I am so sorry for your loss.
I would take the day of the service off and at least the day after. The day of the service will be so busy, you will want (I know I would) a quiet day after just for you and any people you want near you.
Think about YOU. Daycare parents will understand, or they won't but this life event is more important than their feelings. Crediting them towards next month is what I would day
