Missouri Action on Child Care: A National Model for Families and the Economy
Across the United States, child care is no longer just a family issue — it is increasingly recognized as a national economic priority. A recent Washington Post article shows how states are stepping up with bold policy solutions to address soaring costs, limited access, and workforce challenges that affect millions of parents and children.
Child care has become unaffordable and unsustainable for far too many families. The national average monthly cost for care exceeds $1,200 per child, forcing parents — especially mothers — to cut back work hours or leave jobs altogether.
“A lack of child care impacts every aspect of the economy…If they can get child care, then they can get off the sidelines,” said Abe Funk, a Missouri pharmacy owner participating in a new state-supported employer program.
Missouri Implementing National Child Care Model
The Washington Post featured Missouri Child Care Works as a national model for tackling the child care crisis. Child Care Works is the innovative new program that expands access through cost-sharing from employers, employees, the State of Missouri and a new expanded federal child care tax credit which allows employers to receive a tax credit of up to 50% of their contribution.
The story features interviews with Brian Schmidt, Executive Director of Kids Win Missouri, Robin Phillips of Child Care Aware of Missouri and Funk, a Cape pharmacy owner who created a child care center for his employees.
From the story:
The cost-sharing initiative was created out of two years of meetings with communities and data analysis led by Kids Win Missouri, a nonprofit. Its success leaned heavily on collaboration between business leaders, chambers of commerce and child care advocates, plus support from the governor, Republican Mike Kehoe, said Robin Phillips, chief executive of Child Care Aware of Missouri, an early-childhood education nonprofit that is helping launch the program.
Employers have an additional incentive to participate since a tax credit that Congress expanded this year will reimburse a larger chunk of their costs.
Within the next month, the first employers that have signed up are slated to start offering the benefit, Schmidt said. He and other proponents hope that the program will grow over time, particularly if it becomes popular with employers, and that it could be a model for other states.
“It’s really exciting,” Schmidt said. “It’s really cool to see something come to fruition.”
Why This Matters Nationally
The impact of state action goes beyond individual families:
-In Ohio, researchers estimate that the economy loses $5.48 billion annually because inadequate child care keeps parents out of the workforce.
-Nearly half of parents in a statewide survey reported cutting hours due to child care barriers, and 61% of nonworking mothers said they would work if quality, affordable care were available.
-These findings reflect Missouri is building a national model for how states can lead in strengthening early childhood systems and building a child care infrastructure that supports families, employers, and the broader economy.
Read the full Washington Post story here: https://www.washingtonpost.com/nation/2025/12/26/state-childcare-subsidies-costs/