Saturday, August 08, 2009

That's like a house!

Kids Are Expensive - $367,000 through age 17?? That's nearly $1700/month. What are people spending that much money on? Sometimes I can think of a lot better stuff to spend $1700 on. That's about what we save a YEAR for vacation!

9 comments:

Knot said...

Uhhhh, ya, and I have 2 girls which are even more expensive than boys.

Having kids doesn't change you; you change your priorities.

Courtney said...

I don't think girls would be more expensive than boys...boys go to the hospital more and are more expensive to insure as teens. Girls are also more likely to get (non-athletic) college scholarships. I'm pretty sure it's a wash.

Anonymous said...

CHILDREN.....are.....
PRICELESS!
Love, MOM

Courtney said...

Thanks mom :-) Though, correct me if I'm wrong, but I'm pretty certain you guys didn't spend a quarter of a million dollars on me even if you included college and my wedding!

ccnusbaum said...

Haha I think girls can get to be more expensive than boys just in clothing alone. There are sooo many more options for girls!

We don't even have a kid yet, but we've already spent a pretty penny on doctor's visits. It starts out as once a month, then goes to twice a month, then once a week the closer you get to delivery -- and copays for us are $30. Then you pay for whatever insurance doesn't cover (in our case, only $600), plus whatever additional/optional screenings the parents choose to get, that may or may not be covered. When the kid is born you think it's over -- but it's not -- you have to go to countless 'well baby' appointments, which all have copays. Yikes. I would have guessed when all is said and done about $800 - $1000/mo, though, not $1700.

Eric said...

"The report by the USDA’s Center for Nutrition Policy and Promotion identified housing as the largest single expense"

It's true that Carly and I wanted a larger house to raise our future children in. However, I'm a proponent of investing in real estate, so there's a good chance that we would have bought a similar (costing) house even if we never had kids. So I don't really fully agree with that metric.

I also find it very interesting how the wealthier families spend more than twice as much on their kids, compared to the lower earners. So really, kids are only as expensive as you want them to be. There is a ton of discretionary spending involved, a lot of which most people don't even realize they have a choice about.

Courtney said...

Eric, I just assumed that the difference between middle and upper class families was due to private schools and/or daycare.

Eric said...

I think the spending gap is probably attributable to much more than that. Wealthy families tend to purchase a lot more toys, a lot more clothes, etc. And not only is the quantity more, but the cost per item is much more. Lower income families are much more likely to use hand-me-downs, shop at yard sales, or at least Walmart. Richer families buy their babies 5 pairs of designer brand shoes...then replace them all a few months later as the baby outgrows them.

(At least this is what I have witnessed first hand.)

Anonymous said...

Yeah, and I think that the more kids you have the cheaper it gets per child, as you reuse a lot of stuff. Even so, we will stay with an army of one.

-Seth