How much income is necessary to raise a kid?

[Baz]

I don't have any 2 legged kids so was hoping someone could help with this question.

Let's assume you are raising them just through high school and they are on their own at 17-18. No college tuition pre-payment or anything - just get 'em through high school.

Would $1K extra per kid per month on average cover things? That's $12K per year. Doesn't sound like enough to me but what do I know?

I guess expenses would change as they got older.

Does gender make a difference?

[Noah930]

Aren't there actuarial tables that claim it costs an average of $250K to raise one child? And if you live in NYC, it about doubles to $540K. (There was a yahoo article yesterday IIRC.)

As a parent, the thing I worry about the most (regarding the finances) is tuition. That continues to spiral out of control. There are local private schools that charge in the low-20s for elementary school. Private highschools are in the 30s. Outside the scope of the question you posed, but if you wanted to save for your kid's college--have all 4 years's tuition saved up by the time he/she enters as a freshman at a private 4-year school--you need to start setting aside about $1K per month the moment your kid is born!

[Noah930]

Article is a couple years old, but it's not getting any cheaper.

Average cost to raise a kid: $241,080 - Aug. 14, 2013

[speeder]

The answer is really dependent on where you are raising the child. If you live in a large city like LA or NY, (which are already a lot more expensive to live), and want to send your kid to private schools, it's a fortune.

In the Midwest or a smaller town, sending them to public schools, a hell of a lot less.

[LEAKYSEALS951]

I have a 3 year old. It's about $850 a month for 4 days a week daycare. You need to ask my wife about food, clothing, and health insurance cost. I had some money saved so I paid off her college in a 528 plan (about 54,000). The biggest factor isn't just money- it's time and energy. You need a lot.

[Scott R]

25k a year for private school, k-8. But worth every penny.

[rattlsnak]

I have two kids in college this year. Room and board has out climbed tuition years ago.

[MRM]

You can spend as much or as little as you want. Consistency is more important than money in the out me of the child. If you treat him consistently with rewards and punishments he'll turn out fine. If you set up inconsistent rewards and punishments you'll get a psycho kid no matter how much money you spend on him.

Having said that, it was cheaper for my wife and I to buy a house for my in laws to live in and to pay their expenses and have them take care of the kids rather than pay for day care and before and after school care. Here in the Midwest where public schools are excellent (I will not send my kids to Blake) I'd say that $250 is watching the pennies pretty carefully.

More money doesn't get you a more successful kid but it does buy you a lot of conveniences that make your life easier.

[bpu699]

Having kids isn't about money...

You should be asking how much TIME it takes. To raise a child properly, you need to give up most, if not all, of your free time and life. Your life is never the same.

You will own cars you never drive. Have friends you never see. And hobbies you never engage.

And, it's totally worth it. Some folks spend little time with their kids. But, then why have them in the first place?

[aschen]

My wife is stay at home and I don't plan on private schools for the kids. 1 k per kid per month sounds a bit high to me in this context.

Factoring in the potential loss of one income conplicates things and I wouldn't want to have a kid without decent health insurance.

The kiddos certainly bring me more joy than anything material however

[jyl]

Kids are relatively cheap until college, if you send them to public schools and don't go nuts with the after school activities.

Basically you are talking clothing, a larger house, family medical/dental coverage, some toys and activities, more food, later a phone and a second hand computer, eventually more auto insurance coverage. I think if you include the additional cost of the larger house and coverage, that would be more than an additional $1K/mo, but needn't be over $2K.

Private school, nanny, expensive enriching activities, horses, lavish prom, new car . . . plenty of ways to spend a fortune if you choose/can. Heck, elite private high schools where I live cost $20K/yr plus the additional you are expected to donate.

[look 171]

BPU, that was never his question.

Our kids are now 8 and 10. The additional expense has been the extra mouths to feed so far and a few bucks on toys. No more diapers, baby wipes or formulas. Clothes and shoes make up the bulk of their expenses. They go to a one of the best public schools in the city. After that, I am dead or sell off stuff to pay for their education, or move.

I think we can get by with an additional 1000 bucks per kid for sure. 500 bucks will do as well, but tight. But then, my wife buy stuff and enroll them in activities I have no knowledge of. For now, they aren't too bad but college is going to kick my ass. In 10 years, college will be 100k per year.

[look 171]

A few years ago, I was yapping with a client about their little kid's private school. A 1st grader, 3rd and 6 grader. Their combine schooling cost right under 95k per years. That's not including summer programs. If I pay that kind of money for those grade levels, they better be able to cook me a fantastic meal by the end of 2nd grade. But then, I know what kind of kids they are mingling with, heads of state and other kids with all the connections who eventually get into big name schools, then big name jobs.

[esample]

Whatever you think it will cost, it's not enough.

[crustychief]

Grace has been attending a preschool academy to the tune of 1400 dollars a month. she also needs to eat and wear clothes so that puts it up to at least 2000 a month. We could get by with cheaper "day care " but she is in a structured environment and learning in a classroom setting. I think it is a sound economic decision because I know she is safe, she is around very capable/educated teachers and she loves her school and friends.

[Noah930]

A few years ago I happened to talk to a former professor of mine on the telephone. We got around to talking about family and I mentioned my thoughts about having more kids and the finances involved. He commented that in the end, you spend what you have. Within reason, having another child is not really going to change things much. And I will always remember his comment, "There's value in public school, too.". (This coming from a guy who, combined with his wife, made about 3/4 of a million dollars per year, so he easily could have looked down on public education.)


Rich people have kids. Poor people have kids. I'm not advocating for irresponsibility, but you just have to get on with life and make do with what you've got.

[LeeH]

My daughter just turned 15. I created an expense account with her name in Quicken before she was born. I was pretty good about keeping track at first, but things got blurred over time. To date I've recorded over $70K in expenses. That does not include groceries, family travel, or all medical bills.

It does include books, toys, clothes, school donations, swim lessons, summer camps, some medical bills (broken wrist), subscriptions, Girl Scouts, music lessons, Karate lessons, and lately her cell phone.

[ckelly78z]

It's not how much money you spend on your kids, it's how much time you spend. Some (not all) kids that come from really low budget homes have the love and support from thier families that carry them to adulthood with a good head on thier shoulders. Some (not all) kids that have everything they've ever asked for and more, become some of the most narcasistic, beligerent adults.

I think you will probably spend what you have on making your kid's life better ,and not worry about (or document) how much was spent.

[911_Dude]

If you have to ask, you cant afford one.

[bri450sl]

I have a 13 year old. Never watched what we spent. I just focused on the time spent together and tried to make sure she stays on the right path. My goal is to have her well adjusted and most of all, happy with herself and her life.