Abstract: Based on the assumption of integrating pre-school year education into compulsory education,the paper proposes a three-step strategy to implement this policy. First, the rural areas in the central and western China will take the lead in implementing pre-school compulsory education in 2020. Second, in 2025, midwest regions and rural areas in eastern China will include pre-school year education into compulsory education. And third, pre-school compulsory education will be achieved all over China in 2030. Meanwhile, drawing on the measured results of urban and rural school-age population of preschool education in different provinces in different years,we measure the required educational fund in achieving pre-school year compulsory education at different phrases. The results show that educational fund needed in China will be 276.6 billion yuan, 390.5 billion yuan and 440.2 billion yuan respectively in the three years respectively. Given the implementation of this policy, the educational fund we need will be increased by 10 billion yuan,27 billion yuan and 88 billion yuan respectively.

Key words: three-step, pre-school year compulsory education, free pre-school education, educational funding