Cost of having a child

[chococrazy]

Out of curiousity, I tried to find some stats online as to what the average cost is for a couple to have a child.

I found a Today's Parent article (http://www.todaysparent.com/pregnancybirth/pregnancy/article.jsp?content=20060307_161806_4980&page=1) :

"According to a 2004 report from the Manitoba government, it costs about $167,000 to raise a child from birth to age 18, and that does not include the approximately $44,000 for a four-year university degree (projected to rise to $74,000 by 2019). What does that mean in real terms? According to David Bach, author of The Automatic Millionaire, most couples find their expenses rise 10 to 20 percent after the birth of a child, and if one parent opts to stay home, their income drops."

$167,000 for 18 years is an average of $9277.78.

Do you feel that this is accurate? What were your costs for the first few years of your child's life?

[sdm242]

Actual spending on children (at least mine) does not add up to $9000 a year. That would mean I'd be spending $1500 a month for my two children and there's no way I EVER spend that much. We spend a little extra on groceries, and clothing costs are a little higher (but we're lucky to have two girls so clothing can be handed down). We've signed both the girls up for soccer for the summer but for the most part we search out the free activities (library programs, etc).

However, if you factor in things such a needing a 3 bedroom house instead of a condo, needing larger car (especially if you have more than 2 children), lost income as a stay at home parent or child care costs, life insurance policy, etc I could see that number being correct.

The costs also decrease as you have subsequent children. When our second child arrived, we didn't need a new crib, highchair, and other paraphenilia because we already had them.

[bionicbadger]

wait till your kids play hockey....

[chococrazy]

LOL. I already decided I'd put them through hockey.

So how much does hockey cost, anyway?

[Xax]

"...and if one parent opts to stay home, their income drops."
Who knew? ;)

[Neovingian]

wait till your kids play hockey....
Don't forget the Children's Fitness Tax Credit for for parents of children under the age of 16. This might help.

http://www.cra-arc.gc.ca/whatsnew/fitness-e.html

[gorf]

So how much does hockey cost, anyway?


Mine didn't play hockey but I think I heard something like 400-500 a season for little guys? Could be alot more now, not too sure. Registration, skates & equipment costs, plus lots of time and bingo to raise money for the team.

Anyways, kids cost lots. I can't put a number on it a but it will cost a heck of alot more once we help them get into a home.

[Bullseye]

It's the 'cost' of having both parents not working full time that jacks that number up the most, I'll bet. For us personally, we miss out on $50K per year by having us both work part time instead of full time. Worth it, of course, to be home with our kids instead of putting them into daycare.

[deep]

It's the 'cost' of having both parents not working full time that jacks that number up the most, I'll bet. For us personally, we miss out on $50K per year by having us both work part time instead of full time. Worth it, of course, to be home with our kids instead of putting them into daycare.
We have lost some income because of that, as well. Of course, we've never paid a dollar for child care over the 5.5 years of my oldest son's life, so there is some payback.

To this point, our kids are very cheap (affordable? what's the right word here :)) They don't eat much, their entertainment costs are low (this last year is just the beginning of sports leagues), they don't need a lot of stuff beyond the gifts they receive every 12 seconds (it feels like). Our RESP contributions are definitely the single largest payout during the year for them.

Obviously this will change as they play sports (maybe we'll stick with basketball and ultimate frisbee instead of hockey and polo) start doing things with friends, begin to explore their own hobbies/needs/wants/etc and of course head off to school, but during their younger years, kids are pretty easy....er....financially. :)

[g0f15h]

I'd say if you have to ask the question then your not parent material. A real parent will find a way to make it work.

The quote makes no sense as it states that the average family income is $90K to $180K a year and is at least double the actual stats.

The university/college can cost much less than what you've read. Kids can live at home and go to the local ones. University is more like about $5K and college $3K per year. A 3 year college kid comes out at $15K and your univerity one at $20K. Most teens can save almost that much with a part time job and summer work.

[charliebrown]

I'd say if you have to ask the question then your not parent material. A real parent will find a way to make it work.

The quote makes no sense as it states that the average family income is $90K to $180K a year and is at least double the actual stats.

The university/college can cost much less than what you've read. Kids can live at home and go to the local ones. University is more like about $5K and college $3K per year. A 3 year college kid comes out at $15K and your univerity one at $20K. Most teens can save almost that much with a part time job and summer work.

ouch...guess i overpaid for my degree...$4K per term or close to 10K a yr including books/fees/etc AND this was like 5 yrs ago! Hope our kid will qualify for a scholarship :)

[Xax]

It's the 'cost' of having both parents not working full time that jacks that number up the most, I'll bet. For us personally, we miss out on $50K per year by having us both work part time instead of full time. Worth it, of course, to be home with our kids instead of putting them into daycare.
In our case, because my wife will be staying at home, we're selling one of our cars. The cost of an extra car is a pretty substantial expense as well (payment, insurance, gas). Of course, not all stay-at-home parents can do without a car, but just about all working parents require their own car (in these parts, anyway).

[Whiplash7828]

Our startup cost (I know that sounds ridiculous) was around 2K.
I'd say monthly, we spent around 200$ per month before daycare.
Now that daycare is starting I'd say around 350$ per month (we're in Quebec so daycare is 35$/week)
I try to set aside 100$/month (20K over 18 years) to help him in school but I certainly don't plan on paying for my kids university degree alone...they'll learn to work for some also. Helps that post-secondary schools are 50% cheaper in Quebec...can't know for sure that it will stay that way though.

[lint]

I'd say if you have to ask the question then your not parent material. A real parent will find a way to make it work.


That is complete and utter bull*****. A responsible parent doesn't just go into having a child blindly without thinking about the costs along with the other responsibilities. I for one, wouldn't just willy-nilly bring children into this world just because I want them, I would want to bring them into this world and give them the best opportunities possible. And in order to do so, I need to know how much it will cost and see whether or not it's supportable. I'm not willing to go homeless for the sake of having a child. I guess I'm not a "real parent"

[chococrazy]

I'd say if you have to ask the question then your not parent material. A real parent will find a way to make it work.

Resisting saying something that will get me banned, but I took great offense to what you wrote.

I'd say that financial planning before having a child is a smart thing to do, and has no bearing on if someone is 'parent material'. Of course as a parent you HAVE to find a way to make it work financially. Im thinking ahead and you're saying I'm not parent material? Whatever.

The university/college can cost much less than what you've read. Kids can live at home and go to the local ones. University is more like about $5K and college $3K per year. A 3 year college kid comes out at $15K and your univerity one at $20K. Most teens can save almost that much with a part time job and summer work.

I'd like to give my kids the option of going to a university that they want to go to, even if it means that they move out and stay in residence. Education and the experience of living away from home was important to me, and I'd like to be able to do the same for my kids. I've decided I'm going to assume that they will want to move away from me and my fake parenting skills, and budget for that :lol:

[g0f15h]

I dont' mean to be rude but rather state it in black and white terms. Even the poor can be good parents and raise good stock for Canada. The tuition is grossly overstated. Sure you may want Johnny to be a doctor, go to Disneyland every March break, choose the university of choice, and play hockey. Most kids don't get all that and its OK if you can't afford everything.

Most university courses do not have $6K in mandatory extra fees.

A castle is nice but not mandentory. To say your not parent material because you live in an apartment is just plan old sad. Most parents put their children first. Sure you gotta be reasonable but $9k a year is very high.

You are not parent material if you are not willing to give up your fancy lifestyle for a more modest one. Selfish people make poor parents.

To think about money is only natural but to deny yourself kids because you can't affort Harvord is sad. You must beleive you can better yourself.

[lint]

I dont' mean to be rude but rather state it in black and white terms. Even the poor can be good parents and raise good stock for Canada. The tuition is grossly overstated. Sure you may want Johnny to be a doctor, go to Disneyland every March break, choose the university of choice, and play hockey. Most kids don't get all that and its OK if you can't afford everything.

Most university courses do not have $6K in mandatory extra fees.

A castle is nice but not mandentory. To say your not parent material because you live in an apartment is just plan old sad. Most parents put their children first. Sure you gotta be reasonable but $9k a year is very high.

You are not parent material if you are not willing to give up your fancy lifestyle for a more modest one. Selfish people make poor parents.

To think about money is only natural but to deny yourself kids because you can't affort Harvord is sad. You must beleive you can better yourself.

Problem with your blaket statement of fact is that parenting, and the decision to become parents, is not black and white. It's varying shades of grey. Obviously my considerations are different than yours. Thinking that you're better than other parents who weigh finances along with many other considerations is just plain old ignorant, and to you that must be an excellent trait for a parent

If I can provide a comfortable upbringing for 2 children or an impoverished upbringing for 10 children, I'll chose 2 with no guilt on my conscience. Yes, I will be selfish so that I can provide the best life for the children I chose to have, as opposed to my children that don't exist.

And what the hell does "Harvord" have to do with bettering yourself, or parenting in this topic anyways?

Oh, and I don't mean to be rude, but rather state it in black and white terms: you are a complete ass.

[ghostryder]

The university/college can cost much less than what you've read. Kids can live at home and go to the local ones. University is more like about $5K and college $3K per year. A 3 year college kid comes out at $15K and your univerity one at $20K. Most teens can save almost that much with a part time job and summer work.

Sure $5K now. Now add 18 years of inflation. Keep in mind that inflation on tuition has been much much greater than general inflation. Looking back to when I was in school it would work out to over 6% per year compared to now.

$5k today, 6.5% inflation, 18 years works out to around $15,500. 4 years and you've got $62,000 in tuition alone.

[Diamondog]

Problem with your blaket statement of fact is that parenting, and the decision to become parents, is not black and white. It's varying shades of grey. Obviously my considerations are different than yours. Thinking that you're better than other parents who weigh finances along with many other considerations is just plain old ignorant, and to you that must be an excellent trait for a parent

If I can provide a comfortable upbringing for 2 children or an impoverished upbringing for 10 children, I'll chose 2 with no guilt on my conscience. Yes, I will be selfish so that I can provide the best life for the children I chose to have, as opposed to my children that don't exist.

And what the hell does "Harvord" have to do with bettering yourself, or parenting in this topic anyways?

Oh, and I don't mean to be rude, but rather state it in black and white terms: you are a complete ass.

Why is he an ass? You actually sound like an ass calling him an ass...his statements sound pretty good.....There are people like yourself who have the need to consider all the financial aspects before hand and then there are parents like myself who don't, Ihave an 8.5 month old and another on the way, my wife and I combined make $100,000 a year, she wants 5 kids and after having my first I'm on board.....we didn't plan everything out financially or even worry about those things...we are both employable and even more so resourceful....so if there is a will there is a way.....I'll have 5 kids and none will suffer in the least they wont lack for anything. Point is some need to plan like this some don't and what determines this is our makeup.

[Diamondog]

Sure $5K now. Now add 18 years of inflation. Keep in mind that inflation on tuition has been much much greater than general inflation. Looking back to when I was in school it would work out to over 6% per year compared to now.

$5k today, 6.5% inflation, 18 years works out to around $15,500. 4 years and you've got $62,000 in tuition alone.

Let's not forget that incomes will rise as well so it's not like in 18 years we'll be making the same amount we do today but everything else will have risen considerably.

[lint]

Why is he an ass? You actually sound like an ass calling him an ass...

g0f15h made this statement:
I'd say if you have to ask the question then your not parent material. A real parent will find a way to make it work.

Calling into question the OP's parenting ability, my parenting ability, and countless other planning parents parenting ability, because they chose to do things differently, weigh different factors, THAT is what makes him an ass.

his statements sound pretty good.....There are people like yourself who have the need to consider all the financial aspects before hand and then there are parents like myself who don't, Ihave an 8.5 month old and another on the way, my wife and I combined make $100,000 a year, she wants 5 kids and after having my first I'm on board.....we didn't plan everything out financially or even worry about those things...we are both employable and even more so resourceful....so if there is a will there is a way.....I'll have 5 kids and none will suffer in the least they wont lack for anything. Point is some need to plan like this some don't and what determines this is our makeup.

It's great that you and your wife are making these life decisions without consideration for finances. That's entirely your decision. Did I say you're unfit to be parents because your choise is different than mine? No I did not. If you make it work for you great. My wife and I choose not to have 5 kids. So does that mean you and g0f15h can call me selfish because we choose to have less kids than you do? I guess. But then the person with 6 kids can call you selfish for not having more. Or the one with 8 kids, 10 kids etc. Based on your reasoning, why stop at 5? Why are you being selfish when you could have 10? 15? "Real parents would find a way to make it work." Wouldn't they?

[Madchester]

I remember my macro prof back in 1st yr explaining the problem in very layman's terms, by comparing the cost of raising a child to that of a Ferrari. He was disappointed that he didn't have a Ferrari.... :D

[Diamondog]

g0f15h made this statement:


Calling into question the OP's parenting ability, my parenting ability, and countless other planning parents parenting ability, because they chose to do things differently, weigh different factors, THAT is what makes him an ass.



It's great that you and your wife are making these life decisions without consideration for finances. That's entirely your decision. Did I say you're unfit to be parents because your choise is different than mine? No I did not. If you make it work for you great. My wife and I choose not to have 5 kids. So does that mean you and g0f15h can call me selfish because we choose to have less kids than you do? I guess. But then the person with 6 kids can call you selfish for not having more. Or the one with 8 kids, 10 kids etc. Based on your reasoning, why stop at 5? Why are you being selfish when you could have 10? 15? "Real parents would find a way to make it work." Wouldn't they?

You need to chill out buddy...I didn't realize it was him that made that rude comment earlier in the thread....don't take so much offence at some guys comments you don't even know and are silly......anyways the comments in his last post sounded reasonable thats why I said they sounded reasonable....and I do have consideration for money in the fact that I know it'll never be an issue if I need more money I'll find it, get it....

[g0f15h]

Problem with your blaket statement of fact is that parenting, and the decision to become parents, is not black and white. It's varying shades of grey. Obviously my considerations are different than yours. Thinking that you're better than other parents who weigh finances along with many other considerations is just plain old ignorant, and to you that must be an excellent trait for a parent

If I can provide a comfortable upbringing for 2 children or an impoverished upbringing for 10 children, I'll chose 2 with no guilt on my conscience. Yes, I will be selfish so that I can provide the best life for the children I chose to have, as opposed to my children that don't exist.

And what the hell does "Harvord" have to do with bettering yourself, or parenting in this topic anyways?

Oh, and I don't mean to be rude, but rather state it in black and white terms: you are a complete ass.

I don't thing it needs to be said that the world is a colourful place. My point is that don't say you won't have kids just cause you make $40k a year and you need $42K to make it cost effective. Money should be near the bottom of the list when considering parenthood.

By selfish I meant you living lavishly while baby has no shoes. Shelf being just you and not your family. I'd also choose 2 kids over 10 so I could live more middle class like.

Typo - I meant to say Harvard. Harvard is a fancy university. Someone said they wouldn't have kids unless they could send them to their university of choice. I think a local university is acceptable.

Kids shouldn't have kids and should wait till they are a bit older to make big decisions.

[g0f15h]

Sure $5K now. Now add 18 years of inflation. Keep in mind that inflation on tuition has been much much greater than general inflation. Looking back to when I was in school it would work out to over 6% per year compared to now.

$5k today, 6.5% inflation, 18 years works out to around $15,500. 4 years and you've got $62,000 in tuition alone.
Inflation is fairly a useless stat to use as it doesn't include many of the things we all use like gasoline for instance. It is possible for a teen to save enough to pay for college. Are you saying we must stop having kids because tuition is too expensive?

[Diamondog]

I don't thing it needs to be said that the world is a colourful place. My point is that don't say you won't have kids just cause you make $40k a year and you need $42K to make it cost effective. Money should be near the bottom of the list when considering parenthood.

By selfish I meant you living lavishly while baby has no shoes. Shelf being just you and not your family. I'd also choose 2 kids over 10 so I could live more middle class like.

Typo - I meant to say Harvard. Harvard is a fancy university. Someone said they wouldn't have kids unless they could send them to their university of choice. I think a local university is acceptable.

Kids shouldn't have kids and should wait till they are a bit older to make big decisions.

Dude you should let it go.....your opinions really have no bearing on someone else's decision to have children, it's one of those things no matter how many times you try to get your point across it just won't matter.

[g0f15h]

g0f15h made this statement:


Calling into question the OP's parenting ability, my parenting ability, and countless other planning parents parenting ability, because they chose to do things differently, weigh different factors, THAT is what makes him an ass.



It's great that you and your wife are making these life decisions without consideration for finances. That's entirely your decision. Did I say you're unfit to be parents because your choise is different than mine? No I did not. If you make it work for you great. My wife and I choose not to have 5 kids. So does that mean you and g0f15h can call me selfish because we choose to have less kids than you do? I guess. But then the person with 6 kids can call you selfish for not having more. Or the one with 8 kids, 10 kids etc. Based on your reasoning, why stop at 5? Why are you being selfish when you could have 10? 15? "Real parents would find a way to make it work." Wouldn't they?

I thought you were not a parent as of yet. I hope more people choose parenthood whether they think they can afford it or not. You will find a way to manage. Being realistic is the wise thing to do.

What I found selfish was a guy who was considering parenthood but thought maybe no as he can't afford all of lifes luxury plus baby. To choose between parenthood and luxury describes a person who is unfit for parenthood.

It is fine to stay single but I encourage having kids.

[gorf]

In our case, because my wife will be staying at home, we're selling one of our cars. The cost of an extra car is a pretty substantial expense as well (payment, insurance, gas). Of course, not all stay-at-home parents can do without a car, but just about all working parents require their own car (in these parts, anyway).

I quoted you before I noted where you live, but think twice about selling the car. Unless you can leave work to drive your wife to the doctors office or clinic etc., it would be really difficult hauling a baby on the bus in cold weather. Also, make sure your wife wants to take the bus or she may feel really housebound, many women get together with other moms and babies and chill and it gives them the freedom that they may need. I'm not saying its absolutely neccessary, but this winter was brutally cold here and taking a babe on the bus would have been tough.

[chococrazy]

OK, who said that the outcome of this thread was going to effect my decision as to if I am going to have kids or not? Please show me where I said that. I didn't think so.

I would happily have kids even if I made half of what I do now. I am not worried that I will not have enough. All I was asking was how much it actually costs. Just because someone keeps track of finances doesn't meet they are financially poor.

(and inflation is not a useless stat)

Let's get back to the original question. I'd be interested in hearing anyone else's input on this. (and thanks lint for the back up :lol: )

[CSK'sMom]

gorf, I am a SAHM who doesn't drive at all. I can quite easily get where I want to go here in Niagara Falls (where Xax is as well). Quite frankly why ayone would actually *want* to drive in Niagara Falls is beyond me. The tourists are brutal on the roads here. I can absolutely understand where Xax is coming from. Insurance premiums alone would save a ton of $$$$ as we pay higher premiums here because of uninsured tourists, etc.

[Mgz]

so if it is profitable --> let's have a kid
if it is not profitable --> we don't want any stinking kids

:confused:

[chococrazy]

so if it is profitable --> let's have a kid
if it is not profitable --> we don't want any stinking kids

:confused:

Did you even READ any of my posts in this thread?

[Xax]

I quoted you before I noted where you live, but think twice about selling the car. Unless you can leave work to drive your wife to the doctors office or clinic etc., it would be really difficult hauling a baby on the bus in cold weather. Also, make sure your wife wants to take the bus or she may feel really housebound, many women get together with other moms and babies and chill and it gives them the freedom that they may need. I'm not saying its absolutely neccessary, but this winter was brutally cold here and taking a babe on the bus would have been tough.
I'm actually not in the Falls, just the Niagara region. My work hours are such that we can easily manage with just one car. If my wife needs to get somewhere when I happen to be working, our in-laws don't live very far away and are eager to help out. Either way, she won't have to take the bus. So in our case, getting rid of one car makes sense, but I realize it's not for everyone.

[yao416]

Hmm you;ll find out when you have a baby :D

[fireguy9]

you can talk all you want,,,, but until you have kids,,,, then you realize what its like and all about,,, how it changes life.


To the poster about hockey. House league $400 a season. Equipment,,, if your smart,,, do the garage sale route every yr and you will get top of the line equipment for almost nothing. In one summer I bought 5yrs of equipment for prob less then $20 a set and all was near new top of the line stuff. Now I only need to buy the odd item. Saves hundreds

[engo]

Regarding th university cost, I recall reading an article saying $84k for 4 years of university in 18 years from now. So it's not too far away from OP's figures.

When talking about university cost (and same as all other cost), inflation is important in my opinion. $84k may sound expensive now but it may not be the case in 18 years later. These estimates/articles just tell us that as a parent, we should plan for childern's future and save accordingly. From the article I read, if the parent aside $3k a year for 18 year, with "normal" rate of return, you should have $84k in 18 years. Keep in mind that, $3k each year may seem heavy, says, in the first 10 years. But with inflation, it may not mean so much from year 11 to year 18.

I guess the chocie of whether you want to plan (financially, emotionally,... etc) before having a kid is a personal choice. I believe most of the RFD'er appreciate postive/negative comments as long as it's not personal attack. Please don't attack me if I "accidentally" offense your opinion. I'm just a regualr parent and want to share and learn from here.