Question of the Day: What is the total cost of raising a child from birth to age 18?
You might want to get the IOUs ready for the folks who raised you...
Answer: Around $240,000
- Do you think the financial investment in raising a child is justified by the emotional and societal benefits of having children? Why or why not?
- How does the cost of raising a child impact a family's financial stability and future planning?
- What economic factors should parents consider before deciding to have children?
Behind the numbers (CBS):
"Millions of Americans struggle to put money away, leaving them empty-handed as they approach one of life's key financial milestones.
No, not retirement — having a child, which new research shows is getting more expensive by the year. Raising a child from birth to age 18 now costs an average of $237,482, according to LendingTree. And as with other major household spending categories, like health care and college, the tab for bring up kids is surging, with the financial firm finding that the average annual cost of child-rearing stood at $21,681 in 2021 — up almost 20% from 2016."
The COMPARE: Needs vs. Wants activity will have your students thinking critically about their budgeting priorities.
Looking for more budgeting resources? Check out the Budgeting unit page.