Forget diapers; Childcare is now the largest expense many young families face. In fact, childcare is now more expensive than housing in all 50 states.
However, the cost of childcare varies dramatically depending on where you live. Some states offer more manageable costs, while others cost more than in-state college tuition. Using data from Child Care Aware, we highlighted the fifteen states where parents are paying out the nose for childcare.
Afterward, check out our list of the most expensive states for raising children in general.
1. Massachusetts
Average Cost Per Year: $20,000
Massachusetts is number one, with a staggering average cost of $20,000 a year. The Bay state isn’t known for its affordability and has some of the strictest childcare ratios in the nation, so it’s placement comes as little surprise.
However, that is undoubtedly little comfort for families struggling to pay high childcare costs. Maybe they can take some meager consolation from the fact that at least, unlike some other states on the list, daycare in Massachusetts costs less than in-state college tuition.
2. California
Average Cost Per Year: $16,945
California dreamin’… more like Californians dreaming about lower childcare costs. Californian parents pay $16,945 a year on average for newborn childcare.
While these rates are substantial (and higher than 48 other states), they are $3,055 lower than Massachusetts’s. So, at least Californian parents have that going for them.
3. Minnesota
Average Cost Per Year: $16,000
Minnesota is known for it’s two largest cities, often called the Twin Cities. Despite that name, Minnesota is a state where parents might want to cross their fingers they don’t have twins.
Why? The high costs of childcare might just leave them scrambling financially. On average, newborn twins’ childcare in Minnesota costs $32,000 a year.
4. Colorado
Average Cost Per Year: $15,325
In 4th place is Colorado. The state known for its majestic peaks also has childcare that is as high as a metaphorical mountain.
Parents in the Centennial State can expect to pay $15,325 a year for childcare costs. Despite this, childcare workers can only expect to make about $15.42 an hour.
5. Maryland
Average Cost Per Year: $15,300
Maryland is right behind Colorado in fifth place. On average, childcare costs for a newborn in Maryland are $15,300 a year.
The state also holds the dubious distinction of being one of the states where childcare costs more than in-state college tuition. Understandably, parents may find childcare a financial strain in the Free State.
6. Connecticut
Average Cost Per Year: $15,000
Connecticut has the sixth-highest childcare costs in the nation. On average, Connecticut parents pay a hefty $15,000 a year for infant childcare.
A relatively new program, Care 4 Kids, was established to help low-income families afford childcare with subsidies. However, many childcare providers report that the program is slow to implement and payments lag. Unfortunately, this shifts the burden to childcare providers and does not solve the affordability crunch.
6. New York
Average Cost Per Year: $15,000
New York, New York, what a beautiful place. Unless, of course, you are one of the many families struggling to pay high childcare costs.
New York ties with Connecticut as having the 6th most expensive childcare in the nation. This means that parents in the Empire state can expect to pay around $15,000 a year in childcare costs.
8. Washington
Average Cost Per Year: $14,500
The state of Washington is in 8th place. Parents in the Evergreen state pay some of the steepest childcare costs in the nation.
However, just like some states experience higher childcare costs than others, not all parts of Washington are stretched as thin paying for childcare. For example, Seattle parents will spend more than $2,911 a month, or $34,932 annually.
9. Virginia
Average Cost Per Year: $14,000
The average cost of childcare in Virginia is $14,000 a year for infants. This number places Virginian childcare among the most expensive in the nation.
A study by JLARC found that 85% of Virginian parents of an infant struggle to pay the steep tuition costs. Unfortunately, the problem persists past infancy; JLARC reported that 74% of families with preschoolers still find childcare costs a strain.
10. Illinois
Average Cost Per Year: $13,800
Childcare costs in Illinois rank 10th highest in the nation. On average, parents in Illinois pay $13,800 a year in childcare costs, which is $1,500 a month.
What would parents prefer to spend that staggering amount of cash on? Maybe their mortgage, car payment, rising grocery costs, shoot, probably anything else.
11. Hawaii
Average Cost Per Year: $13,500
Hawaii is a beautiful place. However, paradise comes at a price. The Aloha state has the highest cost of living in the nation.
Unsurprisingly, childcare in Hawaii is also relatively expensive. Perhaps the only surprise is that Hawaii isn’t higher on the list.
11. Oregon
Average Cost Per Year: $13,500
Oregon is tied for 11th place. Expectant parents in the Beaver State might experience sticker shock when they see the average newborn childcare costs of $13,500 a year.
Childcare affordability is a significant issue. In fact, around 15% of Oregon families have made job decisions based on the cost.
13. Rhode Island
Average Cost Per Year: $13,000
Rhode Island is the smallest state, but its childcare costs are anything but small. Rhode Island parents pay an average of $13,000 a year in daycare costs.
While this number isn’t fun (and I’m sure Rhode Island parents feel it in the wallet), it is substantially lower than neighboring states Massachusetts and Connecticut.
13. New Jersey
Average Cost Per Year: $13,000
New Jersey is tied with Rhode Island in a contest nobody wants to rank higher in. Parents in the Garden state pay, on average, $13,000 a year for newborn care.
What might make these high costs sting a bit more? New Jersey childcare workers only make $14.60 an hour.
15. Indiana
Average Cost Per Year: $12,900
Indiana is an outlier on a list of states with higher-than-average costs of living. The Midwestern state is generally regarded as pretty affordable, yet despite that label, parents are paying some of the highest childcare costs in the nation.
Still not convinced? Consider the median household income in Indiana is only $67,173. In other words, the average cost of daycare for an infant is 19% of the median household income.