It happened around 6:30 p.m. on the 3200 block of D. Street in the city's Kensington neighborhood.
Police say the 24-year-old victim was on the front steps of his home when two gunmen fired about 25 shots.
The victim suffered multiple gunshot wounds to the head and torso. He was taken to Temple University Hospital, where he was pronounced dead.
The toddler suffered graze wounds to the legs and head, according to police.
A family member told officers the father may have been holding the child and dropped him when the gunfire erupted.
The suspects, who were wearing all black, were caught on video arriving and fleeing on a red scooter.
No arrests have been made.
The victim has not been identified.
The toddler was taken to an area hospital in stable condition.
Anyone with information is asked to call police at 215-686-TIPS.
(Editor's note: Police originally said the toddler was not shot during the incident. Police say further investigation revealed the child suffered graze wounds.)