For Parents, Cost Remains the Biggest Hurdle to Child Care Enrollment

A new survey reveals that four out of five New Jersey parents seeking afterschool child care are unable to enroll their children, primarily due to prohibitive costs and limited accessibility. The "America After 3PM" survey highlights a significant gap in the sector, with parents of over 700,000 children wanting programs while only 150,000 are currently enrolled. This crisis is exacerbated by the recent closure of the state’s child care subsidy program to new applicants, leaving many low- and middle-income families without essential support.

According to the "America After 3PM" survey, which examines 20 years of data and is the first conducted since the COVID-19 pandemic, approximately 60% of New Jersey parents identify cost as the primary barrier to securing child care. Accessibility is the second most cited issue, with nearly half of parents reporting that available programs are inconveniently located relative to their homes, schools, or workplaces. While federal guidelines suggest that childcare is affordable when it consumes 7% of a family's monthly budget, New Jersey families are currently spending an average of 19%, reflecting the state's high cost of living and real estate expenses.

The situation has reached a critical point following the New Jersey state budget's failure to fully fund child care subsidies, leading to the program's closure to new applicants as of August 1. Ebony Grace, CEO of NJSACC: New Jersey’s afterschool and out-of-school time professional network, emphasized that this lack of state support forces families to make difficult financial decisions and compels programs to increase fees to remain operational. Although lawmakers have introduced legislation to restore funding, the current gap has left families earning less than 100% of the federal poverty line—who previously qualified for free care—without a path to enrollment if they did not apply before the deadline.

The impact of these funding cuts and high costs is visible at the local level, where providers like Glassboro Child Development Centers are struggling to maintain services. Executive Director Joan Dillon reported that her organization recently lost federal funding under the 21st Century Community Learning Centers program after a state grant application was denied, forcing the cancellation of afterschool programs for more than 150 middle school students. This loss of support creates a "heartbreaking" situation for working families who may miss subsidy deadlines by mere weeks due to eligibility timing or find themselves unable to afford the transition to fee-based care.

The survey underscores that children in low- and middle-income families are the most likely to be left without afterschool programs, despite parents recognizing the value of these services for safety and socialization. As state support falls, the childcare sector faces a growing "crisis" where the demand for affordable, high-quality care far outstrips the available supply and funding. For the Childcare & Parenting market, these findings highlight a significant need for infrastructure investment to support the workforce and ensure children have access to essential out-of-school learning environments.