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To terminate a contract with a daycare, you can do so without providing a reason. Simply notify the daycare in writing about your decision to end the contract. Locate the cancellation section in your daycare contract; if it’s absent, a simple letter stating your intent is sufficient. Your contract will end on the date the notice is sent. If you've paid in advance, the daycare has 10 days to refund your money, but they may charge for services already received. Additionally, a penalty may be imposed, capped at 10% of the cost for any unreceived services, but cannot exceed $50. For example, if 16 weeks remain, this cap applies.