Child Care Arrangements, Costs, and Financial Benefits for Families Using Child Care Scholarships in Maryland

This brief presents findings from a survey of families who applied for child care subsidies through Maryland’s Child Care Scholarship (CCS) Program in April 2025, with a focus on families who received a scholarship at some point from April to June 2025. Scholarships provide financial assistance to eligible working, training, or student families to help them pay for child care and early education. Scholarships pay for care at licensed/registered providers[1] or with approved informal providers. We provide an overview of the child care arrangements, costs, and financial benefits for 107 families who received CCS for children from birth to age 12.

Key Findings

• Prior to receiving a scholarship, nearly half (42%) of families did not have a child care provider.
• The use of informal care providers (for example, friends, family members, or neighbors) decreased from 27 percent of children before their family received a scholarship to only 3 percent after receiving a scholarship.
• The use of licensed centers and family child care homes increased from 27 percent before scholarship to 86 percent after receiving a scholarship.
• Almost half of parents with scholarships reported no out-of-pocket expenses for child care.
• About half of the sample indicated they had had difficulty paying for housing, food, utilities, and/or debt (or building savings) prior to scholarship receipt. Scholarships helped most with housing, food, and utilities.
• Many parents said scholarships increased their child care options and allowed them to choose care that met their needs and supported their children’s development.