A lot of providers are planning to charge a larger rate for the under age 2 group only based on how few spaces there will be parents will have no choice but to pay the fee so you might want to consider that option. Then keep the over age 2 rate competitive to attract the older child. Also many only raise their rates as new families start care so charging higher rates is something that will happen over the course of the year. Even if you take on a child in January and then it is April when the next starts you can charge that child whatever amount you want so maybe keep the fee lower to get in a couple kids and then raise it for you other space if it doesn't happen right away. A providers stop keeping a space open for a maternity leave there will eventually be families with a one year old and an older sibling when mom returns to work so it will start to balance out a couple years from now. In the meantime though don't raise the rates to totally offset the loss of income or you will price yourself out of the market.