The regulation update allows low-income families to pay using 7 percent of their total income.
The Department of Health and Human Services (HHS) announced a final rule which will take effect the end of April, solidifying regulations that lower the cost of child care for low-income families.
The rule updates the department’s Child Care and Development Fund, which provides financial subsidies for child care. The fund now mandates that families below 150 percent of the poverty level only pay up to 7 percent of their total income to child care. It also allows more options to find appropriate child care facilities, and adds additional exemptions for those with disabled children.
This update is the result of an executive order signed by President Joe Biden in April 2023.
“Child care is a necessity for most working families across the country. Today, we are taking an important step to reduce costs for families and give them more child care options,” said HHS Secretary Xavier Becerra. “When families have access to affordable, quality child care, they can pursue job opportunities, cover other basic needs, and go to work knowing their children are safe.“
As the Lord Leads, Pray with Us…
- For Secretary Becerra and U.S. health officials as they update regulations regarding childcare subsidy eligibility.
- For Director Ruth Friedman as she heads the HHS Office of Child Care.
Sources: Department of Health and Human Services
