more control over your work and hours, support families, and provide care the way you want to (within regulations) and still earn a comfortable income!

Where can I Learn More About Becoming a Child Care Provider?

If you do not have a nationally accredited childcare qualification, enquire here on the Certificate III in Early Childhood Education and Care page to get complete course information or to speak with an Enrolment Coordinator.

Inspire Education offers premium training and support to help you get the best educational outcomes so you are prepared to deliver safe, quality care services to children in your family daycare service.

You can visit the Australian Children’s Education and Care Quality Authority to learn more about how you can be an approved provider.

If you need help setting up and running your own family day care service, check out Family Day Care Australia and ask anything about child care service or becoming a family day care provider.


Family day care is often the preferred option for parents who are looking for less expensive care with more flexible hours. This means you can start your own family daycare and provide essential care services from your own home instead of working in a centre-based service.

To do this, you need an early childhood qualification, an appropriate venue and proper systems to take of children. These will be used to approve your registration.

Australia needs a hand in educating young minds and pushing early childhood development forward. This is one way you can help while also enjoying the benefits of running your own home business.

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