Childcare Landscape Study - Flipbook - Page 64
Davidson County Child Care Landscape Study Results
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To assess whether wages in greater Davidson County are sufficient to cover basic living
expenses, we compare educator wages to the local ALICE Household Survival Budget
Threshold,h or the estimated minimum hourly wage required for a single adult living alone
to meet basic needs without assistance.19 In Davidson County, the ALICE Threshold is
$22.50 per hour, a threshold higher than many surrounding counties in Tennessee due to the
higher cost of living in the Nashville metropolitan area.20
Across the region, we estimate that on average across center-based programs, approximately 91
percent of educators earn wages below the ALICE Threshold, meaning that approximately 9 in
10 educators earn less than the hourly wage needed to cover basic household necessities such as
housing, food, or healthcare, without assistance, which is consistent with national trends.21
9 in 10
educators earn wages
below the ALICE Threshold
in an average center
Wages vary across neighborhoods. Centers located in communities with average incomes
above $152,000 pay higher average wages ($20.20 per hour) than centers in middle- and lowerincome areas (approximately $16.60 per hour). Educators across all neighborhood income
groups, however, continue to earn wages below the local ALICE threshold.
High Turnover, Limited Benefits, and Narrow Operating Margins
Shape Greater Davidson County Child Care Programs
Within the child care system, staffing stability, access to workplace benefits, and financial
conditions impact the environments in which early childhood educators work.22 Together,
these conditions influence whether programs can retain early childhood educators, support
educator wellbeing, and maintain program operations over time.23,24,25
More Than Half of Child Care Programs Lose at Least 20% of Educators Annually
High educator turnover is a central issue across center-based programs in greater Davidson
County. Based on data from the Child Care Provider Survey, we estimate that center-based
programs experience an average annual turnover rate of 32 percent. Put differently, across
h ALICE is an acronym for Asset Limited, Income Constrained, Employed, and represents households with income above
the Federal Poverty Level (FPL), but below the basic cost of living. The Household Survival Budget reflects the minimum
cost of household necessities (housing, child care, food, transportation, health care, and technology) plus taxes, adjusted for
all US counties and various household compositions.
Prenatal-to-3 Policy Impact Center 2026
www.pn3policy.org