This study aims: 1) to find out the role of caregivers in forming the morals of children in Panti Asuhan Yatim Putra Islam Yogyakarta, 2) to determine the morals of foster children in Panti Asuhan Yatim Putra Islam Yogyakarta, and 3) to investigate the supporting factors and inhibiting factors for the role of caregivers in forming the morals of children in Panti Asuhan Yatim Putra Islam Yogyakarta. This study used a descriptive qualitative approach. The type of research used is field research. The research was carried out at Panti Asuhan Yatim Putra Islam Yogyakarta. The subjects of this study were three caregivers of the orphanage and several foster children. The techniques of data collection used are observation, interviews and documentation, the analysis stages used among others are data collection, data reduction, and conclusion drawing. The result of the study indicates that the role of caregivers in forming the morals at Panti Asuhan Yatim Putra Islam Yogyakarta consists of three methods, namely: exemplary methods, habituation methods and reward and punishment methods. In addition there are also activities that support the role of caregivers in the moral formation of foster children, such as: doing Tahajud (night prayer), qiroah (art of reciting), fasting Monday and Thursday, khutbah (Islamic sermons), madrasah diniyah ((Islamic elementary schools), picket, and helping Bibi and Pak Tukang (doing household chores). There are five references to the process of moral formation at the Panti Asuhan Yatim Putra Islam Yogyakarta, namely: making the curriculum improvement for Islamic education, formulating the objective of moral education, choosing the right method of moral education, preparing qualified educators, and giving motivation to students. Foster children at Panti Asuhan Yatim Putra Islam Yogyakarta already have good manners in accordance with the scope of Islamic morality, namely: morals towards God, morals towards the person, morals towards others, and morals towards the environment. There are supporting factors for the role of caregivers in the moral formation of children at Panti Asuhan Yatim Putra Islam Yogyakarta, including: adequate human resources and facilities and infrastructure that are very supportive. In addition, there are also inhibiting factors for the role of caregivers in the moral formation of children at Panti Asuhan Yatim Putra Islam Yogyakarta, including: personal factors and environmental factors.