Early Educator Wage Initiative

Child Care Back Office is excited to be an administrative partner for the Early Educator Wage Initiative to support licensed child care providers across Regions 1, 2, 3, 7 and 10. This exciting opportunity provides monthly stipends to early educators—helping strengthen wages, stabilize programs, and ensure that every child and family has access to quality care.

Child Care Back Office’s role differs slightly for each region. Information for each is listed below. If you are an early educator working in one of these regions and need help navigating the Wage Initiative in your region, please reach out to wages@childcarebackoffice.org .

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Share your feedback

Launching a program like the Early Educator Wage Initiative always results in lessons learned. If you’ve particpated in the Wage Initiative in regions 1, 2, 3, 7, or 10, please take a moment to anonymously share your feedback with us. We will share your responses with our partners to help us all improve the program and participant experiences. Thank you!

Regions 1 & 3 – Upper Peninsula and North East Michigan

Application Timeline for Region 3

  • Applications Open: Ongoing

Applications are CLOSED for Region 1

The Bigger Picture

This initiative is more than just short-term support; it is a key step toward building a permanent, long-term wage strategy that ensures early childhood educators are paid a fair, livable wage.

The goals of the Early Education Wage Initiative go beyond the immediate stipends to include:

  1. Elevating the Profession: It aims to elevate early childhood education as a respected, sustainable career path for new and current professionals.
  2. Guiding Future Policy: It will generate important data and insights on how increased wages affect educator retention, well-being, and workforce stability. This information will be used to guide future state wage and workforce policy.
  3. Building Sustainable Solutions: It is designed to strengthen public-private partnerships by encouraging local businesses, philanthropies, and community partners to co-invest in the early childhood workforce. Each Regional Child Care Coalition will develop a sustainability plan to maintain wage supports beyond August 2027.

Next Steps

For questions about eligibility or the application process, please contact us.

Child Care Back Office is working with the Regional Child Care Coalitions (RCCCs) in both Region 1 (Upper Peninsula) and Region 3 (Northeast – Alcona, Alpena, Cheboygan, Crawford, Iosco, Montmorency, Ogemaw, Oscoda, Otsego, Presque Isle, and Roscommon Counties). The Upper Peninsula Resource Center leads the Wage Initiative and co-leads the Coalition for Region 1, while Develop Iosco leads the Wage Initiative and Coalition for Region 3.

Each region in Michigan faces unique challenges. RCCCs ensure that the people most in need of early childhood supports — including families, providers and employers — are part of designing the policies and programs that work best in their communities.

The Wage Initiative is a two-year initiative to increase take-home pay for early childhood educators employed in licensed child care programs (including centers, family and group homes, Head Start programs and Great Start Readiness Programs) across Michigan. Supporting early childhood educators is key to Michigan’s broader economy. Families and businesses rely on strong, stable child care to keep parents in the workforce.

Beginning in January 2026, eligible early childhood educators will receive monthly stipends of $200 (part-time/10-29 hours per week) or $300 (full-time/30+ hours per week) through August 2027.

Eligibility Requirements

To be eligible for the Early Education Wage Initiative in Region 1 (Upper Peninsula) and Region 3 (Northeast), applicants must meet all of the following criteria:

  • Role: Your primary role must be as a Lead Caregiver/Teacher or Assistant Teacher/Family Child Care Assistant.
    • Note: Owner/operators who also serve in one of these primary roles are eligible to apply.
  • Wage: You must currently earn $17.00 per hour or less$20.00 per hour or less.
  • Hours: You must work an average of 10 hours or more per week in your role.
  • MiRegistry Profile: All participating educators must create, update, and maintain an individual profile in MiRegistry. Your profile must include all current wage and employment documentation.

Note for Region 1 (Upper Peninsula) Applicants

To ensure equitable access, stipend awards in Region 1 will be distributed proportionately across the eastern, central, and western portions of the Upper Peninsula, based on the number of licensed childcare programs in those areas.

Region 2 – North West Michigan

The Wage Initiative in region 2 is administered by Networks Northwest. Child Care Back Office is the stipend distributor for this region. 

Region 7 – Capital Area

Child Care Back Office is proud to support LEAP as the organization leading the Early Educator Wage Initiative in the region 7 Capitol Area, covering Clinton, Eaton, and Ingham counties.

Application Timeline

  • Applications for Program Waitlist Re-open: Monday, April 6
  • Applications for Program Waitlist Close: Monday, April 27 @ 11:45pm ET
  • Applications submitted during waitlist period will be selected via lottery as needed to fill vacant program slots. Applicants can be expected to be contacted only if their application is selected. 
  • If you have already completed an application for this program, you DO NOT need to apply again.

Eligibility Requirements

To be eligible for the Early Education Wage Initiative in Region 7 (Capitol Area), applicants must meet all of the following criteria:

  • Residency: All applicants must be residents of Michigan.
  • Role: Your primary role must be as a Lead Caregiver/Teacher or Assistant Teacher/Family Child Care Assistant at a licensed childcare program.
    • Note: Owner/operators who also serve in one of these primary roles are eligible to apply.
  • Wage: You must currently earn $17.00 per hour or less.
  • Hours: You must work an average of 20 hours or more per week in your role.
  • MiRegistry Profile: All participating educators must have a complete and up-to-date profile in MiRegistry. Your profile must include all current wage and employment documentation, including employment verification from the program. Stipend payments cannot be made to individuals until their MiRegistry profile is verified by the MiRegistry team.

About the Lottery

Stipend recipients will be randomly selected via lottery from the applicant pool with the following priorities based on hourly wage to align with regional wage data and ALICE thresholds:

  • Priority 1: Below $13.00/hour
  • Priority 2: $13.00–$14.99/hour
  • Priority 3: $15-17.00/hour

Additional lottery weighting will be applied to educators working non-traditional hours (evenings, weekends, overnight) and those providing home-based child care, reflecting acute shortages in these settings.

Applicants found to have an incomplete or not current MiRegistry profile will be notified via email and given 3 business days to provide documentation that they have reached compliance with this requirement. After that 3 day period, applicants who are not in compliance with this requirement will be returned to the applicant pool and found ineligible to receive the stipend at that time. 

Region 10 – Metro Detroit

Region 10’s Early Educator Wage Initiative (Macomb, Oakland, & Wayne Counties) is led by IFF. Child Care Back Office is partnering with IFF to administer the monthly stipend payments. 

Frequently Asked Questions (FAQs)

Child Care Back Office is supporting several regions in administering their Early Educator Wage Initiative Programs. This is a repository of frequently asked questions (FAQs) applicable to all regions. Have a question you don’t see answered here? Submit it to wages@childcarebackoffice.org.

How do I find my MiRegistry ID number?
  1. First, go to the MiRegistry website and tap the Login button to access the account.
    The MiRegistry website is shown with an arrow pointing to the Log In button at the top-right corner of the page.
  2. Next, insert the appropriate credentials in the Email Address and Password fields and then tap the Login button.
    The MiRegistry Login page is shown with an arrow pointing to the Log In button, which is below the email address and password fields.
  3. At this point, learners will navigate to the “My Personal Profile” page to find and copy the Registry ID.
    The My Personal Profile page is shown with the Summary tab selected. An arrow points to the Registry ID which appears on the right side of the page.

Individuals who do not possess a MiRegistry account can access the MiRegistry Account page for supplementary details and guidance. 

You can also contact your Great Start to Quality Resource Center to get one-on-one assistance with creating or updating your MiRegistry account. Contact Deb Dupras for the Upper Peninsula via email at debdupras@4cofup.org, or via phone at 906-228-3362. Contact Helen Shastal for Northeast Michigan via email at shastalh@coorisd.net or via phone at 989-808-3194.

Are the Early Educator Wage Initiative monthly stipends considered taxable income?

Yes, the Early Childhood Wage Stipends are considered taxable income, and stipend recipients are responsible for reporting this income on my state and federal taxes.

Stipend recipients will receive a 1099-MISC form by mail, sent no later than January 31st, for the total stipend amount paid to them during the previous calendar year. A copy of this form is also filed with the IRS.

What are the potential tax implications of receiving a stipend?

When you file your personal income taxes, you must report this 1099-MISC income. This amount is added to your other earnings (like your W-2 wages), which increases your total reported income. This will likely increase the total amount of income tax you owe for the year. This could result in a smaller tax refund than you are used to, or you may owe money.

We strongly recommend saving a portion of each stipend payment specifically for tax time. Please consult with a qualified tax professional to discuss your personal financial situation.

Do I need to report receiving a stipend to MiDHHS?

Yes, the Michigan Department of Health and Human Services requires that changes in your household, including changes in income, must be reported within 10 days of the change. You can view a guide to when, how, and what household changes you are expected to report here: DHS Benefits Info Sheet.pdf – Google Drive.

Why do you need so much of my personal information? Is my data safe with you?

We completely understand your hesitation about sharing personal data, and we want to assure you that your privacy and data security are our top priority. We only collect the minimum information required to run a fair, accountable, and successful program.

Here is a breakdown of why we need each type of information and how we protect it:

1. Contact Information and Lottery Success

We collect your Name, Home Address, and Phone Number specifically to ensure reliable contact if you are selected in the lottery.

  • Purpose: If you are drawn, we need to reach you immediately and reliably to get your W-9 and direct deposit information. Email just isn’t always reliable with how much spam we all get these days. Without confirmed contact information, we cannot guarantee you receive the stipend.
  • Security: Access to this personal contact information is strictly limited to the Child Care Back Office (CCBO) staff on a need to know basis for the sole purpose of program administration and communication.

2. Employment Verification (Avoiding Sensitive Documents)

We ask for your Employer’s Details and Job Title so that we can verify your eligibility behind the scenes.

  • Purpose: This allows our staff to confirm key eligibility criteria (such as licensed status and minimum hours) directly with the provider and through state databases. This process is designed to avoid burdening you with having to upload highly sensitive documents like personal tax forms or pay stubs.
  • Self-Verification Backup: We maintain the option for self-employed providers or those whose employers do not respond to submit redacted documentation for verification.

3. MiRegistry ID and State Accountability

Your MiRegistry ID is the one piece of applicant data that must be shared externally for verification.

  • Purpose: The MiRegistry ID is required by our state partner (MiLEAP) to confirm that you are an active member of Michigan’s early childhood workforce system, which is a core eligibility requirement.
  • Limited Sharing: The MiRegistry ID is the only piece of applicant data shared with the state’s project manager for this specific verification purpose. Your name, address, phone number, and employer details are not shared with the state.

Final Assurance on Data Safety

The data we collect is safeguarded in compliance with all state and federal requirements and stored on secure, encrypted servers. We promise to use your data only for the explicit purpose of administering this stipend program, including verification, payment, and required grant reporting (which uses only anonymous, aggregated statistics).

Can I apply for a stipend in more than one region?

If you are eligible for a stipend from the Wage Initiative in more than one region (for example, if you work part time at two childcare programs that are each located in a different region), you can apply in more than one region. However, educators are only eligible for a stipend at ONE location. Applications will ask if you plan to apply in more than one region, and stipend awardees from each region will be cross-referenced to prevent an individual from being funded twice.

I'm an Aide. Am I eligible?

Yes! Aides are eligible to apply for the Wage Initiative. When filling out the application, please slect “Assistant Teacher/Family Child Care Assistant” for your role. The categories available in that question are based on the data requested by the grant funding this iniative.

If I'm selected to receive a stipend, do I have to participate through August 2027?

No. This is not the subscription that won’t go away. We understand that every educator’s situation is different and that situations can change. If you are selected to receive a stipend and later need to stop receiving it at any time or for any reason, all you have to do is email us at wages@childcarebackoffice.org

What happens if I change jobs while receiving a stipend?

Stipends are specifically tied to your employment at the program verified in your application. Applicants must agree to promptly notify the Child Care Back Office (CCBO) if they leave that employer for any reason. The stipend does not follow you, even if you move to another qualified childcare position. Upon leaving your position, you will be removed from the active recipient list, but may reapply to the lottery pool to be considered for future stipend payments.

I work at a school year only program. Am I eligible to apply?

Yes, absolutely! Educators working in programs that follow a school-year calendar (like many GSRP, Head Start, or traditional preschool programs) are encouraged to apply, provided you meet the other eligibility criteria (MiRegistry membership, primary duties in the classroom, etc.).

Since your employment schedule differs from year-round programs, you can determine if you meet the $17.00 per hour wage threshold by calculating your effective hourly wage over a full year:

Wage Calculation for School-Year Programs:

  1. Determine Your Total Annual Contracted Salary: Use your gross pre-tax salary for the entire contracted year (e.g., September through June). If you’re paid hourly, multiply your hourly rate by the total number of hours in your contracted year.

  2. Determine Your Projected Full Year Hours: This is the total number of hours you would work in a 52-week year if your schedule were year-around.

    • Example: If you are contracted to work 30 hours per week for 38 school weeks, your Projected Full Year Hours are 30 x 52 = 1560 hours.

  3. Calculate Your Effective Hourly Wage: Divide your Total Annual Contracted Salary by your Projected Full Year Hours.

    • Example: Your Total Annual Pre-Tax Salary is  $35,000 for 40 hours a week, September through June. Your Projected Full Year Hours are 2080 hours. Your Effective Hourly wage is $35,000 / 2080 hours = $16.83 an hour

If your calculated Effective Hourly Wage is $17.00 or less, you meet the wage eligibility requirement.

I'm the business owner AND fill an eligible role. How do I calculate my hourly rate?

This is a great question! As a self-employed owner/operator of a licensed home-based childcare program, your wage is calculated based on your business’s profitability rather than a traditional paycheck.

To determine if you meet the $17.00 per hour wage threshold, you must calculate your effective average hourly rate using your program’s business records over a typical month.

The Formula

Your effective hourly rate is determined by dividing your program’s Net Profit by the Total Monthly Operating Hours.

How to Determine Your Numbers

  1. Average Monthly Net Profit:

    • This is your program’s Total Monthly Revenue (all tuition, grants, and fees collected) minus your Total Monthly Business Expenses (utilities, food, insurance, supplies, etc.).

    • You can use the ‘Net Profit’ figure found on your IRS Schedule C (Profit or Loss From Business) as a verified annual figure, then divide it by 12 to get your average monthly profit.

  2. Average Total Monthly Operating Hours:

    • This is the total number of hours your program is open and operating with children scheduled in your care during an average month.

Example Calculation

If, in a typical month:

  • Your Average Monthly Net Profit is $3,200.00

  • Your Average Total Monthly Operating Hours are 200 hours (e.g., 50 hours/week x 4 weeks)

  • You would calculate $3,200 / 200 hours = $16 / hour

In this example, the resulting effective hourly rate of $16.00 meets the eligibility requirement of being $17.00 or less.

Note: If you are selected for the stipend, you will be required to submit documentation (such as your IRS Schedule C) to verify this calculation.