We love Kissaluvs fitteds! They are the most absorbent diapers out there (but are around $11 a peice). They are sold locally at Peapods in St. Paul. Prefolds had us changing every hour! With kissaluvs, we get through 3-5 hours and with a doubler, the whole night!! We needed about 20 to do laundry every other to every 3 days. But, with a newborn, you may need closer to 30 (they say 12 diapers a day for a newborn). We found Motherease airflow covers to be the most waterproof cover and needed about 4. We would rotate and let them dry inbetween changing, only washing when poop got on them. Those are about $35 for 4, purchased on motherease's website. Also, for a solely breastfed or formula fed baby, no rinsing of poop is required! If you want to use an all-in-one, we found Kushies Ultras to be the best bargain at around $10 each. We do add a doubler to those (a motherease sandy's "liner") in order to get them to last 3-4 hours. They are $1.65-$2 each.
I figured, buying cloth diapers ends up to cost the same as buying disposable (using nice cloth diapers rather than prefolds). But, you can cut costs in two ways: buy used, then wash and use; sell your diapers afterward (or save for another child) to recover some of the cost. Used diapers can be bought and sold on craigslist or on diaperswappers.com.
As for daycare, I've heard of a few daycares that are willing to use an all-in-one (they're easier to use--just velcro, and no snaps or cover AND diaper to put on). I use those silly plastic zipper bags that some purchases come in to store used diapers in while on the go! On the otherhand, you could disposable at daycare, cloth at home and then get away with a smaller stash of clth diapers.
Best of luck! It is a bit complicated, but well worth it! I love knowing that all those chemicals aren't next to my baby's skin all the time. And I feel like a good person washing my diapers rather than throwing mountains of them in the landfill. Sure, a little extra laundry is required. BUT.... no midnight runs to store for diapers, no scrounging for $10 bucks every few days to buy them, no feeling crappy because you're spending so much money on something you just throw away, and it's a great example to set for your kids! Good for you for giving it a go! Please write me back if you have any questions about washing ect.
:) M.