Everybody knows that having kids is expensive. When people prepare to have children, they should analyze their finances first. A popular online parenting forum user asks parents about the unexpected factors that cost them lots of money when they have kids, and people share their opinions on the thread.
Daycare is one of the biggest money guzzlers that come with having children. Some families prefer to have one parent stay home than send their three or more kids to daycare because the cost of daycare is more than the salary of one of the parents. Each year, parents in the U.S. pay an average of $12,000 for daycare for a single infant!
In America, straight teeth are a pillar of beauty standards, which is why many kids in middle school get braces. While sometimes braces are used to treat problems in the mouth, it's typically a cosmetic procedure. Braces can cost between $5,000 and $7,000 for one child.
Well-rounded kids get to engage in extracurricular activities, which many families can't afford. Sports like baseball and soccer have fees to join the team, travel, and pay for uniforms. But other hobbies like horseback riding, rowing, and skiing cost an arm and a leg for all the equipment involved.
4. Career Stall
One of the biggest money-sucks that potential parents don't think about is the loss of wages from taking time off to care for kids. Not only that, but often one parent will have to quit their job to care for the children, meaning they both lose their wages and pause their career advancement, which means they won't get promotions as quickly as they could have without kids.
5. Birthday Parties
Kids love to celebrate their birthdays in style, which often means hosting a party with a bounce house, entertainer, or other activities that cost money. While throwing your kid a party on a budget is possible, you also have to consider the cost of their gifts. If you have three kids and spend $500 on their yearly birthday, that's $1,500.
6. Summer Camp
You must still work to pay the bills when kids aren't in school during the summer. That means you'll have to hire a nanny or send the kid to summer camp, which costs a ton of money. At some camps, just one week can cost $500, so if you have multiple kids who need care during the long summer months, that cost adds up fast.
Groceries cost more when you have more mouths to feed. One user shares that he and his wife used to spend “$150 a week for groceries for the two of us.” But now that they have three kids, the grocery bill totals up to $300 each week. “Your teenage son may eat up to $100 worth of eggs a month. You really gotta ask yourself if you're ready for that,” adds another contributor.
8. Larger Housing
When you live alone or with your partner, you can make it work in a small apartment. But when you bring kids into the mix, you'll probably want to upgrade to a larger place. One commenter shares, “We probably spent over $100,000 just to upgrade our house and car, money that would be in my savings if we stayed childless.”
9. Eating Out
While eating out at restaurants and ordering takeout is already quite expensive solo, paying for your kids' meals adds up quickly, even at fast food chains. One respondent claims, “It costs $18 at McDonald's for me and wife, but $42 with kids.”
10. Mental Health
Did you know that about 1 in 7 kids in the U.S. suffer from a mental health condition? To keep kids mentally and emotionally well, they will need expensive therapies and medications that insurance often doesn't cover. Therapists can cost between $100 to $200 per hour and often meet with their clients once weekly.
11. College Fund
While you don't have to pay for your child's tuition, many parents like to help get their kids through college by saving money for their college funds as they grow up. But college costs a ton of money every year. On average, one year of college costs over $20,000 in the U.S., not to mention additional fees like housing, food, and activities.
12. Medical Services
Every parent wants their kids to grow up healthy. Doctors are expensive in the U.S., especially for those who are uninsured. Without insurance, a simple checkup can cost $300. Plus, the costs begin to skyrocket if your kid goes to the hospital for a broken bone or requires a specialist to treat a medical condition. And don't even get me started on the dentist!
12 Money Mistakes Parents Make That Could Ruin Their Kids’ Financial Future
As parents, we want our children to have a bright and secure financial future. However, many of us unintentionally make money mistakes that can negatively impact our children's financial well-being. From failing to save for college to ignoring the importance of budgeting, parents can fall into many common financial pitfalls.
12 Strategies to Begin Creating Generational Wealth
Creating generational wealth is a goal many of us aspire to, but few know where to start. But it's not rocket science or something reserved only for the wealthy elite – it's achievable for anyone willing to put in the effort and take a long-term approach.
12 Pieces of Financial Advice for the Next Generation
Every generation can improve themselves in countless ways thanks to the advice of those who came before them. Regarding financial understanding, men and women are open about letting the next generation know how to navigate those tricky waters! Recently, people converged in an online discussion to give sound financial advice aimed squarely at the next generation.
12 Items That Are Expensive in America But Cheap Everywhere Else
Even though the USA is known for its freedom and opportunities, it can also be expensive to live in. As one of the world's wealthiest countries, almost everything here is more expensive than in other nations. It makes sense because a country usually has a more significant demand when it becomes a superpower. This demand gets money from the citizens and companies in the country, leaving everyone with less purchasing power than in other parts of the world.
Money-Saving Hacks for Parents: 8 Ways to Save Money on Kids
Raising children can be expensive, but it doesn't have to break the bank. With a little creativity and some savvy shopping skills, you can save much money on your kids' needs. From food to clothing to entertainment, there are plenty of ways for parents to cut costs without compromising their children's quality of life.