Raising a child in the US is getting even more expensive
Former Assistant Treasury Secretary for Economic Policy Michael Faulkender says there is nothing changing to cause a cutback on the inflationary pressures on 'Kudlow.'
High inflation has made the price of just about everything in the U.S. more expensive – including how much it costs to raise a child.
Research published by LendingTree shows that the cost of child care surged nearly 20% between 2016 and 2021, the latest year for which complete data is available. Annual expenses, excluding tax exemptions or credits, hit $21,681 in 2021, versus $18,167 in 2016, the data shows.
«The cost of everything is rising,» said Matt Schulz, LendingTree chief credit analyst. «There’s so much that goes into child care, including rent, payroll, insurance and much more. When all those costs shoot up, the overall cost of child care does, too.»
That means the typical family is spending about $237,482 over the course of 18 years to raise a child – and that is excluding the cost of college.
WHY ARE GROCERIES STILL SO EXPENSIVE?
Harper Quinn, 6, who attends Mar Vista Elementary School, enjoys her day off at the Mar Vista Recreation Center in Los Angeles on Aug. 21, 2023. (Genaro Molina / Los Angeles Times via Getty Images / Getty Images)
Another LendingTree study shows that about 75% of parents think that having and raising children has been far more expensive than they expected. In fact, more than half of parents – about 55% – admit to having gone into debt in order to pay for child-related expenses.
Families with young children say the biggest financial burdens of childrearing are food (21%), child care (19%) and clothing (13%).
Child care may soon get even more expensive.
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