USDA Data finds that Raising a Middle-Class Kid will cost nearly $286,000
Child care costs have outpaced inflation as of late. A rise of 5.03% YOY in 2020 proves just that as in the same time frame, inflation rose 1.2%...
One of the biggest struggles for adults in the United States is raising children. As the situation carries mental and physical strain, it also carries massive amounts of economic strain as well. Now, more than ever, families across the nation are feeling the pressures on their pockets to raise a child.
Currently, 12.5 Million + children in the United States live in poverty. Middle-class families are also becoming a struggling group of Americans paying for everyday expenses.
In 2015, the United States Department of Agriculture published data that is now being used to estimate the expense of a child from birth through age 17 to be nearly $233,610 (in a middle-income family). Add inflation into the mix, and in 2022, that figure reaches $286,000.
Child care costs have outpaced inflation as of late. A rise of 5.03% YOY in 2020 proves just that as in the same time frame, inflation rose 1.2%.
“The United States has just been very reluctant, very conservative when it comes to these kinds of family policies.”
Shawn Fremstad, a senior fellow at the Center for Economic and Policy Research, said.
“One of the issues with child care in the U.S. is it’s a patchwork system. We have programs that are fully subsidized for eligible children. ... We have tax credits that subsidize a portion of child care costs for higher-income families. We also have block grants to states to help them expand access. The problem with all of these systems is that, with this multitude of approaches, we’re not getting close to universality or affordability.”
Lauren Bauer, an economic studies fellow at Brookings Institution, said.
“The fact is that sending an infant to day care in many places across the country could be significantly more expensive than in-state public tuition to send them to college.”
Elise Gould, the senior economist at the Economic Policy Institute, said.