Those rascally rugrats living in your home are eating up even more of your money these days!
The U.S. Department of Agriculture (USDA) says the cost of raising a child is up almost 40% over the past decade.
In 2010, it took as much as $13,000 to raise one kid, that’s up from less than $10,000 in the year 2000.
The USDA estimates a two-parent family will spend $226,920 on one child from birth to age 18…and that doesn’t include helping to pay for college tuition, your daughter’s expensive wedding, or bailing your son out of jail.
If that’s not enough to make you wear a rubber…I don’t know what is!
But for some of us…those precious little kids are already part of our lives. So how do we manage?
Things are a lot different for parents than they used to be when I was a kid (which was more than a decade ago).
For most of my childhood, my parents were able to support the family on one person’s modest income. But today, it’s somewhat rare to find a two-parent household where either Mom or Dad chooses to stay home with the kids. Instead, parents are working extra jobs and longer hours to make ends meet.
For the parent who does stay home – managing the household budget becomes a full-time job.
The cost of just about everything has risen – from gas prices and groceries, to healthcare and housing, to clothing and eduction. Add to that the fact that income for most middle class Americans has either remained stagnant or fallen in recent years, and you’ve got yourself into quite a pickle.
Here are a handful of ways parents like us can deal with the rising cost of raising children.
Transportation
Pain at the pump is one thing that has certainly hurt the bank accounts of many people over the past 10 years. But there are a few things your family can do to save on gas.
Carpooling
Got some extra room in that mini-van? It might be smart to find another family at your kids’ school or on the soccer team that also has a few seats available in their grocery-getter.
Sure…you’ll have to deal with even more hyper-active hooligans, but it will only be for half the time.
Bike Rides
We’ve gotten a little overprotective of our kids, and as a result they’ve become too reliant on Mom and Dad as chauffeurs. So if the situation warrants – let your kids ride their bikes or walk to their friends’ houses, the park and the mall.
When I was a kid – my mom made me ride my bike to the dentist so I could get four teeth pulled. I then rode home with bloody gauze hanging out of my mouth. I don’t recommend that – but I think it proves my point!
Your kids may whine at first – but in the end they will appreciate some independence.
The One-Car Family
It’s not for everyone, but if you can swing it your family might be able to get by with just one vehicle.
This could be tough when you consider many Americans don’t work as close to home as they used to. But if it means you eliminate a car payment – it might add up to major savings.
Public transportation could be an option here, as could carpooling with a coworker. The key is figuring out your family’s schedule so you know who needs the car and when. You should also have a backup transportation plan for emergency situations.
When I was growing up, we only had one car until I was around 10 years old. My dad actually tried using cross-country skis and an old canoe to make the trek to work. Sometimes you do whatever it takes!
Groceries
It’s not enough you have to deal with picky eaters. Filling the fridge with food for your growing kids and staying within your budget can be a continuous challenge.
Coupon Clipping
They’ve been around forever – but for some of us – coupons just seems like a waste of time. It’s not. Coupon clipping and bargain hunting are time well spent.
Let’s say you average eight 50-cents-off coupons per week. That would be $208 a year you’ve saved. Yet there are many coupon clippers who save way more than that!
Besides the typical in-store fliers and newspaper ads – you can also take advantage of the internet to find deals and coupons on items your family actually uses. There are tons of daily deal sites and blogs you can use.
Grow a Garden
Starting a vegetable garden is another activity where you can get the kids involved. Make them get out there and spend time pulling weeds and watering. Gardening will teach your children responsibility and the joy of being rewarded for hard work. They’ll actually like eating veggies they helped grow!
If you don’t have a backyard where a garden will fit – try getting involved with community garden in your area.
Go Generic
Get over your obsession with name brand groceries and opt for less expensive store brands or generic products.
Many times the food inside is exactly the same as the pricier stuff – it just doesn’t have the fancy label.
Find more grocery shopping tips in our article on Getting a Grocery Shopping Strategy.
Paying the Bills
If you need more money – there are only three ways to get it:
- Make More at Work
- Find Ways to Cut Expense
- Rob a Bank
Number 1 may not be very likely, Number 3 is pretty risky, so most of us are stuck with Number 2. I know…Crap!
However, some people get a rush out of finding ways to save money. The truth is – modern families have added on a lot of additional expenses that can be done away with or at least minimized.
The Cable Bill
More and more people are cutting the cable and finding other ways to get their Boob-Tube fix. From online alternatives, to streaming movies and TV shows through a PS3 or Blu-Ray player…it’s time we wake up and realize that we’re only watching 12 out of those 120 channels.
Options like Netflix, Amazon Prime, Hulu and others are gaining popularity and are the future of entertainment. If you’re still paying for cable, you’re kind of like the guy who still listens to cassette tapes.
The Wireless Bill
Here’s something American families didn’t have 20 years ago. Now even the pre-schoolers are getting their own smartphones.
If money is tight – you need to decide if that data plan is really a necessity. You need to shop around to find the most affordable and efficient plan for your family. And if phones for the kids are important – you may discover that prepaid phones are cheaper.
The Utility Bill
There was a time when mankind could survive without central air and only a fireplace to keep the family warm in winter.
Here in Wisconsin – I feel like we go straight from running the air conditioner to turning on the heat.
If you can convince your family to tough it out and bundle up, turn the thermostat down a few notches. In general – you’ll save 3% on heating bills for every degree you set back the thermostat. The least you can do is turn the heat down at night and when everyone is at school and work.
The Emergency Fund
If you have kids…you are going to have emergencies.
Whether it’s broken bones, fender benders or a fire they started in your garage – kids are full of surprises. That’s why stashing some cash away in your emergency fund might be the smartest thing a parent can do.
If You’ve Heard it All Before…
You may have glossed over this list and thought to yourself…”There’s nothing new here!”
But I bet even though you already knew about this stuff…you aren’t really practicing it. Not all of the suggestions here will work for every family – but you can tweak the ideas to make them work in your home.
Some people don’t buy this idea that it’s more expensive to raise kids. A priest with the Archdiocese of Washington is puzzled by the fact that the rate of inflation is around 2.4% and the USDA claims the cost of raising a child rose 40% in 10 years. Read more on his opinion.
I found out the cost of raising my two boys is apparently $23,460 a year. That’s about $500 less than the national average.
Regardless – whatever I’ve got to spend to give those boys a good life is well worth it!
You can use the USDA’s Cost of Raising a Child Calculator to find out how much your own kids are costing you. There’s another calculator on BabyCenter.com that lets you add in the cost of college.
If you have other suggestions for saving money while raising kids leave a comment below and share with all of us!
Image Credit – LilGoldWmn
+Kasey Steinbrinck is the lead blogger on personal finance and the economy for Check Advantage. When you order checks from Check Advantage, you’ll find hundreds of unique photography featured on Wildlife Checks as well as QuickBooks Checks for small businesses and much more!
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This article is very useful and informative most specially for those mother..Thanks a lot for sharing great Idea..
Celestine recently posted..glass blowing furnace
Thanks for stopping by Celestine – glad you found some good stuff in the article!
Smart ways to — at least — reduce the cost of raising kid. I like the “bike rides”. Yeah, we should not over protect our child and let them grow by knowing the world’s pain.
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