Today’s Cost Of Raising A Child
Nobody said raising children was easy or cheap. Nope, kids are expensive and that goes for beyond the basic necessities.
Besides daily needs, parents have to worry about college which is slowly creeping up in tuition price as the years go on.
Currently, it costs over $230,000 dollars to raise a child through 17 years old, according to NowThis Money, and that number doesn’t include the cost of an undergrad degree at a college.
According to Collegedata.com, kids who go to an in-state college will pay roughly $9,970 dollars a year in college tuition. For those who decide to go out-of-state, it costs an average of $25,620 dollars to attend school each year.
And that’s just for tuition. The estimate does not include the cost of living in the dorms or meal cards. Not to mention the grand total is just for a 4 year undergrad degree.
Should they decide to continue with their education and get a masters or PhD, the cost will only continue to add up. Depending on what type of masters they pursue, it can cost anywhere between $30,000 to $120,000 dollars.
So, what can new parents, or parents inching closer to college, do to help save some money along the way? Especially when the cost of raising a child continues to increase.
When it comes to little kids, Chase Bank and NowThis Money suggest to be bargain shoppers and don’t spend too much money on items they will grow out of quickly.
Clothes, shoes, and toys can all be bought at second-hand stores or retailers who offer great deals. Look at purchasing furniture that converts into beds from a crib, that way it can grow with them.
Even strollers and carseats all come in models that convert with the child as they age, so its use is prolonged. Although it can seem overwhelming, consider grabbing a Costco membership and buying in bulk.
Buying in bulk can save you money each month on your grocery bills, and growing children tend to go through food fast! Especially growing boys.
Lastly, one of the biggest things parents can do is to save whenever possible, especially when the kids get money for birthdays and holidays.
It might be tempting to let the kids spend their money, but teaching them early what it means to save money only instills solid financial literacy, a tool that will be extremely useful as they get older and more independent.
Opening a savings account and depositing gift money into it will help start a nice cushion for when they are ready to graduate high school and head off to college.
Sticking to these little habits will help ease some of the cost as they grow for the years to come.