Apply for a preschool fee discount—previous discounts are expiring

Image of a father and child in a preschool cloakroom.

A new fee schedule and new discount categories for Reykjavík preschools take effect at the start of next month. Previous discounts are expiring, so it is crucial to reapply before April 1.

The Reykjavík Preschool Initiative takes effect April 1, 2026. Previous discounts for students and disabled people are being eliminated, and discounts for single parents are changing. Going forward, the income of parents and guardians will determine their discount category.

Under the new fee schedule and Rules on Preschool Services, parents of children with legal residence in Reykjavík who attend a Reykjavík City preschool may apply for a day care fee discount if their income falls within the limits set by the fee schedule.

The new fee schedule provides up to 36 hours of free preschool per week. Families only pay for meals if their child's hours of stay fall within that limit. Tuition for 38 hours will also be very modest—around 7,000 króna per month.

Parents and guardians who apply for a discount before April 1 will receive it when the new fee schedule takes effect on April 1, 2026. The employee discount will be 50% of tuition, and the sibling discount remains unchanged.

More about discount categories

All single parents can apply for a discount based on specific income thresholds. The tuition discount for single parents ranges from 40% to 75%.

  • The lowest income threshold applies to annual earnings under 8 million króna and provides a 75% tuition discount.
  • The second-lowest threshold applies to annual earnings between 8 million and 13 million króna and provides a 50% tuition discount.
  • The highest threshold applies to single parents with annual earnings above 13 million króna and provides a 40% tuition discount.

For married couples and cohabiting partners, discounts of 20% to 40% of tuition are available for households with annual earnings under 18 million króna.

  • The lower threshold applies to annual earnings under 11 million króna and provides a 40% tuition discount.
  • The higher threshold applies to annual earnings between 11 million and 18 million króna and provides a 20% tuition discount.

Income-based discount—To apply for a preschool day care fee discount, a parent must consent to the processing of their personal information to verify that their income falls within the thresholds set by the Reykjavík City fee schedule. The thresholds are based on the total income reported on the tax return filed with the Director of Internal Revenue.

From April 1, 2026, through June 30, 2026, parents must confirm that the information they provide matches their total income from the previous year's tax return. For a married couple or cohabiting partners, only one parent needs to submit the application and provide the household's total income from their tax return.

Application process—how to apply for a discount

  • Applications are submitted through the Vala preschool portal. The system retrieves basic information from Registers Iceland.
  • Applications are processed automatically based on the income thresholds.
  • From July 1, 2026, parents will be able to consent to automatic data collection from the Director of Internal Revenue. For married couples and cohabiting partners, both parents must consent to data collection.

Terms and processing of personal information (April 1–June 30, 2026)

Where to direct questions or concerns