Premium Essay

Average Cost of Raising a Child

In: Business and Management

Submitted By ronaldotony
Words 336
Pages 2
Average cost of raising a child hits $245,000

Student’s name:

Professor’s name:

Course title:

Date of submission:

Raising a child mostly relies on the income of the parents since some parents may be earning a lot of income thus spending much on their kids. Others may forego spending much income on their children so as to cater for other needs with the income. In USA, the average cost of raising a child last year was not as high as it is now (Friday and Swint, 2007). An explanation may be due to the fact that the income allowance for normal household in the country by then was $4,020, for a household to meet the guidelines of poverty.
According to the research conducted by the Department of Health and Human Services the statistics indicated that living cost for bringing up a child has hit $245000 (Friday, 2013). Some citizens calculated the cost of raising one child for a period of one year to be $2,900.Therefore, it means that from the childhood period till the child attains 18 years, the total cost over the years was anticipated to be $52,000.Apparently in USA the cost of living has been increasing day to day in correspondence to the income levels of the citizens.
This can be use to explain why the cost of raising a child in USA has increased up to $245,000. This estimate is for a middle family that sparingly spends money by just catering for the basic needs of the child that means the cost may be higher for a family leading a spendthrift lifestyle (Friday and Swint, 2007). It explains why most families in the United States are small with only one or two children in most households. In conclusion, the tremendous increase in the cost of raise young ones is contributed by the country’s economic status.

References
Friday, H.Swint, 2007.”Cost of raising children not as high as government would have you believe”. Retrieved March 31,

Similar Documents

Premium Essay

Rising Children

...The Cost of Raising Children   Introduction: Many of you may have children or want to have children in the future, but have you considered the cost of raising them? If you have not, then you definitely should. The cost of raising kids should be incorporated into every budget plan when children are or are going to be a part of your household. To assist, this activity introduces a multitude of expenses associated with raising kids from birth to 18 years of age. Hopefully this introduction will help you strategically plan for a future that includes children. If you do not plan to have children, share the knowledge gained with others that do. Adjust your monthly budget and investment portfolio accordingly.   1. Guess. How much money does it take to raise a child from birth to the age of 18?  estimated $250,000.00 2. What factors go into determining the cost of raising a child?  Housing, Food, Clothes, Child Care/Schooling, Health Insurance, and Misc. (money in their pocket, hair, extra events  . 3. In a new window, visit the website: Cost of Raising a Child Calculator | BabyCenter. Use the cost calculator to determine what it takes to raise a child in the following household. Your friend, Pat, is a single parent with a 1 year old. They live in a Tallahassee suburb and have $36,000 in annual net or take-home pay. Pat plans to raise this only-child until the age of 18. On high school graduation, Pat will financially support the teen’s pursuit of a college education at a public...

Words: 472 - Pages: 2

Premium Essay

Minimum Wage Effects

...three children, now can barely support one child and parent. Across the studies listed for each side of minimum wage, there were many in favor of raising the minimum wage. Higher minimum wage is a stimulus to economic growth. It creates cash flow, circulates money, and alleviates the cost for middle to high income taxpayers. It also is a key factor to the development both psychological and physically of a child. While raising the minimum wage is helpful, it can also be harmful in many ways. Raising the minimum wage would create a ripple effect on the standard of living, causing companies to raise product price and increase the standard of living, throwing the minimum wage employees below the poverty line, and initiating the raise of minimum wage again. It can also cause more layoffs, fewer people hiring, and more work for an average employee. There are too many risks on the economy with raising the minimum wage. Taxpayers should continue to bear the cost of income subsidies because they already have money for it. By raising the minimum wage, it would circulate in the ripple effect until even the middle to high income workers would be thrust under the...

Words: 1836 - Pages: 8

Premium Essay

Essay On Fertility Rate

...Fertility rate is the average number of live births per woman or per 1000 women of childbearing age in a population, and is measured in total fertility rate (TFR). Economic development, which is the improvement of the economic well-being and quality of life, in this case for a country, may bring about social, technological and cultural changes, which are socioeconomic factors, such as better healthcare and education, and rising costs of childcare services; sociocultural factors, such as perceptions of marriage and childbirth; and biological factors; which can in turn affect the fertility rates of a country. Even though institutional factors, in this case natalist policies, attempt to reverse the trend of rising or falling fertility rates, economic development is still the main cause of declining fertility rates in developed countries (DCs). Therefore, the...

Words: 1198 - Pages: 5

Premium Essay

I Dont Hknow

...Europe tend to have __________fertility rates and __________ mortality rates. low; low Question 5 Sophie just had a baby, and her government ensures that she has 16 weeks of paid maternity leave, with 3 additional years of unpaid leave if she wants it. Her husband also has 11 days of paid leave. What country does Sophie live in? France Question 6 The USDA estimates that it cost __________ in 2009 to raise one child to age 18. $286 000 Question 7 A relationship in which one woman gives birth for another person or couple, who then adopts or takes legal custody of the child, is called: surrogacy. Question 8 Several fundamental changes are occurring with the value associated with having children. Which is NOT one of these changes? People are having larger families after a 20-year decline in family size Question 9 In 1970, the average age at which women had their first child was 21; today it is __________. 25 Question 10 When Thomas was adopted as an infant all birth information about his birth parents remained sealed. This is an example of: closed adoption. Question 11 The average number of children born to women during their lifetimes is called the: total fertility rate. Question 12 Which is TRUE about adoption? Closed adoptions were popular in the past, but today adoptions are more likely to be open. Question 13 The transition to parenthood: provides a good example of “doing gender.” Question...

Words: 1252 - Pages: 6

Free Essay

Paid Maternity Leave

...maternity leave – its benefits, costs, overall accessibility, and why it should be instated. This report will include an assessment of the economic impact of paid maternity leave on both the business and the individuals affected by it. It also covers the cultural and interpersonal impact of the lack of paid maternity leave and an analysis on countries that offer maternity leave and what consequences this brings about. The sources will derive from actual research documents as many areas do offer paid maternity leave. The goal is for a transparent overview, offering both the good and the bad that may come with a change such as this, followed by overall conclusions and recommendations from the collected evidence. After reviewing this report, please let me know if you have any questions regarding the analysis. I would be more than happy to assist and discuss with you any issues you want to bring up. You can reach me at pbcoghi@gmail.com Cultural and Personal Impact of Mandated Maternity Leave Prepared By: Pedro Coghi, Student Date: 7/26/15 Prepared For: Jennifer Riske, Professor Technical Reporting - Summer 2015 Table of Contents Executive Summary 4 Introduction 6 Background of Feasibility Question 6 Purpose of the Report: 6 Scope of the Report 6 Methodology/Sources of the Report 6 Discussion of Findings & Results 7 What is Paid Maternity Leave? 7 Why Should We Care? 7 Benefits for the Child 8 Benefits for the Mother 9 Costs 9 Not a First World Problem 9 ...

Words: 2953 - Pages: 12

Premium Essay

Why Do Couples Without Kids Save More Money

...each other. They eat better on average. It is Easier for them to spend more time at work and complete their education without worrying about their kids. As an expert I believe you'll save a lot of money, Especially for those of us who are making less money than our parents did at our age and still paying off student loans so large, they feel purely theoretical. The average cost of raising a child born in 2013 to age 18 is $245,340 ($304,480 in 2031 dollars. That's $13,630 per year per kid and that's not even counting things...

Words: 456 - Pages: 2

Premium Essay

Children and Parent

...Sharing of Parental Responsibility Act The Equal Sharing of Parental Responsibility Act requires that parents take equal responsibility for the costs of raising their children. The Act begins with a presumption of a fifty/fifty sharing of physical placement of the children between the parents, and neither parent would make support payments to the other. This presumption does not apply if either parent is shown to be unfit. The parties may stipulate to a different placement arrangement under the following guidelines. A per diem cost for raising children, based on the costs of domestic service providers, food, clothing, medical insurance, shelter and entertainment, determined by analysis of actual market costs shall be established by the Department of Health and Human Services. The cost of domestic service providers shall include the cost of day, evening and overnight childcare, doing laundry, food preparation and clean up, chauffeuring children and any other services required when one has children. The parties may stipulate that one parent will pay the other a minimum of 90% of the per diem cost of raising the children, for any days above 183 per year, for which the non paying spouse takes physical placement of the children. Taxes and social security shall be deducted and paid for the portion of this per diem cost which is service related. All divorcing parents will be required to take a parenting class. A. What the Equal Sharing of Parental Responsibility...

Words: 3048 - Pages: 13

Free Essay

Indonesia Retail

...ASOSIASI  PENGELOLA  PUSAT  BELANJA  INDONESIA          (INDONESIAN  SHOPPING  CENTRES  ASSOCIATION)   Retail Trends & Challenges Retail Trends ….. •  The market –  Huge and Changing •  The shoppers –  Socially Shopaholics •  The challenges –  Raising competition and raising cost of doing business Retail Trends ….. •  The market –  Huge and Changing •  The shoppers –  Socially Shopaholics •  The challenges –  Raising competition and cost Indonesia has it all ….. GDP  Growth   l  Accelera>ng  real  GDP  growth     ►  4.5%  in  2009,  6%  in  2010,  6.2%  in  2011   4th  largest  popula>on  in  the  world  with  235  m  inhabitants   Growing  urbaniza>on     Middle  class(1)  now  represents  over  40%  of  the  popula>on  vs.  25%  10  years  ago   Size  of  middle  class  has  been  growing  strongly  at  a  7.5%  CAGR  over  the  last  10  years  to  reach   23  m  households     GDP  per  capita  to  reach  USD3,000  by  2012,  allowing  for  greater  disposable  income  and  faster   modern  retail  growth     l  l  l  l  l  Growing   Middle  Class   Popula>on   l  l  Food  Retail   Industry   l  l ...

Words: 1892 - Pages: 8

Premium Essay

Middle Childhood and Adolescence

... The introduction of middle childhood and adolescence, a crucial period of development, for the child and parent can become a time of uncertainty. The parenting styles of the parent makes a difference in the out-come of the child. All children need parents that care about them. The different parenting styles include; authoritarian, permissive, and authoritative. In the best interest of the child’s development, parents have to make an evaluation of the parenting methods that work well with the personality of the child. During these years the child’s temperament also begins to have an effect in their lives. “A child’s temperament matters (Kagan & Fox, 2006). If they do not consider the personality of the child, authoritarian parents might terrorize children who are innately fearful or anxious, or permissive parents might watch their impulsive children flail out of control.”(Berger, 2010). Environmental circumstances also have a role in children’s development for example: a parent gaining or loosing employment. There will be many changes that take place for middle childhood and adolescent children. Middle Childhood For many people puberty is a time in their life that will not be forgotten. The ages from 7 to 11 are sometimes called the school years. “The average 7- to 11-year-old gains about 2 inches (5 centimeters) and 5 pounds (about 2.2 kilometers) per year.”(Berger, 2010). Those healthy and productive years allow...

Words: 1071 - Pages: 5

Free Essay

Minimum Wage

...Raising the Minimum Wage Over the years the minimum wage has been a talked about topic. Many people would see it as a great idea because it would help families financially. In reality raising the minimum wage would be more of a struggle rather than a gift. The minimum wage has always been a struggle for people. Many people think that raising the minimum wage will solve all of our problems, when in reality it will not. It would only reduce the human motivation. Raising the minimum wage would also eliminate jobs making the economy struggle more. There would not be enough money circulating through the economy. Raising the minimum wage would reduce human motivation, eliminate jobs, raise taxes, and make the economy go into a hyperinflation. Raising minimum wage will reduce human motivation. In a perfect world where everyone comes from a good home, and lives in society, where people are raised to strive for better. In today’s society we do not have the perfect world. We have children being raised up to where they have to find a job at a young age just to help support their family. Children being raised up in a home like this creates a loss of ambition. Imagine, only being a child getting a job at such a young age. The only thing on your mind is being able to support the family with the money that is coming in. Imagine fighting to get the education back that was lost. Imagine not being able to go to school because there is no more time or money to help out yourself. Then the...

Words: 1676 - Pages: 7

Premium Essay

Why We Should Raise Minimum Wage

...President Franklin D. Roosevelt characterized the Fair Labor Standards Act of 1938 (FLSA), as “the most far-reaching, far-sighted program for the benefit of workers ever adopted in this or any other country.” A law drafted by Senator Hugo Black of Alabama and signed into law in June 1938, the FLSA was designed to “put a ceiling over hours and a floor under wages” by establishing an eventual maximum 40 weekly work hours. Henderson, David R. "Raising the Minimum Wage Will Not Reduce Poverty." Poverty. Ed. Viqi Wagner. Detroit: Greenhaven Press, 2007. Opposing Viewpoints. Rpt. from "The Negative Effects of the Minimum...

Words: 917 - Pages: 4

Premium Essay

Autism

...Spectrum Disorder (ASD) most commonly known as Autism is a neurological disorder that affects the normal brain function. It is a disorder characterized by deficits in three major areas of behavior-social, communicative and the display of repetitive or restricted behaviors. This research paper will provide a review of people with autism spectrum disorders, including the symptoms, diagnosis criteria, and possible causes. In addition, it will describe with how it has impacted the society, families and themselves. Completing the Puzzle of Autism Spectrum Disorder Can you imagine trying to understand what your parents or peers are saying but you don’t really know what the words mean? Sometimes this can make a child very upset and frustrated just because they can’t come up with the right words to express his or her feelings or thoughts. These kids with special needs try to live their lives by learning to handle stuff that are challenging and annoying for them. People with autism can make a significant contribution to society, as well as to their families. However, having autism is generally difficult for the person themselves and their family, it also involves great financial sacrifice. What is Autism Spectrum Disorder? Autism Spectrum Disorder (ASD) most commonly known as “Autism” is a neurological disorder that has an effect on normal brain function, affecting a person’s communication skill, social interaction, behavior and interest. ASDs are spectrum...

Words: 1743 - Pages: 7

Premium Essay

Intervention Methods for Child Sex Abuse

...“Give a Child a Helping Hand” Intervention Methods For Child Sexual Abuse Introduction Child sexual abuse has severe and long lasting implications for the victim while being historically unreported and unaddressed. Child abuse is difficult to identify because there is a lack of consensus across many sectors of healthcare about which “acts” are defined as abuse. One study outlines the associated interpersonal characteristics (such as boundary violations, betrayal, sexual traumatization, stigma, and secrecy) result in developmental consequences not associated with other forms of maltreatment (Noll). This is due to the highly stigmatized nature of the abuse and the multiple barriers that exist that are both individual and systemic in nature. There are many types of intervention options that are conflicting in nature; some promote a clinical setting while others tout community-based approach involving many types of adults in raising awareness. Studies show that cumulative exposure to multiple forms of victimization represents a substantial source of mental health risk and costly health care costs from high utilization rates. There is a $103.8 billion cost of child abuse and neglect of more than $33 billion in direct costs for foster care services, hospitalization, mental health treatment, and law enforcement while indirect costs of over $70 billion include loss of productivity, as well as expenditures related to chronic health...

Words: 841 - Pages: 4

Premium Essay

Walmart

...Describe the organization, what it does, the customers it serves, and its size. Being that it is the world’s largest retailer and has been on the top ten of the Forbes 400 list since 2005, it is nearly impossible to be unfamiliar with Wal-Mart. Headquartered in Bentonville, Arkansas, with more than 10,150 Wal-Mart stores and clubs worldwide, the company continues to grow and expand. It also owns and operates Sam’s Club, a retail warehouse club for members only. The company sells a wide variety of products from household products, electronics, clothing, toys, jewelry, and also grocery items. The company also provides services such as pharmacy, check cashing, automotive repair, hairstyling, manicures, and pedicures. The store is a giant one stop shop. The convenience of having all these products and services in one place and the low competitive prices that Wal-Mart offer is pretty hard to beat. Wal-Mart will also match the price (with the advertisement) of products sold for less by other retailers. Due to the broad range of products and services offered by Wal-Mart, their customer base consists of both genders and all age groups, which in turn enables the company to serve over 200 million consumers a week worldwide. There is something for everyone at Wal-Mart. In the retail market Wal-Mart is a force to reckon with, putting many local mom and pop stores out of business. Large companies like Target and K-Mart are continuing to restrategize their competitive edge in order to contend...

Words: 1614 - Pages: 7

Premium Essay

Effects of Minimum Wage Increases

...References …………………………………………………………..12 Abstract This paper discusses some of the additional effects raising the minimum wage income has on society. The United States low wage workers, namely the fast food industry workers are currently demanding higher wages. We will discuss the effect of those higher wages to businesses, the workers and those who we would not think to be affected. Effects of Minimum Wage Increases Chapter 1 Introduction Anyone who watches the local or national news has heard of the recent debate over raising the nation’s minimum wage requirements. Employees of McDonald’s, Wendy’s and Burger King are protesting in the streets and going on strike demanding a $15 per hour minimum wage (Fast Food Workers). These restaurant chains and others do not believe the minimum wage should be raised to $15 per hour for fast-food workers. There are many arguments to support both the demand to raise the minimum wage and not to raise the minimum wage. This paper will focus on different arguments and the impacts of raising the minimum wage will have on society from different angles, the first being how employers may respond to the wage increase by reducing the amount of employees they employ. The second focuses on who the mandated increase will most likely impact. And the third and final being the artificial inflation effects on the consumer. History Raising the minimum wage is not a new idea for the United States. In 1938 congress passed the Fair Labor Standards...

Words: 2140 - Pages: 9