Childcare Costs Worldwide: What Expat Families Pay for Daycare and Nannies

The Childcare Variable

For expat families with young children, childcare costs can make or break the financial case for a move abroad. In some countries, subsidized daycare effectively eliminates this expense. In others, full-time childcare rivals the cost of rent. Understanding these costs before relocating is essential for realistic financial planning.

Full-Time Daycare Costs by Country

Most Expensive

• United States: USD 1,200-3,000+/month. Costs vary enormously by state — Massachusetts and California average over USD 2,000/month for infant care, while southern states may be USD 800-1,200
• Switzerland: CHF 2,000-2,500/month for full-time crèche. Subsidies available in some cantons but wait lists are long
• United Kingdom: GBP 1,000-1,800/month (full-time nursery). 30 hours free childcare from age 3 in England
• Australia: AUD 100-200/day before subsidies. The Child Care Subsidy covers 50-90% depending on household income
• Singapore: SGD 800-2,000/month for infant care. Government subsidies available for citizens and PRs

Moderate Cost

• Germany: EUR 0-400/month for Kita (public daycare). Some states (Berlin) have made Kita free for all ages. Private options cost EUR 500-1,200/month
• Netherlands: EUR 800-1,400/month before tax benefits. The kinderopvangtoeslag (childcare benefit) covers a significant portion for working parents
• Spain: EUR 200-600/month for guarderias (nurseries). Public escuela infantil from age 0-3 costs EUR 0-200/month in many regions
• Japan: JPY 20,000-70,000/month (USD 135-470). Government-run hoikuen are affordable but competitive. From October 2019, childcare is free for ages 3-5

Most Affordable

• France: EUR 200-600/month for crèche (income-adjusted). France's extensive system of crèches, assistantes maternelles, and the generous PAJE benefits make childcare highly accessible
• Sweden: SEK 0-1,572/month (approximately EUR 0-140). Capped at 3% of household income for the first child. Universal from age 1
• Denmark: DKK 2,000-3,500/month (EUR 270-470) after subsidies. Guarantee of a daycare place from 26 weeks old
• Quebec (Canada): CAD 8.70/day for subsidized daycare — approximately CAD 190/month
• Portugal: EUR 100-400/month for creches. Free public pre-school from age 3

Nanny and Au Pair Costs

Full-time live-out nanny costs vary even more dramatically:

• London: GBP 2,000-3,500/month net
• New York: USD 3,000-5,000/month
• Dubai: AED 3,000-6,000/month (USD 820-1,635)
• Bangkok: THB 15,000-25,000/month (USD 420-700)
• Manila: PHP 10,000-20,000/month (USD 175-350)
• Mexico City: MXN 6,000-12,000/month (USD 340-680)

Au pairs offer a more affordable option in many countries, typically costing EUR 300-500/month in pocket money plus room, board, and insurance. The au pair exchange is particularly well-established in France, Germany, the UK, and the US.

The Financial Impact on Relocation Decisions

Childcare costs can dramatically change the financial calculus of a move. Consider a family moving from London (where they pay GBP 1,500/month for nursery) to Berlin (where Kita is free). The childcare savings alone — GBP 18,000/year — could offset a significant salary reduction.

Conversely, an American family moving from a state with moderate childcare costs to Singapore or Switzerland might find that the childcare increase absorbs most of any salary improvement.

Quality Indicators to Watch

When evaluating childcare in a new country, consider staff-to-child ratios, qualification requirements for carers, outdoor space and activity programs, language of instruction, operating hours and holiday closures, and how the system handles the transition to school. These factors vary significantly and may be as important as cost in your decision-making.

Calculate your family's complete budget including childcare in any destination city. Check tax deductions for childcare available in different countries — many offer significant relief.