How to Start a Daycare in Nebraska (2026)

Last updated: February 25, 2026

Starting a daycare in Nebraska requires a license from the Nebraska Department of Health and Human Services (DHHS) if you care for four or more children from different families. Nebraska has five license types ranging from small home-based programs to large child care centers, each with distinct staff ratio, space, training, and background check requirements. This guide covers every requirement using official DHHS sources.

Daycare Requirements in Nebraska at a Glance

Requirement	Agency	Cost	Timeline
LLC – Certificate of Organization	Nebraska Secretary of State	$100 online + $2 fee	3-5 business days
Federal EIN	IRS	Free	Immediate (online)
Family Child Care Home I or II License	Nebraska DHHS	$25/year	Allow 30-60 days for inspection
Child Care Center License	Nebraska DHHS	Up to $50/year	Allow 60-90 days for inspection
Background Check (all staff)	Nebraska State Patrol / DHHS	~$15-$50 per person	Before staff begins work with children
Nebraska Sales Tax Permit (if applicable)	Nebraska Dept. of Revenue	Free	Immediate (online)
Workers’ Compensation Insurance	Private insurer (required by NEWCC)	Varies	Before first employee starts
General Liability Insurance	Private insurer	Varies	Before opening

How to Start a Daycare in Nebraska (Step by Step)

Step 1: Form Your Business Entity and Get an EIN

Most daycare operators form an LLC for liability protection. File a Certificate of Organization with the Nebraska Secretary of State online at nebraska.gov/apps-sos-edocs. Fee: $100 online (plus $2 processing fee).

Publication requirement: Nebraska requires LLCs to publish a notice of organization in a legal newspaper in the county of the principal office. File an Affidavit of Publication with the SOS after publication.

Apply for a free federal EIN at irs.gov. Required before opening a business bank account and registering for state taxes.

Step 2: Determine Which DHHS License Type You Need

Nebraska DHHS administers five child care license types. Licensing is required if you care for four or more children from different families:

Family Child Care Home I: Care for 4-6 children (including your own children under age 6) in your home. Small-scale, home-based care.
Family Child Care Home II: Care for 7-12 children in your home. Requires an additional caregiver when caring for more than 8 children. Fee: $25/year.
Child Care Center: Care for 13 or more children in a non-residential facility. Most heavily regulated. License fee: up to $50/year.
Preschool: A program providing education and care for preschool-age children, typically in a center setting.
School-Age-Only Center: Care for school-age children before and after school hours.

Contact DHHS to confirm which license applies to your situation: (800) 600-1289. More information: dhhs.ne.gov/licensure/pages/child-care-licensing.aspx

Step 3: Complete Background Checks for All Staff

Background checks are required for all individuals who work in or have unsupervised access to children at your facility:

Nebraska State Patrol criminal background check
DHHS central registry check (child abuse and neglect registry)
For Family Child Care Homes: all household members 19+ must also be checked
Background checks must be completed before the individual begins working with children. Typical cost: $15-$50 per person depending on check type.

DHHS will guide you through the background check process as part of the licensing application.

Step 4: Complete Required Training

Nebraska requires all licensed child care providers to complete specific training before receiving a license and annually thereafter:

Pre-licensing training: All providers must complete training covering Nebraska’s seven Early Childhood Learning Guidelines domains (approaches to learning, cognitive/general knowledge, creative arts, health/physical development, language/literacy/communication, science/technology, social/emotional development).
First Aid and CPR: Current pediatric CPR and first aid certification is required for all licensed providers.
Annual continuing education: Ongoing training hours are required to maintain your license. Requirements vary by license type.

Step 5: Prepare Your Facility and Submit Your Application

Your facility must meet specific physical requirements before DHHS will issue a license:

Indoor space: Minimum 35 square feet of usable indoor space per child (35 sq ft for children under 2).
Outdoor play area: Required for most license types; minimum square footage per child applies.
Facility sketch: A diagram showing room dimensions, designated child care areas, and outdoor play space is required with your application.
Fire inspection and building code compliance: Your facility must pass a fire safety inspection and meet local building codes. Smoke detectors, fire extinguishers, and marked exits are required.
Bathroom facilities: Adequate toilet-to-child ratios required; diaper changing stations required for infant/toddler care.

Submit your completed application, facility sketch, background check documentation, proof of training, and licensing fee to:

DHHS Division of Public Health – Children’s Services Licensing
PO Box 94986, Lincoln NE 68509-4986
Phone: (800) 600-1289
dhhs.ne.gov – Child Care Licensing

Step 6: Staff-to-Child Ratios

Nebraska regulates minimum staff-to-child ratios based on children’s ages. General requirements for child care centers include:

Infants (birth-12 months): 1 caregiver per 4 children
Toddlers (12-24 months): 1 caregiver per 5 children
2-year-olds: 1 caregiver per 6 children
3-year-olds: 1 caregiver per 10 children
4-5-year-olds: 1 caregiver per 12 children
School-age: 1 caregiver per 15 children

Family child care homes have separate ratio requirements. Confirm current ratios with DHHS, as regulations are updated periodically.

Step 7: Register for Taxes and Get Insurance

If you charge tuition (most daycare operators do), you may need to register for Nebraska sales tax if your specific services are taxable – consult the Nebraska DOR or a tax professional regarding your situation. If you have employees:

Register for Nebraska Income Tax Withholding through the NeDOR portal
Register for Unemployment Insurance through NEworks at neworks.nebraska.gov
Report new hires within 20 days at ne-newhire.com
Obtain Workers’ Compensation Insurance (required for any business with 1+ employees in Nebraska)

Also obtain general liability insurance. Many parents and state contract programs require proof of coverage. Child care centers typically carry $1M-$2M in general liability.

Cost to Start a Daycare in Nebraska

Item	Cost	Notes
LLC Certificate of Organization (online)	$102	$100 + $2 processing fee
LLC newspaper publication	$30-$75	Required; varies by county
Family Child Care Home License	$25/year	Annual DHHS license fee
Child Care Center License	Up to $50/year	Annual DHHS license fee
Background checks (per person)	~$15-$50	Required for all staff and household members
CPR/First Aid Certification	~$50-$100/person	Required for all providers; renewal required
Federal EIN	$0	Free from IRS
Workers’ Compensation Insurance	Varies	Required if 1+ employees
General Liability Insurance	~$1,000-$3,000/year	Essential for child care operators

Note: Facility renovation, playground equipment, furniture, and supplies are major startup costs not reflected above. A home-based Family Child Care Home can launch for a few hundred dollars in regulatory costs; a new child care center typically requires tens of thousands in facility preparation.

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Frequently Asked Questions

Do I need a license to run a daycare in Nebraska?

Yes, if you care for four or more children from different families. Nebraska DHHS requires a license for all Family Child Care Homes I and II, Child Care Centers, Preschools, and School-Age-Only Centers meeting that threshold. If you watch fewer than 4 children from different families (or only care for relatives), you may be exempt – but confirm with DHHS before assuming you are exempt.

How much does a Nebraska daycare license cost?

Annual license fees are low: $25/year for Family Child Care Homes and up to $50/year for Child Care Centers. The major costs are background checks ($15-$50 per person), CPR/First Aid certification, and facility preparation. The DHHS license application itself has no separate application fee beyond the annual license fee.

What background checks are required for Nebraska daycare providers?

All staff and volunteers who work with children must pass a Nebraska State Patrol criminal history check and a DHHS central registry check (child abuse and neglect records). For Family Child Care Homes, all household members age 19 and older must also pass background checks. These must be completed before the individual begins working with children.

What are the staff ratio requirements for Nebraska daycares?

Ratios depend on children’s ages. For child care centers: infants (1:4), toddlers 12-24 months (1:5), 2-year-olds (1:6), 3-year-olds (1:10), 4-5-year-olds (1:12), school-age (1:15). Family child care homes have separate ratio requirements under their license type. Contact DHHS at (800) 600-1289 for current Family Child Care Home ratios.

Can I run a daycare out of my home in Nebraska?

Yes. Family Child Care Home I (4-6 children) and Family Child Care Home II (7-12 children) licenses are specifically designed for home-based care. Your home must meet DHHS space, safety, and sanitation requirements, pass a pre-licensing inspection, and all household members must pass background checks. Home-based programs are the most affordable way to enter child care in Nebraska.

How long does it take to get a Nebraska daycare license?

Allow at least 30-60 days for a Family Child Care Home license and 60-90 days for a Child Care Center license. The process includes application review, background check processing, staff training verification, and a pre-licensing facility inspection. DHHS will not issue a license until all requirements are satisfied, so begin the process well before your planned opening date.

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About the Author

Robert Smith has run a licensed private investigation firm for 8 years from the Florida-Georgia state line - where he learned firsthand how wildly business licensing rules differ between states just miles apart. He personally researched requirements across all 50 states and D.C., reviewing hundreds of government sources over hundreds of hours to build guides he wished existed when he started. Not a lawyer or accountant - just a business owner who has done the research so you don't have to.

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