Start Saving Now Because Stunning Research Reveals It Will Cost More Than $240,000 to Raise Your child
We all know raising a child isn’t cheap. But now we have an idea just how much we’re talking about.
The Department of Agriculture has come out with figures showing a middle-income two-parent family will spend a total of $241,080 raising a child born in 2012 over the course of 18 years – that’s up 2.6% from last year. It also represents a huge jump from the $195,690 (in 2012 dollars) it cost back in 1960.
The wealthier the family, the more money they’ll cough up raising their little ones. The richest one-third of families will pony up almost $400,000, while families with the lowest income will pay nearly $174,000.
So, why exactly does having a child bleed our wallets dry? Well, the biggest cost is housing, with 30% going towards putting a roof over Junior’s head. And with so many parents getting help raising their kids, 18% of expenses dedicated to children goes to childcare – that’s a sharp increase from the 2% in 1960.