Childcare Subsidies in Indiana

Financial assistance programs to help Indiana families pay for daycare and childcare.

$53,700
Income limit (family of 4)
85%
of state median income
N/A
Avg infant care cost/yr

Indiana On My Way Pre-K / CCDF Vouchers

On My Way Pre-K for low-income 4-year-olds.

Am I Eligible?

1. Family income is below $53,700/year for a family of 4 (85% of state median income)
2. Parent/guardian is working, in school, or in an approved training program
3. Child is under 13 years old (or under 19 with special needs)
4. Child is a U.S. citizen or qualified non-citizen
5. Family resides in Indiana
Apply for Indiana Child Care Assistance

How to Apply for Child Care Assistance in Indiana

Application Process

Apply for Indiana's CCDF vouchers through the Indiana Family and Social Services Administration (FSSA) online at in.gov/fssa/carefinder. You can also apply in person at your local FSSA office. The online system is functional and allows document uploads. You will need proof of Indiana residency, income documentation (last 4 pay stubs or tax returns), Social Security numbers, child birth certificates, and a letter from your employer confirming your work schedule. Processing takes 2-4 weeks.

Co-Pay Structure

Indiana's co-pay is based on a sliding fee scale using family size and gross income. The income ceiling is $53,700 for a family of four. Families below the poverty line pay minimal co-pays ($10-$20/week). Near the ceiling, co-pays can be $80-$120/week per child. Indiana offers reduced co-pays for families using Paths to QUALITY rated providers (the state's QRIS), incentivizing higher-quality care. Co-pays are recalculated at 12-month redetermination.

Waitlist Reality

Indiana generally does not maintain a statewide waitlist, and most eligible families are served within 2-4 weeks of application approval. However, the state has experienced periodic funding shortfalls that can slow placements. Provider availability varies; Indianapolis and surrounding suburbs have good networks, but rural southern Indiana and smaller communities have fewer licensed options.

Additional Programs in Indiana

Indiana's On My Way Pre-K program provides free preschool for low-income 4-year-olds (family income at or below 127% FPL). It operates in most Indiana counties and is lottery-based, so apply early (typically January-March for fall enrollment). Head Start is available statewide. Indiana also has the Early Childhood Education Grant for expanding pre-K slots. The Paths to QUALITY rating system helps families identify higher-quality providers. Some Indiana employers, particularly in the manufacturing sector, have started offering childcare benefits.

Tips for Indiana Parents

If your child is 4, apply for On My Way Pre-K first (it is completely free if you qualify), then use the CCDF voucher for before/after care. Apply for On My Way Pre-K early in the year since it is lottery-based and slots fill quickly. Choose a Paths to QUALITY Level 3 or 4 provider for your voucher to get a co-pay reduction. If you work non-traditional hours (nights, weekends), Indiana allows vouchers to be used at licensed home-based providers who may offer more flexible schedules.

Federal Programs Available Everywhere

Child & Dependent Care Tax Credit

Claim 20-35% of childcare expenses on your federal taxes.

Max expenses (1 child) $3,000
Max expenses (2+ children) $6,000
Credit percentage 20-35%

Dependent Care FSA (DCFSA)

Employer-sponsored pre-tax account for childcare expenses. Reduces taxable income.

Max annual contribution $5,000
Tax benefit Pre-tax (reduces taxable income)

Head Start / Early Head Start

Free federally funded program for children from low-income families. Head Start: ages 3-5. Early Head Start: birth to 3.

Eligibility: At or below federal poverty level (family of 4: ~$31,200 in 2024).

See Daycare Costs in Indiana

Compare childcare prices across 92 counties in Indiana. Center-based infant care averages N/A/year.

View Indiana daycare costs →