I closed for 3 days when my grandpa died, it was sudden and unexpected. I had emailed the families during the daycare day letting them know he passed and that I would need to close to travel out of town for the funeral that I would let them know as soon as I heard. If I recall this was a Friday and we ended up leaving that weekend and I closed the Mon-Wed.

Do what you need to do for you and your family, what gives you best closure with your loss. The daycare families will have to manage. They all chose home daycare with the understanding that they needed their own back up care for emergencies such as this.

I refunded my families for the 3 days fees. I charge for my vacations but not for my sick days, as my sick days are last minute and are more of an inconvenience and I am less stressed knowing they aren't paying for my last minute closure. Since the funeral was closer to a sick day closure than a vacation day I opted to refund them. Hopefully your contract covers this so you know what to do!