Every parent knows that raising a child is expensive, but the actual numbers might surprise you. For data-driven parents, understanding where the money goes is the first step toward smart financial planning.
The Bottom Line: $300,000+
For a middle-income family, the total cost of raising a child to age 18 typically falls between $280,000 and $318,949. This translates to over $1,800 per month—a significant line item in any family’s budget.
Where Does the Money Go?
Location Matters
Income and Family Size
Housing is the largest expense at 29%, accounting for the cost of a larger home, whether through mortgage, rent, or utilities. Food (18%) and Child Care (16%) are the next biggest expenses.
Families in the Urban Northeast face costs nearly double those in rural areas and Southern states, primarily due to housing and child care differences.
Higher-income families spend more on education and activities. Meanwhile, each additional child costs 24% less on average due to hand-me-downs and shared resources.
Key Takeaways
- Housing is your biggest expense (29%)
- Location can double your costs
- More children cost less per child
- Early planning is essential
The cost of raising a child is more than line items—it’s an investment in a lifetime of love and memories.
Data sources: USDA Expenditures on Children by Families Report, Brookings Institution analysis.
→ Try the Ojakee app for personalized family budgeting tools