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Kentucky Market Rate Study

This report is developed in part with Child Care Block Grant funds through a contract to the Human Development Institute from the Kentucky Cabinet for Health and Family Services, Division of Child Care (Contract Number M-06123325). Additional copies of this report are available upon request.

The Cost of Care

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The 2019 Workforce Infographic features 4 major statistics. First, Kentucky child care providers’ median annual income is on average 19.3% less than the national median. Second, The median household income for child care directors, homes and teachers are below the national average. Third, 1 in 5 child care providers have secondary employment. Fourth, access to health care is mostly through a spouse.

Wages for directors, teachers and FCC are on average 19.3% below the national median annual compensation, with a range from 5.01% below for FCC to 33.61% below for directors (Bureau of Labor Statistics, 2018). Teachers reported an annual salary of $22,620 which is 8.09% below the national median annual wage.

Directors’ median income has decreased nearly $2,000 since 2014, while median salary increased approximately $3,500 for FCC providers. Teachers’ annual median wage increased from $18,720 in 2014 to $22,620 in 2019.

The median annual income across respondent types differed by region and area. Directors make the least in the Eastern Region ($27,643) and in rural KY ($29,120), while FCC providers make the least in the Western Region ($20,800) and in urban areas ($25,000). There was little to no variability in teachers’ annual income based on the region and area.

The number of child care providers across all groups who supplement their income through a second job has increased since 2014. In 2019, 17% of the workforce report a secondary income, with the highest percentage among teachers (19.7%) and directors (18.7%). The average reported secondary annual income was $9,567.

Median annual salary of child care directors by region
Slide 1: Median annual salary of child care directors by region
Slide 2: Median Annual Salary of Child Care Directors by Area
Slide 3: Median Salary of FCC Providers by Region
Slide 4: Median Annual Salary of FCC Providers by Area
Slide 5: Median Annual Salary of Teachers by Region
Slide 6: Median Annual Salary of Teachers by Area
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Kentucky Early Care and Education Market Rate Reports