The estimated cost of raising a child in the United States from birth to age 18 has climbed to $303,418, exceeding $300,000 for the first time since LendingTree began tracking the figure in 2023.
According to the company’s latest annual analysis, released in April and based largely on 2024 data, the estimated expense amounts to approximately $16,857 per year. This represents a 1.9% increase from the previous estimate of $297,674.
Over the longer term, the total cost has risen by 27.8% since LendingTree’s first report.
The analysis models a married couple with two earners and one child, earning the national median family income of $99,999. It includes housing, food, infant day care, clothing, transportation and health insurance premiums, after accounting for tax exemptions and credits.
The estimate excludes college tuition, extracurricular activities and other additional expenses. The figures are also not adjusted for inflation.
Housing Costs Rise While Infant Day Care Becomes Cheaper
Housing was the largest contributor to the latest annual increase. The additional rent paid by households with children compared with those without children rose by 48.9%, reaching $1,680 a year.
Infant day care was the only major category to record a decline of more than a fraction of a percentage point. Its annual cost fell by 3.2% to $17,264.
LendingTree chief consumer finance analyst Matt Schulz told Fortune that inflation continued to place pressure on household finances.
The latest figures reflect a slower overall increase than some previous annual reports, although the total cost of raising a child has continued to rise.
Hawaii Is the Most Expensive State to Raise a Child
The cost of raising a child varies considerably across the country, with Hawaii recording the highest projected 18-year total.
Families in Hawaii are estimated to spend $412,661 raising one child to age 18. Alaska ranks second at $365,047, followed by Maryland at $326,360.
California and New Jersey also have projected costs exceeding $312,000, while Kansas rounds out the six states where the estimated total exceeds $300,000.
At the lower end of the rankings, New Hampshire records an estimated cost of $201,963, followed by the District of Columbia at $202,115 and South Carolina at $204,213.
The difference between Hawaii and New Hampshire is more than $210,000 over 18 years.
Costs Rise Sharply in Some States
The annual analysis recorded substantial changes in projected child-rearing expenses in several states.
Kansas and Alaska each experienced a 23.5% increase in their estimated 18-year costs, while Montana recorded a rise of 21.7%.
New Hampshire experienced the largest decline, with its projected total falling by 29.3%. North Dakota followed with a decrease of 20.3%.
These figures reflect changes in the underlying cost estimates and do not represent inflation-adjusted comparisons.
The First Five Years Are the Most Expensive
LendingTree estimates that raising a child costs an average of $29,325 annually during the first five years, compared with $12,061 a year over the following 13 years.
The higher early-years figure reflects the inclusion of day care costs during the first five years of a child’s life.
Although the annual estimate for this period declined by 0.3% from the previous report, it remains 35.3% higher than the figure in LendingTree’s 2023 analysis.
On average, the cost of raising a young child accounts for 21.9% of family income. The proportion ranges from 13.9% in the District of Columbia to 27.4% in Hawaii.
In 22 states, families are estimated to spend at least one-fifth of their income raising a young child.
Early Childhood Costs Increase Across Most States
The annual cost of raising a child during the first five years increased in 39 states and the District of Columbia compared with the previous report.
Fourteen states recorded increases of at least 10%. Nebraska had the largest rise at 27.4%, followed by Montana at 24.5%, Maine at 24.4% and Wisconsin at 23.3%.
Costs declined in 11 states, with New Hampshire recording the largest reduction at 19.5%.
A separate LendingTree survey found that four in five parents believed the cost of raising children was increasing. Two in five respondents said financial considerations were limiting the number of children they had.
Massachusetts and Washington, DC, Have Different Long-Term Rankings
Massachusetts and the District of Columbia rank differently when the costs of raising a young child are compared with expenses across the full 18-year period.
Massachusetts ranks third for the annual cost of raising a young child but 18th for the total cost through age 18. The District of Columbia ranks ninth for early childhood expenses but 50th in the 18-year comparison.
LendingTree’s figures show that households with children pay less in rent than households without children in both locations. The difference is approximately $684 annually in Massachusetts and $4,140 in the District of Columbia.
Both locations have some of the highest day care costs in the country. However, because the model includes day care only during the first five years, the reported rent differences have a substantial effect on the longer-term totals.
Southern States Record Lower Costs for Young Children
Mississippi has the lowest estimated annual cost of raising a young child, at $17,148, followed by Alabama at $18,019 and South Dakota at $18,622.
South Dakota is the only state outside the South among the seven least expensive locations for raising a young child. All three states have annual infant day care costs below $10,000.
New Mexico ranks 45th for the total cost of raising a child through age 18, with an estimate of $218,588. Much of the data predates the state’s introduction of universal free child care in November 2025, funded through oil and gas revenue.
Child-Rearing Costs Differ Among the Largest States
Among the four most populous states, California has the highest estimated 18-year cost, at $312,300, ranking fourth nationally.
Florida follows at $280,280, placing 14th, while New York ranks 15th at $278,051. Texas has the lowest total among the four, at $229,891, ranking 39th.
Florida recorded the largest annual increase among these states, with its projected 18-year cost rising by 10.3%.
Full State-by-State Cost Breakdown
The following figures rank states and the District of Columbia by the estimated total cost of raising one child through age 18. The final column shows the annual cost during the first five years.
| Rank | State | 18-year cost | Annual cost, first five years |
|---|---|---|---|
| 1 | Hawaii | $412,661 | $40,342 |
| 2 | Alaska | $365,047 | $29,024 |
| 3 | Maryland | $326,360 | $36,419 |
| 4 | California | $312,300 | $33,692 |
| 5 | New Jersey | $312,295 | $31,948 |
| 6 | Kansas | $303,250 | $27,793 |
| 7 | Washington | $297,341 | $31,937 |
| 8 | Arizona | $294,982 | $27,917 |
| 9 | Nebraska | $294,926 | $29,491 |
| 10 | Montana | $293,926 | $27,220 |
| 11 | Connecticut | $293,728 | $29,674 |
| 12 | Maine | $289,573 | $27,448 |
| 13 | Colorado | $285,293 | $31,000 |
| 14 | Florida | $280,280 | $24,968 |
| 15 | New York | $278,051 | $30,209 |
| 16 | Idaho | $278,023 | $23,107 |
| 17 | Utah | $276,509 | $25,588 |
| 18 | Massachusetts | $273,981 | $34,247 |
| 19 | Virginia | $266,117 | $26,915 |
| 20 | Indiana | $264,147 | $26,576 |
| 21 | Minnesota | $262,330 | $29,322 |
| 22 | Wyoming | $262,014 | $23,789 |
| 23 | Missouri | $261,380 | $24,473 |
| 24 | North Dakota | $259,123 | $23,278 |
| 25 | Oregon | $257,569 | $28,393 |
| 26 | West Virginia | $254,005 | $21,651 |
| 27 | Wisconsin | $253,332 | $27,047 |
| 28 | Pennsylvania | $249,441 | $24,626 |
| 29 | North Carolina | $247,998 | $22,712 |
| 30 | Rhode Island | $245,738 | $27,003 |
| 31 | Nevada | $244,944 | $22,751 |
| 32 | Illinois | $244,826 | $27,906 |
| 33 | Louisiana | $242,450 | $21,303 |
| 34 | Oklahoma | $241,405 | $21,218 |
| 35 | Delaware | $235,920 | $25,108 |
| 36 | Tennessee | $235,164 | $22,545 |
| 37 | Michigan | $233,218 | $22,673 |
| 38 | Kentucky | $232,131 | $22,097 |
| 39 | Texas | $229,891 | $20,968 |
| 40 | Vermont | $229,428 | $26,259 |
| 41 | Arkansas | $226,354 | $19,204 |
| 42 | Ohio | $224,228 | $22,409 |
| 43 | South Dakota | $222,976 | $18,622 |
| 44 | Georgia | $222,713 | $20,365 |
| 45 | New Mexico | $218,588 | $21,909 |
| 46 | Iowa | $215,443 | $21,137 |
| 47 | Alabama | $212,121 | $18,019 |
| 48 | Mississippi | $208,621 | $17,148 |
| 49 | South Carolina | $204,213 | $18,910 |
| 50 | District of Columbia | $202,115 | $30,146 |
| 51 | New Hampshire | $201,963 | $22,805 |
Source: LendingTree analysis of data from the US Census Bureau, Bureau of Labor Statistics, MIT Living Wage Calculator, Child Care Aware of America, Care.com, KFF, Tax Foundation and the IRS. Estimates assume a married, two-earner couple with one child earning $99,999 annually. Figures are not adjusted for inflation.
LendingTree Outlines Ways Parents Can Manage Expenses
LendingTree recommends that prospective parents begin saving early by establishing a dedicated fund and placing the money in a high-yield savings account.
After a baby is expected, parents can ask their employers about parental benefits and consider using a dependent care flexible spending account to pay eligible child care expenses with pretax income.
The company also advises parents to claim all eligible tax credits. Its model values the federal child tax credit at $2,200 per child, up from $2,000.
Paying down high-interest debt can also free up money for household expenses. Parents can reduce spending on everyday items by using consignment shops, clearance sales and second-hand clothing or equipment from friends and relatives.
Some families are also turning to multigenerational living arrangements, including backyard accommodation for grandparents who can help with child care.
