Alberta Child Care Affordability Grant (2025–26): Fees, Eligibility, and What’s Changed in Alberta

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Alberta Child Care Affordability Grant (2025–26): Fees, Eligibility, and What’s Changed in Alberta

If you’re searching for the child care affordability grant Alberta offers in 2025–26, you’re likely trying to understand one thing: how much you’ll actually pay for licensed child care. Alberta’s Affordability Grant is the province’s main tool to reduce parent fees, with updated rates confirmed in Version 4.3 of the official funding guide (August 15, 2025) for the 2025–26 agreement year.

Unlike older subsidies, this program sets standard monthly parent fees for most children under kindergarten age in licensed care. The result is predictable costs for families and stable funding for providers.


How the Child Care Affordability Grant Works in Alberta

The Alberta Child Care Affordability Grant is paid directly to eligible licensed child care providers, not to parents. Providers must pass the funding on to families through reduced parent fees.

Who the grant applies to

The grant supports licensed:

  • Daycare programs
  • Out-of-school care (OSC) during school hours for kindergarten-age children
  • Preschool programs
  • Family day home agencies

Unlicensed care and informal arrangements are not eligible.

Standard parent fees for 2025–26

For children up to kindergarten age enrolled in eligible licensed care, Alberta uses a flat-fee model:

  • $326.25 per month for 100+ hours of care
  • $230 per month for 50–99 hours of care

These rates apply regardless of household income, as long as the child and program are eligible.

Preschool programs: different model

Preschool does not use the flat-fee system. Instead:

  • Families receive up to $100 per month per child as a fee reduction
  • The exact reduction depends on the preschool schedule and structure

Alberta’s $10/day target

The funding guide confirms Alberta’s commitment to reach an average of $10 per day child care by 2026, under the federal–provincial early learning and child care agreement. Current fees under the Affordability Grant are a step toward that target.


What Changed From the Old Child Care Subsidy

One common source of confusion is the difference between the Affordability Grant and the former Child Care Subsidy.

Key changes to know:

  • The Child Care Subsidy for daytime care (up to kindergarten age) ended on March 31, 2025
  • For those age groups, the Affordability Grant replaced subsidy-based support
  • Subsidy still exists for:
    • Full-day kindergarten to Grade 6
    • Children enrolled in licensed out-of-school care programs

This means most parents with children under kindergarten no longer apply for income-based subsidy. Instead, they benefit automatically if their provider is enrolled in the Affordability Grant.


Quick Eligibility Checklist

For parents

You generally benefit from the child care affordability grant Alberta offers if:

  • Your child is up to kindergarten age
  • Your child attends licensed child care in Alberta
  • The program participates in the Affordability Grant
  • Your child attends at least 50 hours per month

There is no income test for the flat-fee amounts.

For child care providers

To receive the grant, programs must:

  • Hold a valid Alberta child care licence or family day home approval
  • Enter into an Affordability Grant agreement with the province
  • Apply the funding as parent fee reductions
  • Follow reporting and compliance rules in the funding guide

Common Mistakes to Avoid

  1. Expecting a cash payment as a parent
    The grant is paid to providers, not families. Your benefit shows up as lower monthly fees, not a deposit.

  2. Assuming all programs are automatically included
    Some licensed programs may choose not to participate. Always confirm with your provider.

  3. Mixing up preschool and daycare rates
    Preschool uses a capped reduction (up to $100/month), not the flat-fee model.

  4. Thinking subsidy is gone for all ages
    Subsidy still applies for full-day kindergarten to Grade 6 in licensed out-of-school care.


Frequently Asked Questions

Q: Is the Alberta Child Care Affordability Grant income-based?
No. For daycare and similar programs up to kindergarten age, the flat monthly fees apply regardless of household income.

Q: Do parents need to apply for the Affordability Grant?
No. Your licensed provider applies for the funding. Parents receive the benefit automatically through reduced fees.

Q: Does the grant apply to private and non-profit daycares?
Yes. Both private and non-profit licensed providers can participate if they meet program requirements.

Q: How does this affect out-of-school care?
Kindergarten-age children attending OSC during school hours are included. Older children continue under the subsidy system.

Q: Will fees drop further before 2026?
Alberta has committed to a $10/day average by 2026, but exact future fee changes depend on provincial updates.


If you’re exploring broader funding options, you may also want to read:

  • Alberta Grants for Small Businesses
  • Alberta Emergency Funding Programs
  • Government-Funded Training Programs in Alberta

Next Steps

The child care affordability grant Alberta families rely on is only one part of the province’s broader funding system. Rules change, rates update, and not all programs participate the same way. Tools like GrantHub’s eligibility matcher can help you filter programs by province and funding type in seconds.

GrantHub tracks 2,500+ active grant programs across Canada — check which ones match your business or organization profile so you don’t miss what you qualify for.

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