Studies on Family Language Policy state that the shape of family multilingualism is embedded in diverse conditions within and outside the family, like historical, social and political factors, which influence family language practices. In this regard, the monolingual orientation of early childhood education (ECE) institutions in many European nation states is in tension with dynamic family multilingualism, thereby constituting a potentially conflict-prone relationship. In this article, we would like to illustrate this with regard to language policy in ECE institutions in Germany, drawing on empirical data from a new teaching research project on Family Language Policy of multilingual, (newly) migrated and/or refugee families. Our analyses reveal that parents are aware of selection in education based on language as well as a hierarchical language order. Family language practices are shaped against the background of the prevailing language policy in ECE institutions.