What the Cost of Raising a Child in America Tells Us About Income Inequality

Source: Kyle Chayka, Pacific Standard, August 20, 2014

You’ll spend nearly a quarter of a million dollars to raise a kid in the United States, or about five times the annual median income. … The initial price tag may induce sticker shock, but embedded in the research are important lessons about the investments we make in our children, particularly across income levels. Does how much money you make impact what you prioritize as your kids grow up?

1. High-Income Families Spend Over Twice as Much as Low-Income Families on Their Children …
2. Single Parents Spend Less on Their Children, But Not Much Less …
3. Housing Is a Universally High Expense …
4. Cost Depends on Region …
5. Plan Carefully …