My daughter in law has just opened a day home in Halifax so I can answer some of these questions even though I'm in PEI.

Do you need to register anything with the city?
Some areas in HRM require a permit. The information is not available on line. You have to go to a Planning Department and check for your address. It's $50.00.

Do most people have a business account/do they work as "independant contractor" when it comes to taxes?
I don't have a business account. I just use my personal bank account. Day home operators are self employed/independant contractors. You declare the fees as your gross business income. Deduct any allowable expenses that you have a receipt for and what's left is your profit which is also your personal income.

Is 15 percent of income good enough to cover taxes/cpp?
That depends. It depends on your expenses because the higher your allowable costs, the lower your profit which might mean you are in lower tax bracket. But you have 6% (in Nova Scotia) CPP to pay. Normally an employer would contribute half of your CPP contribution but because you would be self employed, you have to contribute the full amount. The best rule is to save the fees from one of your clients and if there's anything left over once you pay your tax bill, you can dump it into TFSA or similar.


I will say that unlicensed care in NS doesn't seem to require a police check, or insurance but as a provider, parents will expect to see a police check (including child abuse registry). Your home insurance will be void if you make a claim and they didn't know you had a home based business so I'd strongly suggest day home insurance too.