It’s no secret that raising a child is expensive. In fact, according to new data, on average, a middle-class household spends around $342,584 to raise one child through the age of 17.
That’s over a quarter of a million dollars! Of course, this number will vary depending on your circumstances. But whether you’re spending $200,000 or $300,000, there’s no doubt that raising a child is expensive.
In addition to the cost of food, clothing, and shelter, hidden expenses can quickly add up. For example, childcare is often one of the most significant expenses for young families.
According to a report from the U.S. Department of Health and Human Services, the average cost of child care for an infant in a center-based setting is $9,589 per year. And that’s just for one child! Families with two or more children can easily spend over $20,000 per year on child care.
Other hidden expenses include activities, extracurriculars, and school supplies. Many parents find that they need to purchase new clothes and shoes more often than before they had children.
Children often require more medical care than adults, including doctor’s visits, vaccinations, and prescription medications. And, as any parent knows, children can be expensive to feed! It’s essential to budget for these items carefully to avoid financial stress.
For many young adults, raising a child is a daunting prospect. Between student loans, rent, and the cost of living generally, it can be tough to save up for anything – let alone a child.
As a result, more and more millennials are putting off having children until they are financially secure. Some experts believe that this trend is one of the reasons why the birth rate in developed countries has been declining in recent years.
While it may be cost-effective in the short term to delay having children, there are also potential risks associated with waiting too long to start a family. So while cost is certainly a factor to consider, it’s crucial to weigh all the pros and cons before deciding.
Given these figures, it’s no wonder that millennials are putting off having children. Some choose to wait until they’re more financially stable, while others opt not to have children at all.
Whatever the reason, it’s clear that the cost of raising a child is a significant factor in the decisions millennials make about starting a family. Many young adults simply can’t afford to start a family right now.
For anyone considering starting a family, here is an exhaustive examination of the financial impact of bringing children into this world today in this era of economic uncertainty.
We look at everything from the cost of food, clothing, education, housing, and childcare throughout a child’s 17 years; to how the cost of raising a child has changed in the last 30 years.
A detailed analysis of how much each of the above categories increases as a child grows up and enters adolescence and a geographical comparison of child-raising costs across the U.S.
Here are some tips to make raising a family less expensive.
