Select Region
Let's Get Social!

It’s Official: Childcare Now Costs More than Rent

It’s Official: Childcare Now Costs More than Rent

While most New Yorkers complain about the price of rent (and rightfully so), parents know that the real budget buster can be the cost of childcare. Between babysitters, nannies and daycare, figuring out who can care for your child(ren) while you’re at work is a stress on parents both emotionally and financially. And a new research paper from the Economic Policy Institute (EPI) has confirmed just that, finding that in most parts of the U.S., families spend more on childcare than they do on rent, according to

The U.S. Department of Health and Human Services says that in order to be considered affordable, childcare should account for no more than 10 percent of a family’s budget. But these costs can actually comprise more than 30 percent. In fact, the EPI study found that in 33 states, childcare costs more than sending a child to college—as long as the school is public and in-state.

“How are young parents supposed to be able to afford the equivalent of a college tuition?” asks Elise Gould, a senior economist at EPI, who spearheaded the research paper. “This is out of reach for many [higher-income] families.”

And the rising cost of childcare has impacted many parent’s career choices, with some parents—women in particular—leaving the workforce altogether. In 2010, a paper by the U.S. Census Bureau stated that, “for mothers who have more than one child under 5, the cost of daycare might be higher than she could support unless she has fairly high earnings.” The result is that many mothers are choosing to stay home with their kids, whether they want to or not.

“I absolutely think [the cost of childcare] plays a role in a woman’s decision to go to work,” says Gould. “It is taking a toll on labor force participation and therefore on the economy.”

It is such a huge issue that President Obama mentioned it in his 2015 State of the Union address, citing child care affordability as a key to helping middle-class families feel more secure in a world of constant change.

REALTED: Find Childcare in Your Area

Never hear 'I'm bored' again with our weekly family-activities newsletter!

More News Articles:

What Is Open in NYC on Christmas Day?

Christmas day is a wonderful time to explore the attractions of the New York City area. Here's what is open in NYC on Christmas day this year.

Latest News:

LuminoCity Festival of Holiday Lights Returns for 2022

LuminoCity Holiday Lights Festival has returned for the 2022 season and will be on display through Jan. 9, 2023.

Family Activities:

Have a Laugh:

Best Memes of the Week for Parents

Here are the funniest parenting memes from Instagram, Facebook, and Reddit this week.

Author: Linda DiProperzio has written extensively on parenting issues for Parents, American Baby, Parenting, and Family Circle, among others. She lives in New York with her husband and two sons. See More

Featured Listings:

St. Sebastian Catholic Academy

St. Sebastian Catholic Academy

Woodside, NY The road to academic success begins at St. Sebastian Catholic Academy serves the parishes of Queen of Angels, Church of St. Teresa and St. Sebastian....

ProHEALTH Dental

ProHEALTH Dental

ProHEALTH Dental was founded in 2016 in Lake Success to break down the historical barrier between medicine and dentistry. Our goal is to improve oral ...

Admissions Angle (The)

Admissions Angle (The)

The Admissions Angle offers bespoke college consulting services to highly motivated students with dreams to attend top colleges and universities in Am...

Good Shepherd Lutheran School

Good Shepherd Lutheran School

Plainview, NY Good Shepherd is the leading Christian preschool in the Plainview, NY area providing a range of fully licensed year-round, school year and summer camp...