National Overview

What It Costs to Raise a Child in America (2025)

The USDA last published its landmark "Expenditures on Children by Families" report in 2017. Multiple researchers have since updated those figures for inflation — here's where the data lands in 2025:

$320K–$331K
Avg. Total Cost (Birth–18)
Middle-income family, inflation-adjusted from USDA 2015 baseline. Northwestern Mutual calculated $320,661 using BLS CPI.
Sources: Northwestern Mutual (Apr 2025, BLS CPI); Stacker/USNews (Jun 2025)
$414K+
High-End Estimate (2025)
Higher-income family projections; some estimates reach $514K depending on methodology and expense categories included.
Source: SoFi (2024 data); USNews citing government data
$16K–$44K/yr
Annual Cost Range by State
~$16K/year in Mississippi to ~$44K/year in Massachusetts. The gap compounds dramatically over 18 years.
Sources: SmartAsset Feb 2025; MIT Living Wage Calculator
29%
Biggest Expense: Housing
Food accounts for 18%, childcare/education 16%, transportation 15%. Housing is the single largest cost at every income level.
Source: USDA Expenditures on Children by Families, 2015
State-by-State Data

Annual Cost of Raising a Child by State (2025)

Annual cost reflects additional expenses for a working couple with one child under 5: housing, food, childcare, healthcare, transportation, and other necessities. Based on MIT Living Wage Calculator, updated February 2025 by SmartAsset.

RankStateAnnual Cost
(Child <5)		Est. Total
(Birth–18)		Regionvs. U.S. Avg.
1Massachusetts
$44,000/yr
~$792K est.Northeast+$16,257 (+$59%)
2Hawaii
$42,000/yr
~$756K est.West+$14,257 (+$51%)
3Connecticut
$39,000/yr
~$702K est.Northeast+$11,257 (+$41%)
4New York
$38,500/yr
~$693K est.Northeast+$10,757 (+$39%)
5California
$37,000/yr
~$666K est.West+$9,257 (+$33%)
6New Jersey
$36,000/yr
~$648K est.Northeast+$8,257 (+$30%)
7Maryland
$35,500/yr
~$639K est.South+$7,757 (+$28%)
8Washington
$34,000/yr
~$612K est.West+$6,257 (+$23%)
9Colorado
$33,000/yr
~$594K est.West+$5,257 (+$19%)
10Vermont
$32,500/yr
~$585K est.Northeast+$4,757 (+$17%)
11Minnesota
$31,500/yr
~$567K est.Midwest+$3,757 (+$14%)
12Virginia
$31,000/yr
~$558K est.South+$3,257 (+$12%)
13Oregon
$30,500/yr
~$549K est.West+$2,757 (+$10%)
14Rhode Island
$30,000/yr
~$540K est.Northeast+$2,257 (+$8%)
15New Hampshire
$29,500/yr
~$531K est.Northeast+$1,757 (+$6%)
16Illinois
$29,000/yr
~$522K est.Midwest+$1,257 (+$5%)
17Delaware
$28,500/yr
~$513K est.South+$757 (+$3%)
18Arizona
$28,000/yr
~$504K est.West+$257 (+$1%)
19Maine
$27,800/yr
~$500K est.Northeast+$57 (+$0%)
20Nevada
$27,500/yr
~$495K est.West−$243 (1%)
21Wisconsin
$27,000/yr
~$486K est.Midwest−$743 (3%)
22Michigan
$26,500/yr
~$477K est.Midwest−$1,243 (4%)
23Pennsylvania
$26,000/yr
~$468K est.Northeast−$1,743 (6%)
24North Carolina
$25,500/yr
~$459K est.South−$2,243 (8%)
25Georgia
$25,000/yr
~$450K est.South−$2,743 (10%)
26Montana
$24,500/yr
~$441K est.West−$3,243 (12%)
27Florida
$24,000/yr
~$432K est.South−$3,743 (13%)
28Texas
$23,500/yr
~$423K est.South−$4,243 (15%)
29Ohio
$23,000/yr
~$414K est.Midwest−$4,743 (17%)
30Indiana
$22,500/yr
~$405K est.Midwest−$5,243 (19%)
31Utah
$22,000/yr
~$396K est.West−$5,743 (21%)
32Idaho
$21,500/yr
~$387K est.West−$6,243 (23%)
33Iowa
$21,000/yr
~$378K est.Midwest−$6,743 (24%)
34South Carolina
$20,500/yr
~$369K est.South−$7,243 (26%)
35Missouri
$20,000/yr
~$360K est.Midwest−$7,743 (28%)
36Nebraska
$19,500/yr
~$351K est.Midwest−$8,243 (30%)
37Tennessee
$19,000/yr
~$342K est.South−$8,743 (32%)
38Kansas
$18,500/yr
~$333K est.Midwest−$9,243 (33%)
39Kentucky
$18,000/yr
~$324K est.South−$9,743 (35%)
40Oklahoma
$17,500/yr
~$315K est.South−$10,243 (37%)
41Alabama
$17,200/yr
~$310K est.South−$10,543 (38%)
42New Mexico
$17,000/yr
~$306K est.West−$10,743 (39%)
43Wyoming
$16,900/yr
~$304K est.West−$10,843 (39%)
44North Dakota
$16,800/yr
~$302K est.Midwest−$10,943 (39%)
45South Dakota
$16,600/yr
~$299K est.Midwest−$11,143 (40%)
46Louisiana
$16,500/yr
~$297K est.South−$11,243 (41%)
47West Virginia
$16,300/yr
~$293K est.South−$11,443 (41%)
48Arkansas
$16,200/yr
~$292K est.South−$11,543 (42%)
49Alaska
$16,100/yr
~$290K est.West−$11,643 (42%)
50Mississippi
$16,000/yr
~$288K est.South−$11,743 (42%)

Sources: SmartAsset "Cost to Raise a Child by State 2025" (Feb 2025), using MIT Living Wage Calculator data. Annual cost = additional income needed by 2 working adults to support 1 child under 5 vs. childless household. Total cost estimate extrapolated over 18 years. Figures are rounded approximations for educational planning purposes.

Annual Child-Rearing Cost — Top 10 Most & Least Expensive States (2025)

Source: SmartAsset 2025; MIT Living Wage Calculator. U.S. national average: ~$27,743/year.

Expense Categories

Where the Money Goes

The USDA's most recent analysis (2015, updated for inflation) remains the authoritative breakdown of child-rearing expenses by category for middle-income families:

🏠 Housing29%
🍎 Food18%
🎓 Childcare & Education16%
🚗 Transportation15%
🏥 Healthcare9%
👕 Clothing6%
🎮 Miscellaneous7%

Housing costs dominate because families typically need more space — a larger home or apartment — when children arrive. This cost is highest in coastal metros and lowest in the Midwest and South.

Childcare and education expenses are highest in the early years (ages 0–5) and drop significantly once children enter public school. Food and transportation costs peak during the teen years.

Source: USDA "Expenditures on Children by Families, 2015" — most recent federal dataset. Percentages represent share of total child-rearing costs for a middle-income, two-child married couple. USAfacts.org (2024).

Annual Costs by Child Age (National Average)

Age RangeAvg. Annual CostNotable Changes
Birth–2 yrs~$16,700High childcare costs; relatively low food spending
3–5 yrs (preschool)~$18,100Peak childcare expense — typically the highest-cost years
6–8 yrs (early school)~$17,200Childcare drops significantly; food spending rises
9–11 yrs~$17,400Activities, sports, and extracurriculars increase
12–14 yrs~$18,000Clothing and transportation costs rise sharply
15–17 yrs (teen)~$18,900Peak food, transportation, and car insurance costs

Based on USDA 2015 data patterns adjusted for 2025 inflation using BLS CPI. Source: USDA.gov; CreditKarma (2025).

Income Level Impact

How Much You Spend Depends on What You Earn

Higher-income families spend significantly more — especially on childcare, education, and discretionary items. Lower-income families spend proportionally more of their income, even though the dollar amount is less.

Income Group2025 Inflation-Adjusted
Annual		Est. Total (Birth–
18)		% of Family
Income		Key Drivers
Lower Income
<$76K in 2015 $		~$16,400–$17,500~$241K–$315KHigher %Housing, food dominate
Middle Income
$76K–$138K in 2015 $		~$17,700–$22,000~$320K–$331K~16%Childcare, housing balance
Higher Income
>$138K in 2015 $		~$34,000–$41,000~$513K–$590KLower %Education, misc. spending peaks

Sources: USDA "Expenditures on Children by Families, 2015" (USAfacts.org 2024); inflation adjustment using BLS CPI-U (Northwestern Mutual Apr 2025); USNews lower/higher income total estimates (Aug 2025).

Planning Strategies

How to Plan — and Save — for the Cost of Raising a Child

  • 💰

    Start a 529 College Savings Plan Early

    A 529 plan grows tax-free for qualified education expenses. Starting at birth vs. age 10 can mean 50%+ more in the account by college entry. Many states offer additional state tax deductions for contributions.

  • 🏥

    Use an HSA for Healthcare Costs

    A Health Savings Account (HSA) paired with an HDHP lets you save pre-tax dollars for medical expenses — including pediatric care. In 2025, the HSA contribution limit is $4,300 (individual) / $8,550 (family).

  • 👶

    Max Out Your Dependent Care FSA

    The Dependent Care FSA allows you to set aside up to $5,000 pre-tax per year for childcare expenses. At a 22% federal tax rate, that's $1,100 in annual savings — use it before the child care tax credit on the same dollars.

  • 📋

    Claim All Child-Related Tax Credits

    The Child Tax Credit ($2,000/child through 2025), Child & Dependent Care Credit (up to $1,050 for one child), and Earned Income Tax Credit (if eligible) can together offset $3,000–$7,000+ per year for qualifying families.

FAQ

Frequently Asked Questions

Based on inflation-adjusted projections of USDA's most recent data (2015 baseline), a middle-income family can expect to spend approximately $320,000–$331,000 to raise a child from birth through age 17, not including college. Northwestern Mutual (April 2025) calculated $320,661 using the BLS CPI. Costs vary significantly by state: from ~$288,000 (Mississippi) to over $590,000 (Massachusetts) over 18 years.
No. The USDA's "Expenditures on Children by Families" report — often called "The Cost of Raising a Child" — was last published in 2017 using 2015 Consumer Expenditure Survey data. The USDA has not released an updated version since. Researchers such as SmartAsset and Northwestern Mutual have since updated those figures using BLS Consumer Price Index data to adjust for inflation. For state-level comparisons, the MIT Living Wage Calculator (updated annually) provides the most current geographic estimates.
According to USDA data, housing is the largest single expense category at approximately 29% of total child-rearing costs. This includes mortgage/rent increases due to needing more space, utilities, and furnishings. Food (18%) is second, followed by childcare and education (16%) — which is highest in the earliest years (birth–5) — and transportation (15%), which peaks in the teen years. Healthcare accounts for about 9% of costs.

Data Sources & Methodology

  • USDA "Expenditures on Children by Families, 2015" — published 2017
  • MIT Living Wage Calculator (2025)
  • SmartAsset "Cost to Raise a Child by State 2025"
  • Northwestern Mutual (April 2025)
  • U.S. News & World Report (Aug 2025)
  • SoFi (2025)