Question 1

What is the average cost of child care in the U.S. as of 2021?

Accepted Answer

Families spend around $10,273 annually for child care in America. However, your expenses will vary depending on several factors. These include how many children you have, their ages and what kind of child care service you choose.

Question 2

What’s the difference between center-based and family child care?

Accepted Answer

Family child care is when a professional (e.g., a nanny) cares for your child at your home. In comparison, center-based child care is when you bring your child to a child care facility, such as a daycare center.

Both have advantages and disadvantages, but hiring a nanny typically costs more. You'll spend around $694 per week (for one child) for a nanny instead of $226 weekly for a day care center.

Question 3

How does the average cost of child care affect a family’s income?

Accepted Answer

The Department of Health and Human Services estimated that child care costs should only take up around 7% of a household's income to be affordable. In reality, families are paying much more.

A married couple spends around 10% of their median income on child care. For single parents, it goes up to almost 35%.

Question 4

What challenges are center-based child care facilities facing?

Accepted Answer

One benefit of choosing day care over a nanny is the savings. However, the challenge lies in daycare availability. Even before the onset of COVID-19, there was already an issue of supply. With the pandemic, the situation worsened. Between December 2019 and March 2021, almost 9,000 licensed child care centers closed across 37 states.

Question 5

How does the average cost of child care vary by state?

Accepted Answer

While the average cost of child care depends on several factors, some states have higher rates than others. For example, Massachusetts and Washington consistently have expensive child care costs, while Arkansas, Mississippi, Alabama, South Dakota and Kentucky are some of the most affordable states.

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