Last updated 2026-07-09

TL;DR
Care for more than three unrelated children for pay in Texas and you must register or get a license from the Texas Health and Human Services Commission (HHSC). Your headcount decides your tier: Listed Family Home (3 or fewer), Registered Child-Care Home (up to 6), or Licensed Child-Care Home (up to 12). Each tier sets its own ratios, inspections, and training under Human Resources Code Chapter 42.
What are the legal tiers for in-home daycare in Texas?
Texas runs family child care on three tiers, and your tier decides almost everything: how many kids you can take, how often the state shows up, and what you have to finish before you open the door.
The Texas Health and Human Services Commission (HHSC) runs all three under Texas Human Resources Code Chapter 42 [1].
Listed Family Home. You care for three or fewer unrelated children under age 14 for pay. This is the lightest touch. You notify HHSC and pay a small administrative fee, and there's no formal inspection before you open. The state can still drop by, announced or not. You may also care for an unlimited number of your own or related children at this level [1].
Registered Child-Care Home. You care for four to six unrelated children under age 14, or three to six if any child is under age two. Registration takes an application, a background check on every adult in the home, a pre-registration inspection, and a basic health and safety orientation before you accept a single child. You renew every two years [1].
Licensed Child-Care Home. You care for seven to twelve unrelated children, with no more than six under age six and no more than four under age two. This is the top tier for home-based care. It takes a full application, background checks, a pre-licensing inspection, and heavier annual training. The state inspects licensed homes at least once a year and can show up unannounced [1].
Want more than twelve children? You've left home-daycare territory. You now need a Licensed Child-Care Center permit, which comes with commercial-facility rules.
Here's a detail operators blow: children related to you by blood or marriage count toward capacity only if they're under age six and on-site during operating hours. Miscount, and you're running at the wrong tier without knowing it.
What are Texas home daycare ratios and group size limits?
Texas child-to-caregiver ratios move with the age of the kids in the room. The table below lays out the ratios for Registered and Licensed Child-Care Homes as set in the Texas Administrative Code, Title 26, Part 1 [2].
| Age group | Max children per caregiver | Max group size (Licensed Home) |
|---|---|---|
| Infant (0-17 months) | 4:1 | 4 |
| Toddler (18-23 months) | 4:1 | 4 |
| 2-year-olds | 5:1 | 5 |
| 3-year-olds | 10:1 | 10 |
| 4-year-olds and older | 12:1 | 12 |
| Mixed ages (if any child under 2) | 4:1 | 4 |
A Registered Home caps at six unrelated children no matter the ages. A Licensed Home caps at twelve, but the infant and toddler sub-limits still apply inside that total.
Mixed-age groups trip people up. One infant in the room drops the whole group to 4:1. So a licensed operator with a single baby who tries to run eight older preschoolers is out of compliance, even with a headcount well under twelve [2].
An assistant caregiver can stretch your capacity, but any paid assistant has to clear the same background checks as the primary caregiver. A teenager can't count toward ratio unless they're at least 16 and directly supervised by an adult who meets every caregiver qualification [2].
What background checks does Texas require for home daycare operators?
Every adult who lives in the home or has access to children in care must clear a background check before you open. The rule applies at all three tiers, no exceptions.
HHSC processes checks through the Child Care Licensing Automated Support System (CLASS) portal. The screening includes [1]:
- A Texas Department of Public Safety (DPS) criminal history check
- A national FBI fingerprint-based check
- A Texas Department of Family and Protective Services (DFPS) abuse and neglect history check [11]
- A sex offender registry check
The primary operator gets fingerprinted at every tier. Household members at the Listed Family Home tier can pass with a name-based check. At the Registered and Licensed tiers, every household member 14 and older needs a fingerprint-based FBI check.
Some convictions are automatic bars. Under Texas Human Resources Code Section 42.072, HHSC must deny an application if the applicant was convicted of any offense listed in that section, including family violence, sexual offenses, and several drug offenses [1]. No waiver exists for a barred offense. None.
Checks renew every two years. If a new adult moves in between renewals, you have to notify HHSC and start a fresh check before that person gets any access to the children. That notification rule burns a lot of operators, usually when a relative moves in on short notice.
What training and orientation do Texas home daycare providers need?
Training scales with your tier, and none of it is a rubber stamp.
Listed Family Home. No pre-opening training required by the state. HHSC still pushes you to get pediatric first aid and CPR, and you should.
Registered Child-Care Home. Before your registration issues, you finish a Health and Safety Orientation through HHSC's online system. It covers safe sleep, shaken baby syndrome prevention, and basic emergency procedures. Current pediatric CPR and first aid certification also has to be in hand before you open [1].
Licensed Child-Care Home. You complete the Health and Safety Orientation and hit an ongoing annual requirement of at least 24 clock hours of professional development a year. At least 8 of those hours have to cover child development or early education. Current pediatric CPR (hands-on, not online-only) is required at all times [2].
The CPR rule wrecks renewals over and over. Online-only certificates don't meet Texas licensing rules, which demand a hands-on skills check from an approved instructor. Book the in-person class.
Texas also ties safe sleep training to infant enrollment. If you take any child under age one, the primary caregiver and any assistant who cares for that infant must finish DFPS-approved safe sleep training before the infant's first day [1].
The Child Care and Development Fund (CCDF) pushes states to raise training standards as a condition of block-grant money, and Texas has used CCDF dollars to subsidize training through the Texas Workforce Commission network [3]. If you serve any children on Child Care Services (CCS) subsidies, hold on to every training record, because subsidy audits will ask for them.
What does the home inspection cover and how do you pass it?
For Registered and Licensed homes, an HHSC child care licensing inspector visits before your permit issues. This isn't a pop-in. You schedule it, and the inspector works a standardized checklist. Know that checklist cold and you've basically guaranteed a pass.
Here's what inspectors check [1] [2]:
Physical environment. Every room used for care needs adequate lighting, ventilation, and heating or cooling. Floors have to be clean and clear of hazards. You need at least 30 square feet of usable indoor activity space per child, not counting hallways, bathrooms, or space blocked by furniture.
Outdoor play area. If you use one, it has to be fenced, hazard-free, and give at least 40 square feet of play space per child using it at once.
Sleep environment. Each infant gets a separate, firm, flat sleep surface (a crib or play yard meeting current CPSC standards). No soft bedding, positioners, or inclined sleepers. Every child's sleep equipment gets labeled with their name.
Medications and hazardous materials. All medications (prescription and over-the-counter), cleaning products, and chemicals have to be locked or physically out of children's reach.
Water and sanitation. Potable water has to be available. Bathrooms have to be reachable without walking through a sleeping area. Diaper changing areas get sanitized between each use.
Emergency preparedness. You need a written emergency plan, a posted evacuation map, working smoke detectors on every level, a carbon monoxide detector if you have gas appliances, and a fire extinguisher in or next to the kitchen.
First aid kit. A stocked kit stays on-site, reachable by caregivers, out of reach of children.
After you open, licensed homes get at least one inspection a year, and HHSC can show up unannounced anytime. Registered homes get periodic unannounced visits. Listed homes get a visit if someone files a complaint [1].
The three deficiencies HHSC cites most in home settings: unlocked medications, missing or expired fire extinguishers, and improper infant sleep surfaces. Fix those before you schedule anything.
How much does it cost to get licensed as a Texas home daycare?
Texas keeps direct licensing fees low compared to a lot of states. Your real startup number is bigger once you add equipment, training, and background checks.
State fees (approximate, based on the HHSC fee schedule):
- Listed Family Home notification: no state fee (as of 2025)
- Registered Child-Care Home application and two-year registration: roughly $35 to $50 [1]
- Licensed Child-Care Home application: about $35, plus an annual permit fee that scales with capacity (roughly $20 to $75 a year depending on headcount) [1]
- Background checks: DPS criminal history runs about $15 per person; the FBI fingerprint check runs about $36 to $38 per person through IdentoGo, the state's current vendor [4]
Past the state fees, budget for home daycare insurance (more on that below), CPR and first aid courses ($50 to $120 per person), any home modifications (outlet covers, door locks, window guards), and sleep equipment if you're taking infants.
ChildCareComp's compliance toolkit has a startup cost checklist that matches each item to your specific tier, so you're not pricing out things you don't actually need.
Child Care Aware of America's 2024 data put the average annual cost of family child care in Texas at roughly $9,000 to $10,600 per child [5]. Keep that next to your fee sheet: state licensing costs are a rounding error against your yearly revenue, so cutting corners on setup to save $200 almost never pencils out.
Do Texas home daycare operators need insurance?
No, Texas doesn't make liability insurance a legal condition of home daycare licensure at any tier. Operating without it is still a real financial gamble, and plenty of parents will ask for proof of coverage before they enroll.
Your homeowner's or renter's policy almost certainly excludes business activity. Running a daycare out of your home is business activity. If a child gets hurt in your care and you have no separate daycare liability insurance policy, your homeowner's insurer can deny the claim outright [6].
Home child care liability policies usually run $300 to $800 a year for $1 million in coverage, depending on capacity and claims history. Some operators add a commercial auto rider if they transport kids.
The Texas Department of Insurance doesn't publish a home daycare policy guide, but any independent agent who works with small businesses can quote a commercial general liability policy or a purpose-built child care policy [6]. Get at least two quotes. Coverage for abuse and neglect allegations varies a lot between policies, and you want one that covers it, ideally with its own sublimit.
If you take children on Child Care Services (CCS) subsidies through the Texas Workforce Commission, some TWC contracts do require proof of insurance. Read your specific TWC provider agreement before you assume coverage is optional.
Can Texas home daycare providers accept subsidy payments?
Yes, with conditions. Texas runs its federally funded Child Care and Development Fund (CCDF) money through the Child Care Services (CCS) program, managed by the Texas Workforce Commission (TWC) with local workforce boards [3].
To take CCS payments, you have to be at least a Registered Child-Care Home. Listed Family Homes can't receive CCS money [3]. Licensed homes qualify and often draw slightly higher reimbursement.
The CCDF statute says funds shall be used to "increase the availability, affordability, and quality of child care" [3]. Texas pays on a tiered reimbursement model, so providers enrolled in Texas Rising Star, the state's quality rating system, get higher rates than base-eligible providers.
Texas Rising Star runs on multiple levels, with an entry-point Level 1 added in recent rule updates and higher recognition at Levels 2 through 4. Joining Rising Star means meeting standards past basic licensing, including more staff training and environmental quality assessments. The bump for a Level 3 or 4 home can matter, often 10 to 20 percent above base rates, but the extra paperwork is real too.
Local workforce boards set the actual rates, so Dallas and Harris County pay differently than rural West Texas. Call your local board for current numbers. TWC lists board contacts at twc.texas.gov [7].
What are the safe sleep and infant-specific rules for Texas home daycare?
Infant care is the most tightly regulated part of a Texas home daycare, and the reason is grim. DFPS and federal data show sleep-related deaths rank among the leading causes of in-care child fatalities nationally [11].
Texas requires [1] [2]:
- Every infant under 12 months sleeps in a CPSC-compliant, firm, flat crib or play yard. Soft-sided play yards without firm inserts don't count.
- No soft bedding, bumper pads, positioners, or inclined sleepers in the sleep space.
- Infants go down on their backs unless a physician provides written documentation that a specific infant needs an alternative position. That document stays on file at the home.
- Swaddling is allowed only per caregiver training guidelines, and swaddled infants still go on their backs.
- The sleeping area stays visible and reachable by the caregiver at all times.
- No infant sleeps in a car seat, swing, bouncy seat, or any device not built as a sleep surface.
The American Academy of Pediatrics (AAP) Safe Sleep guidelines are the technical backbone of these rules. The AAP's 2022 update states: "Infants should be placed for sleep in a supine position (wholly on the back) for every sleep until the child is 1 year of age" [8].
If an inspector catches an infant on an unapproved surface, that's an immediate deficiency. It can suspend your ability to care for infants until you fix it, even on a first inspection.
What food, nutrition, and mealtime rules apply to Texas home daycares?
HHSC requires registered and licensed homes to serve meals or snacks that fit the ages of the children in care, and those meals have to meet USDA meal pattern requirements if you're in the Child and Adult Care Food Program (CACFP) [9].
CACFP is the federal food program that reimburses family daycare homes for meals and snacks served to eligible children. It's voluntary but the money is real. A registered or licensed home that qualifies as a "Tier 1" CACFP home (in a low-income area or meeting operator income tests) can pull reimbursements that cover a big chunk of food costs. USDA reports CACFP served over 4.3 million children and 130,000 adults in fiscal year 2023 [9].
To join CACFP in Texas, you go through a sponsoring organization. The Texas Department of Agriculture (TDA) oversees CACFP and keeps a list of approved sponsors [10]. You don't apply directly to TDA. You apply through a sponsor, who then monitors your meal records.
Even outside CACFP, Texas licensing rules require that [1]:
- Food fits the child's developmental stage.
- Infants are fed on demand unless a parent or physician sets a schedule in writing.
- Formula and breast milk get labeled with the child's name and date and stored at proper temperatures.
- You don't add cereal to a bottle unless a physician gives written instruction.
- Choking hazards (whole grapes, hot dogs, hard candy, popcorn, nuts) don't go to children under 4.
Food allergies and dietary restrictions have to be documented for each child and posted where staff can see them during food prep and service. That posting shows up as a repeat deficiency in HHSC inspection reports.
How do you actually apply to open a home daycare in Texas?
Getting from zero to licensed follows a fairly fixed order, and skipping steps is how people burn months and money.
Step 1: Pin down your tier. Count the children you plan to serve, note how many are under two, and confirm your tier. Right on the edge? Go with the higher tier if you think you'll grow. It's almost always the cheaper move.
Step 2: Set up your HHSC CLASS account. All Texas child care licensing runs through the CLASS portal at hhs.texas.gov. Create an account and start your application there [1].
Step 3: Start your background check. Kick off the DPS and FBI checks first thing. FBI fingerprint appointments through IdentoGo can run one to three weeks in busy metros. This is usually your longest-lead item, so it goes first.
Step 4: Finish pre-opening training. For Registered and Licensed homes, complete the Health and Safety Orientation in CLASS and book your CPR and first aid class.
Step 5: Prep your home. Pull the inspection checklist HHSC publishes in the Forms section at hhs.texas.gov and go room by room. Don't schedule your pre-opening inspection until your home passes a self-audit against that list.
Step 6: Submit your application and fee. Everything files through CLASS. HHSC processing runs roughly 30 to 60 days for registered homes and 60 to 90 days for licensed homes, though it swings with region and inspector caseload.
Step 7: Pass your pre-opening inspection. The inspector schedules this after HHSC reviews your application. Be there, have every document ready (training certificates, CPR cards, household background check confirmations), and ask about anything the inspector flags before they leave so you can knock it out fast.
Step 8: Get your permit and open. Your permit lists exactly how many children you can serve by age group. Don't blow past those numbers on day one or any day after.
Before you lock in your capacity, read up on daycare cost modeling. Your budget math should come before your headcount decision, not after.
The full CLASS portal and every required form live at hhs.texas.gov. HHSC also runs a Child Care Licensing Regional Office in every major Texas metro, and calling yours directly is often the fastest way to get a straight answer mid-application.
What ongoing compliance requirements do Texas home daycares face after opening?
Passing your first inspection isn't the finish line. Texas home daycare compliance runs year-round, and a few deadlines will sneak up on operators who aren't tracking them.
Renewals. Registered homes renew every two years; licensed homes renew every year. HHSC sends a renewal notice, but renewing on time is on you. A lapsed permit means you stop taking children that day.
Annual training. Licensed operators document and submit proof of 24 training hours a year. Keep certificates in one dedicated file. Inspectors ask for the past 12 months of records at annual inspections.
Background check renewals. Every household member's check renews every two years. Set a calendar reminder at 20 months so you're not scrambling at month 24.
Incident and injury reporting. You must report any serious injury, illness, or death of a child in care to HHSC within 24 hours. "Serious injury" covers anything needing medical attention beyond basic first aid. A separate report goes to your local DFPS office for any incident that might be abuse or neglect, no matter who the alleged perpetrator is [11].
Record-keeping. Keep current enrollment forms, emergency contacts, immunization records, signed parental permissions, and daily attendance for every child. HHSC can ask for any of it during an inspection. Most record-keeping citations come from missing immunization records. Texas requires each child's immunization record on file and current per the Texas Department of State Health Services (DSHS) schedule within 30 days of enrollment [1].
Parent handbook. Registered and licensed homes give parents a written policy covering hours, fees, illness policy, discipline, and emergency procedures. Keep a signed receipt from each family.
ChildCareComp's compliance calendar tool tracks renewal deadlines, training hours, and background check expirations in one place. A spreadsheet works fine too. Something just has to own the calendar, because HHSC won't nag you with reminders.
Frequently asked questions
How many kids can you watch without a license in Texas?
You can care for up to three unrelated children for pay in Texas without registering or licensing. Hit four or more unrelated children and you must register as a Registered Child-Care Home at minimum. You can always care for your own or related children on top of that count, but related children under age six who are on-site do count toward some capacity calculations at higher tiers.
How long does it take to get a home daycare license in Texas?
Plan for 60 to 120 days from starting your CLASS application to holding your permit. The FBI fingerprint check usually takes two to four weeks after your appointment. HHSC review and pre-opening inspection scheduling add another 30 to 60 days. Operators who submit incomplete applications or need home modifications before passing inspection run longer. Starting the fingerprint process on day one saves the most time by far.
What disqualifies someone from running a home daycare in Texas?
Texas Human Resources Code Section 42.072 lists automatic disqualifying offenses, including convictions for family violence, sexual offenses, child abuse or neglect substantiated by DFPS, certain drug offenses, and others. There's no waiver for a barred offense. A substantiated DFPS abuse or neglect finding against any household member can also trigger denial. HHSC runs these checks on the applicant and every adult in the home.
Does a Texas home daycare need a fire inspection?
HHSC doesn't require a separate fire marshal inspection for residential-tier home daycares (Listed, Registered, or Licensed Child-Care Homes) as a condition of licensure. You do have to pass HHSC's fire safety checklist during the pre-opening inspection: working smoke detectors on every level, a kitchen fire extinguisher, and a posted evacuation plan. Some cities add local requirements, so check with your city fire marshal.
Can you run a home daycare out of an apartment or rental in Texas?
Yes. HHSC doesn't ban apartment or rental-based home daycares at the state level. But you need your landlord's written permission, since most leases block business activity without consent, and you still have to meet every physical environment requirement, including outdoor play space access. Plenty of complexes will say no. Get written landlord approval before you sink time into an application.
What immunization records does Texas require for children in home daycare?
Texas requires each child's immunization record on file and current per the Texas DSHS schedule within 30 days of enrollment. Exemptions (medical or conscientious) have to be documented on an official DSHS affidavit form. Missing or expired immunization records rank among the most common inspection citations in home daycare. Keep a tickler file that flags records expiring in the next 30 days.
How much can a Texas home daycare charge parents?
Texas doesn't cap the fees home daycares charge private-pay families. Rates swing by region: Child Care Aware of America's 2024 data put average Texas family child care costs at roughly $750 to $885 per month per child. Austin, Dallas, and Houston usually run higher. If you take CCS subsidy children, TWC sets the reimbursement rate and you can't charge subsidy families more than the CCS-approved copay.
Do home daycare providers in Texas need a separate business license or DBA?
HHSC licensing is your main state-level authorization. Separately, you may need to register a DBA (doing business as) with your county clerk if you operate under a name other than your legal name, and some cities require a general business license or home occupation permit. Check with your city and county clerk. The IRS also requires an Employer Identification Number (EIN) if you have employees or file as a business entity.
What discipline methods are banned in Texas home daycares?
Texas Administrative Code bans corporal punishment (spanking, hitting, pinching), withholding food or water as punishment, humiliation or verbal abuse, and putting a child in an enclosed space like a closet or box. You must document your discipline policy in writing and give it to parents before enrollment. Repeated substantiated complaints about prohibited discipline can end in permit suspension or revocation.
Can a Texas home daycare provider care for children overnight?
Yes, but only if your permit specifically authorizes overnight care. It's not automatically included in a standard Registered or Licensed Child-Care Home permit. You request it as part of your application, and the home has to meet extra sleep-space requirements. Drop-in overnight care is a separate authorization on top of that. Operating overnight without authorization is a permit violation.
What happens if HHSC finds a violation during an inspection?
HHSC sorts violations by severity. Technical deficiencies (documentation gaps, minor environmental issues) get a corrective action notice with a fix deadline, usually 30 days. High or medium-risk violations can bring a corrective action plan, a fine, or mandatory suspension. Immediate jeopardy violations, where a child is in imminent danger, can trigger same-day suspension. All inspection results post publicly in the HHSC Child Care Licensing search tool.
Is a Texas home daycare required to be accredited?
No. Accreditation through bodies like the National Association for Family Child Care (NAFCC) is voluntary in Texas and isn't required for licensure. Accredited homes can market the credential to parents and may earn higher reimbursement through the Texas Rising Star quality rating system. Texas Rising Star participation is what providers use to serve CCS-subsidized children at enhanced reimbursement levels.
What records must a Texas home daycare keep and for how long?
HHSC requires enrollment and emergency contact forms, immunization records, signed parental permissions, daily attendance, medication authorization forms, and incident reports. Attendance and medication records have to be kept at least two years after a child's last day. Immunization records stay for the length of enrollment. If you're in CACFP, USDA requires meal records kept for three years.
Sources
- Texas Health and Human Services Commission, Child Care Licensing: Texas three-tier home daycare system (Listed, Registered, Licensed), application requirements, background check rules, training requirements, inspection standards, and record-keeping obligations under Texas Human Resources Code Chapter 42
- Texas Administrative Code, Title 26, Part 1, Chapter 746 (Minimum Standards for Child-Care Homes): Child-to-caregiver ratios by age group for Registered and Licensed Child-Care Homes, group size limits, physical environment requirements including 30 sq ft indoor and 40 sq ft outdoor space per child
- U.S. Department of Health and Human Services, Office of Child Care, CCDF Program: CCDF funds administered through Child Care Services (CCS) in Texas; Listed Family Homes not eligible for CCS payments; Texas uses CCDF funds through Texas Workforce Commission network
- IdentoGo by IDEMIA, Texas DPS Fingerprint Services: FBI fingerprint-based background check fee approximately $36-$38 per person through IdentoGo, the Texas DPS authorized vendor
- Child Care Aware of America, 2024 State Fact Sheets: Average annual cost of family childcare in Texas approximately $9,000-$10,600 per child; average monthly rates roughly $750-$885
- Texas Department of Insurance: Standard homeowner's and renter's insurance policies typically exclude business activity; home daycare operators need separate commercial liability coverage
- Texas Workforce Commission, Child Care Services: TWC administers CCS subsidy program; reimbursement rates set by local workforce boards; Texas Rising Star tiered quality rating system tied to enhanced reimbursement
- American Academy of Pediatrics, 2022 Safe Sleep Guidelines (Pediatrics, Vol. 150, No. 1): AAP states: 'Infants should be placed for sleep in a supine position (wholly on the back) for every sleep until the child is 1 year of age'; Texas safe sleep rules derive from AAP guidance
- USDA Food and Nutrition Service, Child and Adult Care Food Program: CACFP served over 4.3 million children and 130,000 adults in fiscal year 2023; reimburses family daycare homes for meals and snacks served to eligible children
- Texas Department of Agriculture, Child and Adult Care Food Program: TDA oversees CACFP in Texas; home daycare providers participate through approved sponsoring organizations rather than applying directly to TDA
- Texas Department of Family and Protective Services: DFPS maintains abuse and neglect history records checked during home daycare background screening; substantiated findings can disqualify applicants; sleep-related deaths among leading in-care child fatalities