It Costs an Additional $297,674 to Raise a Child Over 18 Years, Up 25.3%

by Maggie Davis, LendingTree, March 31, 2025

Having a child is daunting for several reasons, and costs are top of mind for many Americans.

The latest LendingTree study shows that the annual costs associated with raising a small child (from food and apparel to transportation and child care) are $29,419 — up 35.7% since we last conducted our study.

Here’s what we found.

Key findings

The annual costs associated with raising a small child have jumped 35.7% since we last conducted this study in 2023. Annual expenses minus tax exemptions or credits total $29,419, up from $21,681 in our 2023 study. Over 18 years, costs add to $297,674, up 25.3% from $237,482 in our last report.

Annual expenses to raise a small child total $36,472 in Hawaii — more than any other state. Massachusetts and Washington follow at $33,004 and $32,418, respectively. Conversely, annual costs are lowest in Mississippi ($16,490), South Carolina ($17,699) and Alabama ($17,870). Only six states have infant day care costs of less than $10,000 annually, guiding them to the lowest overall annual expenses.

In four states, families are projected to spend more than $300,000 over 18 years on costs associated with raising a child. This is the case in Hawaii ($362,891), North Dakota ($325,158), Washington ($318,714) and Maryland ($310,040). It’s projected to cost less than $200,000 in this period in Mississippi ($190,402) and the District of Columbia ($194,108).

Wyoming saw the biggest increase in the 18-year cost to raise a child, up 47.9%. North Dakota follows at 44.0% — the only other state above 40.0%. New Hampshire (34.9%) rounds out the top three. Just three states saw a decrease in 18-year costs: the District of Columbia (7.5%), Oregon (4.9%) and North Carolina (0.8%).

Families spend an average of 22.6% of their income on the basic annual expenses to raise a child, up from 19.0% in our 2023 study. The percentage is lowest in the District of Columbia (14.0%) and highest in Hawaii (25.4%).…

Costs highest in Hawaii

By state, Hawaii has the highest annual costs associated with raising a small child, at $36,472.

Most notably, the difference in typical food spending between a two-person household and a two-person household with a child is highest here, costing couples an additional $2,481. Additionally, the difference in rent when factoring in a child is the second-highest by state, adding $4,944 in costs. Hawaii also has the third-highest day care costs ($22,585) and transportation costs ($3,305).

Overall, Massachusetts ($33,004) and Washington ($32,418) rank second and third, respectively.

Conversely, annual costs are lowest in Mississippi at $16,490 — nearly $20,000 less than in Hawaii. Day care costs here are the second-lowest by state, at $8,186.

Overall, South Carolina ($17,699) and Alabama ($17,870) follow.

Child care costs certainly play a large role in overall annual expenditures: Only six states have infant day care costs of less than $10,000 annually, and they’re all the states with the lowest annual overall expenses....

18-year costs over $300,000 in 4 states

Over 18 years of raising a child, families are projected to spend more than $300,000 in four states. Hawaii ($362,891) ranks first again, followed by North Dakota ($325,158), Washington ($318,714) and Maryland ($310,040).

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