To run an in-home daycare in New York, you need to register or license with the Office of Children and Family Services (OCFS) as soon as you are caring for three or more children who are not your own. The in-home daycare requirements in New York fall into two tiers set by Social Services Law Section 390: Family Day Care, which uses a registration, and Group Family Day Care, which requires a full license. Both tiers come with capacity caps, background checks, training hours, a home safety inspection, and ongoing recordkeeping once you open.
Which Program You Need: Family Day Care or Group Family Day Care
Pick the program that matches how many children you want to serve, because the capacity rules and the type of OCFS approval differ.
A Family Day Care (FDC) home serves three to six children at a time. You can go up to seven or eight if no more than six are under school age and the extra school-aged children are only in care before or after school, during lunch, on school holidays, or when school is out. OCFS has to inspect and confirm you can handle the larger group before you take on a seventh or eighth child.1New York State Senate. New York Social Services Law 390 – Child Day Care; License or Registration Required
A Group Family Day Care (GFDC) home serves seven to twelve children of all ages, plus up to four school-aged children attending only outside school hours, for a theoretical maximum of sixteen. GFDC requires a licensed assistant on-site whenever seven or more children are present and none are school-aged, or whenever nine or more are present and at least two are school-aged.1New York State Senate. New York Social Services Law 390 – Child Day Care; License or Registration Required GFDC operates under a license rather than a registration.
Regardless of program, the ratio for children under age two caps at one caregiver per two infants, and it sits on top of your total capacity.1New York State Senate. New York Social Services Law 390 – Child Day Care; License or Registration Required Four infants means two adults in the room, even if the rest of your numbers look fine.
One detail that catches new providers off guard: under OCFS regulations in 18 NYCRR Parts 416 and 417, your own children under a certain age who are present during operating hours count toward your capacity. Two toddlers of your own at home means two fewer outside children you can accept.
Provider and Household Qualifications
Every provider and assistant must be at least 18 years old and in good health, typically shown through a medical statement from a health care professional.
OCFS runs a comprehensive background check on you and every household member aged 18 or older. That includes fingerprinting for a criminal history review, a check against the state Sex Offender Registry, and clearance through the Statewide Central Register of Child Abuse and Maltreatment (the SCR). Federal law requires these checks to be repeated every five years for anyone working in a child care program.2NYC Health. Comprehensive Background Checks for Group Child Care Programs Expect fees for fingerprinting and the SCR search, and several weeks of processing time. You cannot care for any children until every result comes back clear.
Training You Need Before You Open and After
Before OCFS will issue your registration or license, you have to complete an approved health and safety training course covering safe sleep, shaken baby syndrome prevention, and basic emergency procedures.
After approval, you and any staff must complete 30 hours of training during each two-year registration or licensing period, with 15 of those hours due in the first six months of initial approval or employment.3ECETP. The QCCPA, What Every Trainer Should Know About Training for Child Care Programs The hours must span the topic areas OCFS specifies, including child development, nutrition, safety, and SIDS prevention. At least one caregiver on the premises at all times must hold current CPR and First Aid certification appropriate for the ages in care. A lapsed certification is one of the most common inspection findings and can trigger enforcement action.
Home and Safety Standards
Your home gets inspected before you open and periodically afterward. OCFS looks at both the physical environment and the required safety equipment.
Rooms and Environment
Approved child care areas must be well-lit, well-ventilated, and kept at a minimum of 68 degrees Fahrenheit while children are present. The home needs two separate, unobstructed exits. OCFS approves specific rooms for child care rather than giving you a blanket pass for the whole house.
Required Equipment
- Operational smoke detectors on every floor and near any room used for napping.
- Carbon monoxide detectors as required by applicable local and state codes.
- Fire extinguishers showing a full charge and an unbroken seal.
- Protective caps on every electrical outlet accessible to children.
Cleaning supplies, medications, and anything toxic must stay in original containers and out of children’s reach. Inspectors physically check cabinets and storage. Pools, trampolines, or similar outdoor hazards draw extra scrutiny and may bring restrictions.
Outdoor Play
Children need access to outdoor space for active play. If your yard works, it has to be reasonably safe and maintained. If you plan to walk children to a park or schoolyard instead, you need to submit a written plan to OCFS describing the route and how you will keep children safe during travel.
The Application Sequence
OCFS processes the application in a set order, and skipping steps rarely works.
Start with the online Child Day Care Orientation offered through OCFS. The orientation walks you through the regulations and helps you choose between FDC and GFDC.4OCFS. Starting a Child Care Program After orientation, request the official application packet from your regional OCFS office. Submit the application with your background check forms, fingerprinting receipts, medical statements, training certificates, and a floor plan showing the rooms you intend to use.
Once the file is complete, an inspector visits your home to review fire safety, layout, equipment, and overall compliance. Pass that inspection, and OCFS issues your registration or license for a two-year term. Renewal involves another inspection.3ECETP. The QCCPA, What Every Trainer Should Know About Training for Child Care Programs
Plan on several months from start to finish. Background checks alone take weeks, and inspection scheduling depends on OCFS workload. Starting training and fingerprinting early is the single best way to avoid delays.
Daily Operations and Recordkeeping
Once you open, you have to keep attendance logs, individual health records for each child, and current emergency contact information. Written policies covering discipline, illness, and late pickups are also required.
Meals and snacks must meet established nutritional guidelines, and you are responsible for accommodating documented allergies and dietary restrictions. Inspectors look closely at this area.
Liability Insurance
A standard homeowner’s policy almost certainly does not cover injuries that happen during a home-based business, and caring for multiple children on a regular schedule goes well beyond what personal coverage anticipates. A dedicated child care liability policy covers you if a child is hurt, a parent sues, or property is damaged during operating hours.
New York does not set a mandatory coverage amount, but OCFS strongly encourages providers to carry liability insurance. Industry guidance for home-based child care commonly recommends at least $1 million per occurrence. Premiums typically run a few hundred dollars per year and are deductible as a business expense.
Taxes You Will Owe and Deductions You Can Take
As a home-based provider you are self-employed, which means you report income and expenses on Schedule C and pay self-employment tax covering Social Security and Medicare. The combined rate is 15.3 percent: 12.4 percent for Social Security on earnings up to $184,500 in 2026, and 2.9 percent for Medicare with no cap.5Internal Revenue Service. Self-Employment Tax (Social Security and Medicare Taxes)6Social Security Administration. Contribution and Benefit Base
Home daycare providers get a tax break most home-based businesses do not: the IRS daycare exception to the exclusive-use rule, which lets you deduct the business portion of your home expenses even when the rooms double as personal living space. To qualify, you need a valid registration or license and must regularly use part of your home for child care.7Internal Revenue Service. Publication 587 (2025), Business Use of Your Home
The deduction uses a time-space percentage. The time portion compares the hours per year your home is used for daycare against the 8,760 hours in a year. The space portion compares the square footage used for child care against your home’s total square footage. Multiply the two to get the share of mortgage interest or rent, utilities, insurance, and repairs you can write off.
Beyond the home-use deduction, you can deduct ordinary business costs: toys, craft supplies, children’s furniture, cleaning products, and food served to the children. The IRS allows 100 percent of the actual cost of food consumed by daycare children, but you can never deduct food your own family eats.7Internal Revenue Service. Publication 587 (2025), Business Use of Your Home Keep every receipt. Providers who do not track expenses throughout the year routinely lose thousands in legitimate deductions.
Optional Programs That Add Revenue
Two voluntary programs are worth looking at once your approval is in hand.
The Child and Adult Care Food Program (CACFP) is a USDA-funded program that reimburses registered and licensed home providers for meals and snacks served to children. You enroll through a local sponsoring organization rather than applying directly to the federal government. Reimbursement comes in two tiers, with Tier I rates applying if your home is in a low-income area or your household income falls below 185 percent of the federal poverty level. For a provider serving breakfast, lunch, and a snack to six children every weekday, Tier I reimbursement adds up to roughly $175 per week.8USDA Food and Nutrition Service. CACFP: Payment and Reimbursement Rates for the Period July 1, 2025, Through June 30, 2026
New York’s Child Care Assistance Program (CCAP) helps low-income and Temporary Assistance families pay for child care. As a registered or licensed provider you can accept subsidy payments, which expands your potential client base. Families apply through their local Department of Social Services, and payments go directly to you. Enrollment does not change your OCFS obligations, but it does require attendance records that match what the subsidy program reports.
What Happens If You Operate Without Approval or Break the Rules
OCFS runs both scheduled and unannounced inspections. A violation can trigger anything from a written corrective action plan for minor issues to suspension or revocation for serious or repeated problems. Operating without a valid registration or license when one is required is itself a violation of New York Social Services Law, and OCFS can go to court to shut down an unlicensed program.1New York State Senate. New York Social Services Law 390 – Child Day Care; License or Registration Required Violations become part of your public record, searchable by parents through the OCFS online database.