Cost of Raising Children on the Rise – Report
The USDA has released its annual Expenditures on Children by Families report, and it comes as no surprise that the cost of raising a child has increased by 2% in the last year. The figures are based on the costs of necessities like food, shelter, and clothing for a child born in 2010, reaching the age of 18. Categories such as transportation, health care and education saw the biggest increases.
Want to know the actual figure calculated by the USDA? You'd better be sitting down when you ease past the jump. Seriously, brace yourself as you click "read more."
A middle-income family with a child born in 2010 can expect to spend about $226,920 ($286,860 if projected inflation costs are factored in) That's $12,606 per year.
Families with higher incomes spend more, because they tend to spend more on non-necessities like iPhones, DVD players, and private school, according to the report. Households with annual incomes above $100,000 can expect to spend over $377,000 in order to get a child to the magic age of 18.
You can use this calculator, and factor in your income and other variables to find out approximately you'll spend to raise your kids.